Planning & Goals
What is planning in management?
Planning is the process managers use to identify and select appropriate goals and courses of action.
What is a business-level strategy?
A strategy that shows how a company competes against rivals in an industry.
What is a corporate-level strategy?
A plan that shows in which industries and markets an organization will compete.
What is strategy implementation?
It is how managers allocate resources and responsibilities to carry out strategies.
What is a strategy?
Decisions about what goals to pursue and how to use resources.
What are the three main steps of the planning process?
1) Determine the mission and goals
2) Formulate strategy
3) Implement strategy.
Which strategy focuses on offering products at the lowest cost?
Low-cost strategy.
Who is responsible for corporate-level planning?
The CEO and top managers.
At what level are strategies put into action?
At the functional and business levels.
What does SWOT analysis stand for?
Strengths, Weaknesses, Opportunities, and Threats.
What is a mission statement?
A declaration of an organization’s purpose that identifies its products, customers, and what makes it different from competitors.
Which strategy focuses on offering unique products?
Differentiation strategy.
What is vertical integration?
A strategy in which a company controls more stages of production and distribution.
What is a functional-level strategy?
A plan to improve how each department performs its activities.
What is strategic leadership?
The ability of top managers to communicate a strong vision to employees.
Why is planning important for organizations?
It gives direction, helps coordination, encourages participation, and allows control of managers.
What strategy did Coke and Pepsi use to dominate the soda market?
Differentiation strategy through branding and advertising.
Why did Coke and Pepsi buy their bottlers?
To increase long-term profits through vertical integration.
Give one example of a functional strategy.
Free point
What is a rolling plan?
A plan that is updated every year to adjust to changes.
According to Fayol, what four qualities should a good plan have?
Unity, continuity, accuracy, and flexibility.
What focused strategy did Cott Corporation use?
A focused low-cost strategy
What is the main corporate goal of GE?
To be the first or second leading company in every industry it competes in.
What happens when strategies fail?
Organizational performance falls.
What is the main purpose of SWOT analysis in planning?
To help managers identify internal strengths and weaknesses and external opportunities and threats in order to create better strategies.