MGT 301 Chapter 5 Questions

Questions and Answers

The purpose of ______ is to set goals and decide on the courses of action that will be used to achieve them.

planning

A business plan is a document that outlines ______.

The organization's long-term goals and direction

A proposed firm's goals, strategy for achieving them, and standards for measuring success (correct)

A firm's resources or capabilities along with their competitive strategic potential

The need the firm will fill, the operations of the business, and its expected revenues and expenses

Which should be included in a firm's business model? (Select all that apply)

The firm's standards for measuring success

How the firm will market to customers (correct)

The firm's expected revenues and expenses (correct)

A description of the industry the firm is entering (correct)

The firm's strategy for achieving its goals

A company's strategy can best be described as a(n) ______ about what long-term goals or direction to pursue for the survival or prosperity of the organization.

educated guess Signup and view all the answers

One reason a company might create a bad strategic plan is because they make incorrect assumptions about what will happen in the market going forward.

True Signup and view all the answers

The document that details how a company's goals are to be met is called a(n) ______.

plan Signup and view all the answers

Strategic planning can help encourage new ideas by stressing the importance of ______ in achieving long-range success.

innovation Signup and view all the answers

A document that outlines a proposed firm's goals, its strategy for achieving those goals, and the standards for measuring success is known as a ______.

business plan Signup and view all the answers

A company's _____ is the purpose of the organization.

mission Signup and view all the answers

A firm's business _______ should include a description of the need the firm will fill, the operations of the business, its components and functions, and the expected revenues and expenses.

model Signup and view all the answers

The company's mission statement tells us ______.

the company's reason for being Signup and view all the answers

The company's vision statement tells us ______.

what the company wants to become Signup and view all the answers

The company's values statement tells us ______.

which values the company wants to emphasize Signup and view all the answers

A ______ sets the long-term goals and direction for an organization.

strategy Signup and view all the answers

A company's ______ statement should provide a clear sense of the future and the actions needed to get there.

vision Signup and view all the answers

Without having a plan in place, managers may focus only on ______ instead of keeping a long-range view and anticipating new opportunities.

whatever is in front of them Signup and view all the answers

A company's values statement expresses which of the following things? (Select all that apply)

The values its employees embody Signup and view all the answers

According to management scholar Gary Hamel, companies like Apple have succeeded because their spirit of _____ has allowed them to reinvent the basis of competition within an existing industry.

strategy innovation Signup and view all the answers

Top managers use _______ planning to determine what the organization's long-term goals should be for the next one to five years with the resources they expect to have available.

strategic Signup and view all the answers

An organization's vision represents ______.

where the organization wants to go Signup and view all the answers

Organizations use ______ planning to determine what contributions the departments or work units can make toward the organization's strategic priorities and policies during the next 6 -- 24 months.

tactical Signup and view all the answers

The ______ statement expresses the purpose of an organization.

mission Signup and view all the answers

In business, a specific commitment to achieve a measurable result within a stated period of time is called a ______.

goal Signup and view all the answers

The vision statement should answer which of these questions?

What do we want to become? Signup and view all the answers

Short-term (tactical) goals are connected to long-term (strategic) goals in a hierarchy called the ______.

means-end chain Signup and view all the answers

A ______ statement expresses what the company stands for, its core priorities and what its products contribute to the world.

values Signup and view all the answers

A(n) ______ provides a guide for a company's long-term goals.

strategic plan Signup and view all the answers

Which of the following statements about strategic planning are true? (Choose every correct answer.)

It should communicate general goals and ways to achieve them. Signup and view all the answers

It is the function of the ______ to take the strategic plan and develop actionable short-term goals that a business can achieve.

operating plan Signup and view all the answers

Who is responsible for tactical planning?

Middle management Signup and view all the answers

What are the characteristics of SMART goals? (Choose every correct answer.)

Attainable Signup and view all the answers

What are the types of goals in business?

Long-term Signup and view all the answers

A means-end chain is used in planning to show ______.

how goals are connected across an organization Signup and view all the answers

The 'measurable' aspect of a SMART goal refers to its ability to be ______.

quantified Signup and view all the answers

Which of the following are true about long-term goals? (Choose every correct answer.)

They are also referred to as strategic goals. Signup and view all the answers

In terms of SMART goals, an 'attainable' goal is ______.

challenging but achievable Signup and view all the answers

Operating plans accomplish which of the following?

Break long-term output into short-term targets or goals Signup and view all the answers

Which of the following verbs would be appropriate for a results-oriented goal? (Choose every correct answer.)

Complete Signup and view all the answers

A ______ goal is one that is specific, measurable, attainable, results-oriented, and has target dates.

SMART Signup and view all the answers

Management by ______ is a four-step process in which managers and employees jointly set objectives, develop action plans, review performance, and appraise and reward employees.

objectives Signup and view all the answers

The letter S in the acronym SMART goal stands for what aspect of a good goal?

specific Signup and view all the answers

Managers and subordinates jointly setting subordinate objectives is the ______ step in management by objectives.

first Signup and view all the answers

Which of these represent measurable goals?

Customer service agents should improve customer relations by making 10 follow-up calls each week. Signup and view all the answers

A(n) ______ learning orientation represents the desire to learn and improve one's knowledge, soft-skills, and other characteristics in pursuit of personal development.

proactive Signup and view all the answers

Goals that are challenging but are realistic and achievable within the scope of the resources available to a company satisfy which aspect of SMART goal criteria?

Attainable Signup and view all the answers

What is the second step in management by objectives?

The manager develops an action plan. Signup and view all the answers

When stating a goal, it is a good idea to start with the word 'To' and follow with an action-oriented verb such as 'increase' or 'acquire.' This describes the ______ aspect of SMART goals.

results-oriented Signup and view all the answers

What would occur in the third step of management by objectives?

You and your manager meet to review progress. Signup and view all the answers

The purpose of management by objectives (MBO) is to ______ subordinates.

motivate Signup and view all the answers

The fourth and final step in management by objectives involves:

the manager making a performance appraisal and rewarding the employee according to the results. Signup and view all the answers

What is the first step in management by objectives?

Managers and employees jointly set objectives for the employee. Signup and view all the answers

The process of ensuring that the strategic goals set at the top align with more specific short-term goals at lower organizational levels is known as ______ goals.

cascading Signup and view all the answers

Which of the following are reasons that employers value a proactive learning orientation? (Choose every correct answer.)

It helps drive employee creativity and innovation. Signup and view all the answers

______ help us to stay focused on the big picture, concentrate and make quicker decisions rather than putting them off, and ignore unimportant matters.

Deadlines Signup and view all the answers

Managers preparing action plans represents the ______ step in management by objectives.

second Signup and view all the answers

You can use the continuous feedback loop known as the ______ cycle to ensure you're headed in the right direction once you've made plans.

planning/control Signup and view all the answers

The manager and employee periodically reviewing the employee's performance represents the ______ step in management by objectives.

third Signup and view all the answers

To be an effective planner, you should be a(n) ____________ learner in areas beyond the technicalities of your profession.

proactive Signup and view all the answers

Managers and subordinates meeting to appraise performance, discuss results, and allocate rewards is the ______ step in management by objectives.

fourth Signup and view all the answers

What behavior would a proactive learner most likely exhibit?

Taking initiative Signup and view all the answers

Cascading goals is the process of ______.

ensuring that strategic goals at the top align with the short-term goals set at lower levels in the organization Signup and view all the answers

What are advantages for a company that establishes deadlines? (Choose every correct answer.)

Deadlines motivate employees to focus on the goal. Signup and view all the answers

Place the steps of the planning/control cycle in the correct order, with step one listed first (at the top) and step four listed last (at the bottom)

Control the direction by comparing results with the plan Signup and view all the answers

Which of the following are career readiness competencies? (Choose every correct answer.)

Understanding a business Signup and view all the answers

What are steps anyone can take to become a more proactive learner? (Choose every correct answer.)

Set realistic goals. Signup and view all the answers

Study Notes

Planning and Business Goals

Planning sets goals and decides actions needed to achieve them.
A business plan outlines goals, strategies, and success benchmarks for a firm.
Key elements of a business model include marketing strategies, expected revenues, and industry description.

Strategic Planning

A company's strategy is defined as an educated guess on long-term goals for survival and prosperity.
Erroneous market assumptions can lead to poor strategic plans; oversight in strategic planning can impact a company's future.
Strategic planning encourages innovation for long-range success, aligning with potential opportunities.

Company Statements

The mission statement defines a company's purpose.
The vision statement outlines the desired future state of the company.
The values statement encompasses core priorities and company ethics.

Goals and Objectives

Organizations establish long-term (strategic) and short-term (tactical) goals, which are interconnected in a means-end chain.
SMART goals must be Specific, Measurable, Attainable, Results-oriented, and Time-bound.
Short-term goals help bridge operational actions with strategic intent.

Management by Objectives (MBO)

MBO is a method where managers and employees co-create objectives, develop action plans, review performance, and offer rewards based on results.
Establishing deadlines motivates focus and enhances decision-making, promoting quicker and more effective responses.

Proactive Learning Orientation

Proactive learning involves continuous personal improvement and adaptability in skills.
It fosters creativity and solidifies employee capability, enhancing overall organizational performance.

Planning/Control Cycle

The planning/control cycle consists of making a plan, executing it, comparing results with the plan, and making necessary adjustments.
This cycle helps ensure alignment with strategic objectives and effective performance management.

Career Readiness

Competencies sought after by employers include networking and business understanding.
Steps to become proactive learners include solution-focused thinking, participating in discussions, and setting realistic goals.

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Test your knowledge of key concepts in MGT 301 Chapter 5 with these flashcards. The focus is on the definitions and purposes related to planning and business strategy. Perfect for students looking to reinforce their understanding.

MGT 301 Chapter 5 Questions

Questions and Answers

The purpose of ______ is to set goals and decide on the courses of action that will be used to achieve them.

A business plan is a document that outlines ______.

Which should be included in a firm's business model? (Select all that apply)

A company's strategy can best be described as a(n) ______ about what long-term goals or direction to pursue for the survival or prosperity of the organization.

One reason a company might create a bad strategic plan is because they make incorrect assumptions about what will happen in the market going forward.

The document that details how a company's goals are to be met is called a(n) ______.

Strategic planning can help encourage new ideas by stressing the importance of ______ in achieving long-range success.

A document that outlines a proposed firm's goals, its strategy for achieving those goals, and the standards for measuring success is known as a ______.

A company's _____ is the purpose of the organization.

A firm's business _______ should include a description of the need the firm will fill, the operations of the business, its components and functions, and the expected revenues and expenses.

The company's mission statement tells us ______.

The company's vision statement tells us ______.

The company's values statement tells us ______.

A ______ sets the long-term goals and direction for an organization.

A company's ______ statement should provide a clear sense of the future and the actions needed to get there.

Without having a plan in place, managers may focus only on ______ instead of keeping a long-range view and anticipating new opportunities.

A company's values statement expresses which of the following things? (Select all that apply)

According to management scholar Gary Hamel, companies like Apple have succeeded because their spirit of _____ has allowed them to reinvent the basis of competition within an existing industry.

Top managers use _______ planning to determine what the organization's long-term goals should be for the next one to five years with the resources they expect to have available.

An organization's vision represents ______.

Organizations use ______ planning to determine what contributions the departments or work units can make toward the organization's strategic priorities and policies during the next 6 -- 24 months.

The ______ statement expresses the purpose of an organization.

In business, a specific commitment to achieve a measurable result within a stated period of time is called a ______.

The vision statement should answer which of these questions?

Short-term (tactical) goals are connected to long-term (strategic) goals in a hierarchy called the ______.

A ______ statement expresses what the company stands for, its core priorities and what its products contribute to the world.

A(n) ______ provides a guide for a company's long-term goals.

Which of the following statements about strategic planning are true? (Choose every correct answer.)

It is the function of the ______ to take the strategic plan and develop actionable short-term goals that a business can achieve.

Who is responsible for tactical planning?

What are the characteristics of SMART goals? (Choose every correct answer.)

What are the types of goals in business?

A means-end chain is used in planning to show ______.

The 'measurable' aspect of a SMART goal refers to its ability to be ______.

Which of the following are true about long-term goals? (Choose every correct answer.)

In terms of SMART goals, an 'attainable' goal is ______.

Operating plans accomplish which of the following?

Which of the following verbs would be appropriate for a results-oriented goal? (Choose every correct answer.)

A ______ goal is one that is specific, measurable, attainable, results-oriented, and has target dates.

Management by ______ is a four-step process in which managers and employees jointly set objectives, develop action plans, review performance, and appraise and reward employees.

The letter S in the acronym SMART goal stands for what aspect of a good goal?

Managers and subordinates jointly setting subordinate objectives is the ______ step in management by objectives.

Which of these represent measurable goals?

A(n) ______ learning orientation represents the desire to learn and improve one's knowledge, soft-skills, and other characteristics in pursuit of personal development.

Goals that are challenging but are realistic and achievable within the scope of the resources available to a company satisfy which aspect of SMART goal criteria?

What is the second step in management by objectives?

When stating a goal, it is a good idea to start with the word 'To' and follow with an action-oriented verb such as 'increase' or 'acquire.' This describes the ______ aspect of SMART goals.

What would occur in the third step of management by objectives?

The purpose of management by objectives (MBO) is to ______ subordinates.

The fourth and final step in management by objectives involves:

What is the first step in management by objectives?

The process of ensuring that the strategic goals set at the top align with more specific short-term goals at lower organizational levels is known as ______ goals.

Which of the following are reasons that employers value a proactive learning orientation? (Choose every correct answer.)

______ help us to stay focused on the big picture, concentrate and make quicker decisions rather than putting them off, and ignore unimportant matters.

Managers preparing action plans represents the ______ step in management by objectives.

You can use the continuous feedback loop known as the ______ cycle to ensure you're headed in the right direction once you've made plans.

The manager and employee periodically reviewing the employee's performance represents the ______ step in management by objectives.

To be an effective planner, you should be a(n) ____________ learner in areas beyond the technicalities of your profession.

Managers and subordinates meeting to appraise performance, discuss results, and allocate rewards is the ______ step in management by objectives.

What behavior would a proactive learner most likely exhibit?

Cascading goals is the process of ______.

What are advantages for a company that establishes deadlines? (Choose every correct answer.)

Place the steps of the planning/control cycle in the correct order, with step one listed first (at the top) and step four listed last (at the bottom)

Which of the following are career readiness competencies? (Choose every correct answer.)

What are steps anyone can take to become a more proactive learner? (Choose every correct answer.)

Study Notes

Planning and Business Goals

Strategic Planning

Company Statements

Goals and Objectives

Management by Objectives (MBO)

Proactive Learning Orientation

Planning/Control Cycle

Career Readiness

Studying That Suits You

Description

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