New strategies often entail budget reallocations because
A. revamping the performance of value chain activities can be costly.
B. the accompanying policy revisions and compensation incentives tend to require different levels of funding than before.
C. units important in the prior strategy but having a lesser role in the new strategy may need downsizing while units and activities that now have a bigger and more critical strategic role may need more people, new equipment, additional facilities, and above-average increases in their operating budgets.
D. empowering employees to carry out the new strategy elements and shifting to a total quality management type of culture to build skills in competent strategy execution typically require substantial new funding and budget revisions.
E. adopting best practices and pushing for continuous improvement tends to reduce costs and reduce overall resource requirements.
Answer: C
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MAN Chapter 11
- Which of the following is not characteristic of a compensation and reward system designed to help drive successful strategy execution?
- Which of the following is not a sound guideline for designing a reward and incentive system that helps promote good strategy execution?
- The guidelines for designing an incentive compensation system that will help drive successful strategy execution include
- An important consideration in designing a strategy-supportive reward system is to
- A well-designed reward system
- The most dependable way to keep people focused on strategy execution and the achievement of performance targets is to
- Motivational and incentive compensation practices that aim at winning the commitment of company personnel to good strategy execution typically
- A reward system that accentuates positive rewards for good performance
- From the standpoint of promoting successful strategy execution, it is important that the firm's motivation and reward system
- A motivation and incentive system that is aimed at spurring stronger employee commitment to good strategy execution
- Which one of the following is not likely to be effective in trying to gain employees' wholehearted commitment to good strategy execution and operating excellence?
- In trying to gain employees' wholehearted commitment to good strategy execution and operating excellence, managers are well advised to use such incentives as
- Enlisting employees' sustained and energetic commitment to good strategy execution and achievement of the targeted strategic and financial objectives is best done by
- The strategic role of a company's reward system is to
- Management's most powerful tool for winning employee commitment to good strategy execution and operating excellence is
- Management's most powerful tool for mobilizing employee commitment to competent strategy execution and operating excellence is
- Information systems provide managers with a means for monitoring
- The areas that information systems need to cover include all but which one of the following?
- The areas that information systems need to cover include
- Well conceived, state-of-the-art information and operating systems
- Installing well-conceived state-of-the-art support systems are an important managerial component of implementing and executing strategy because
- To build a total quality culture and achieve full value from the use of TQM or Six Sigma initiatives, managers can take such action steps as
- To obtain maximum benefits from benchmarking, best practices, reengineering, TQM, and Six Sigma programs aimed at facilitating better strategy execution, managers need to
- The big difference between business process reengineering and continuous improvement programs like TQM or Six Sigma is that
- Which one of the following statements about Six Sigma quality programs is true?