What are the "traditional" approaches to strategic control?
What will be an ideal response?
Traditional control mechanisms rely on measuring outcomes. Managers set targets and devise specific metrics to measure the achievement of those targets. The targets are established to match specific objectives and organizational goals. An appropriate time frame is also established that allows pursuit of those objectives and the delivery of results. Performance is measured against the targets. Targets can take the form of accounting metrics, such as return on investment (ROI), return on assets (ROA), return on equity (ROE), budgets, or adherence to financial audit standards, such as the Generally Accepted Accounting Principles (GAAP). Other targets correspond to market-based outcomes and take the form of sales quotas, market share figures, customer satisfaction scores, product introduction rates, brand coverage, and the like. Operating targets, such as production schedules, tolerance levels, waste rates, utilization, and productivity are also used.
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A product saturation level is the percentage of potential buyers who own a particular product
Indicate whether the statement is true or false
The entire sequence of activities that add value to a company's products and services is called ________.
A) the value chain B) the planning process C) TQM production chain D) Enterprise Resource Planning
Pay for executives should supposedly to be tied to:
A. the cost of living index B. the company's reputation C. the company's growth potential D. the financial needs of the employee E. the company's financial performance
Building an organization capable of good strategy execution entails
A. decentralizing authority for performing strategy-critical value chain activities, establishing at least two distinctive competencies, and hiring talented employees. B. staffing the organization, building core competencies and competitive capabilities, and structuring the organization and work effort. C. empowering employees, maximizing internal operating efficiency, and optimizing core competencies. D. investing heavily in employee training, using an empowered organization design and organization structure in order to maximize labor productivity, and employing effective incentive compensation systems. E. centralizing authority in the hands of a chief strategy implementer so as to create the leadership authority for driving implementation forward at a rapid pace.