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When are multiple subcultures MOST problematic?


A) When they are compatible with the overarching corporate culture and are supportive of strategy-execution
B) When they don't clash and coordinating efforts to craft and execute strategy within each subculture is relatively easy
C) When they foster teamwork and support a collaborative approach to strategy execution
D) When they embrace conflicting business philosophies that are inconsistent with superior strategy execution
E) When they guide management in coming up with consistent approaches to executing company strategies

F) B) and D)
G) B) and C)

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Identify and briefly explain the two types of healthy cultures and how they aid in good corporate strategy execution.

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In high-performance cultures,there's a s...

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A company's value statement and code of ethics:


A) help to mold the culture and communicate what kinds of actions and behaviors are expected of all company personnel.
B) help prevent it from coming across to customers and the general public as greedy.
C) serve the valuable purpose of making its suppliers hesitant to engage in business practices that are unethical.
D) are the most important factors determining its reputation with customers, suppliers, employees, shareholders, and society at large.
E) should always be made a prominent and visible part of the company's strategic intent and strategy.

F) None of the above
G) C) and E)

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Which of the following is NOT one of the leadership roles that senior managers have to play in pushing for good strategy execution and operating excellence?


A) Learning the obstacles in the path of good execution and clearing the way for progress
B) Being out in the field, seeing how well operations are going
C) Being out front personally, leading the execution process and driving the pace of progress
D) Weeding out managers who are consistently in the ranks of the lowest performers (the bottom 10 percent) and who are not enthusiastic about the strategy or how it is being executed
E) Delegating authority to middle and lower-level managers and creating a sense of empowerment among employees to move the implementation process forward

F) A) and E)
G) B) and E)

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The character of a company's corporate culture is a product of all of the following EXCEPT:


A) the shared values and core business principles and beliefs that management preaches and practices.
B) its standards of what is ethically acceptable and what is not and the stories that get told over and over to illustrate and reinforce the company's shared values, business practices, and traditions.
C) the company's approach to people management and the "chemistry" and "personality" that permeates its work environment.
D) the work practices and behaviors that define "how we do things around here."
E) its lack of mechanisms for aligning, constraining, and regulating the actions, decisions, and behaviors of company personnel.

F) C) and D)
G) B) and D)

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Which of the following does NOT define an unethical and greed-driven culture?


A) Company managers and staff have little regard for ethical standards.
B) Company executives are driven by greed and ego gratification.
C) Executives exude an "ends-justify-the-means" mentality in pursuing overambitious operating and financial targets.
D) Companies adopt accounting principles that make their financial performance appear better than it really is.
E) Frontline employees display high-performance behaviors and a passion for making the company successful.

F) A) and C)
G) All of the above

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Which of the following is something to look for in identifying a company's culture?


A) The atmosphere, spirit and character that pervades the work climate and the values, business principles, and ethical standards that management preaches and practices
B) The track record in meeting or beating its financial and strategic performance targets
C) The intensity and makeup of the company's value chain
D) The strategic intent and competitive strategy inherent within the company's efforts for successful strategy execution
E) The resource strengths, core competencies, and competitive capabilities that permeate the organization

F) A) and E)
G) C) and D)

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Which of the following topics would least likely be contained in a company's code of ethics?


A) Prohibiting giving or accepting bribes, kickbacks, or gifts
B) Expecting all company personnel to display honesty and integrity in their actions and avoid conflicts of interest
C) Barring dealing with suppliers that employ child labor or engage in other unsavory practices
D) Committing to a no-layoff policy and to adequate funding of employee retirement programs
E) Avoiding use of company assets, resources, and property for personal or other inappropriate purposes

F) C) and D)
G) All of the above

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Which of the following is NOT particularly helpful in perpetuating a company's culture?


A) Word-of-mouth indoctrination of new members in the culture's fundamentals
B) Frequent reiteration of core values by senior managers and group members
C) Visibly rewarding those who display cultural norms and penalizing those who don't
D) Maintaining a consistent strategic vision and strategic intent over time
E) Telling and retelling of company legends and regular ceremonies honoring members who display desired cultural behaviors

F) B) and C)
G) None of the above

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A work environment where the culture is in sync with the chosen strategy and is conducive to good strategy execution is considered a valuable managerial ally because:


A) there is much less risk of embarrassing ethical violations.
B) it provides company personnel with clear guidance regarding "how we do things around here" and produces significant peer pressure from co-workers to conform to culturally acceptable norms.
C) there is reduced need to incorporate negative motivational practices and punitive-type incentives into the reward structure and in the company's approach to people management.
D) there is reduced need to employ benchmarking, best practice programs, reengineering, Six Sigma, and TQM to achieve competitive advantage.
E) the culture can be readily incorporated into the company's strategic vision and facilitate the achievement of stretch objectives.

F) A) and C)
G) B) and E)

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The hallmarks of a high-performance corporate culture include:


A) a deep commitment to employee training, unusually attractive fringe benefit packages for company personnel, and frequently revised and updated values and ethics statements.
B) a "can-do" spirit, pride in doing things right, no-excuses accountability, and a pervasive results-oriented work climate where people go the extra mile to meet or beat stretch objectives.
C) a strong emphasis on teamwork, strict enforcement of company policies and procedures, and incentive compensation for all employees aligned with a balanced scorecard approach to measuring performance.
D) a deep commitment to pioneering new best practices, a preference for being a fast-follower as opposed to a first-mover or late-mover, and across-the-board bonuses for all personnel when the company meets or beats stretch objectives.
E) a deep commitment to top-notch quality and superior customer service, dedicated use of TQM and/or Six Sigma quality control programs, and the payment of big performance bonuses and stock options.

F) B) and C)
G) A) and E)

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When a company's culture is out of sync with what is needed for strategic success and good strategy execution:


A) the strategy has to be changed to fit the culture as rapidly as possible.
B) the company's strategic vision, strategic intent, and strategy have to be adjusted to better reflect ingrained core values and cultural norms.
C) management needs to go on the offensive to reinterpret the culture and explain to company personnel why there really is good overall cultural fit with the strategy.
D) the culture has to be changed to accommodate the requirements of good strategy execution as rapidly as can be managed.
E) management must urge the company to participate in an all-out effort to create a different portfolio of competencies and capabilities that will permit the strategy to be changed in ways that will fit the culture.

F) A) and C)
G) A) and B)

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Which of the following is NOT something to look for in identifying a company's culture?


A) The company's defined spirit and character that pervades the work climate
B) The company's resource strengths, core competencies, and competitive capabilities
C) The company's revered traditions and oft-repeated stories about "heroic acts" and "how we do things around here"
D) The company's approach to people management and the official policies, procedures, and operating practices that paint the white lines for the behavior of company personnel
E) The company's shared values, business principles, and ethical standards that management preaches and practices

F) A) and E)
G) A) and D)

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Values and ethical standards not only must be explicitly stated but they also must be deeply ingrained into the corporate culture.True or false? Explain.

A) True
B) False

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The retelling of legendary stories does a lot for establishing a company's core values,but it should NOT:


A) place pressure on company personnel to display core values and to do their part in keeping the companies traditions alive.
B) illustrate the kind of behavior the company reveres.
C) inspire company personnel to perform similarly and reinforce the depth of commitment that people have displayed.
D) reflect an aspect of company culture no longer current.
E) steer company personnel toward both doing things right and doing the right thing.

F) B) and D)
G) C) and E)

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Identify and discuss the three ways that a corporate culture,grounded in actions,behaviors,and work practices and conducive to good strategy implementation can assist corporate strategy execution.

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In general,leading the drive for good st...

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In a strong-culture company:


A) values and behavioral norms are like crabgrass-deeply rooted and hard to weed out.
B) there is wide support for high ethical standards among both managers and employees.
C) a company has more strategy flexibility because it can change its strategy and be confident that the culture will welcome the strategy changes and be an ally in implementing whatever changes are called for.
D) there is little room for employee empowerment, because independent-thinking empowered employees may well make decisions or engage in actions that weaken the culture.
E) management insists that official policies and procedures be followed religiously.

F) A) and B)
G) C) and D)

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The two culture-building roles of a company's stated values and ethical standards are to:


A) communicate the company's good intentions and establish a corporate conscience.
B) confirm the integrity of company personnel and signal the above-board nature of the company's business principles and operating methods.
C) steer company personnel toward doing the right thing and convince outsiders that the company is socially responsible.
D) foster a work climate where company personnel share common and strongly held convictions about how the company's business is to be conducted and to provide them with guidance about how to do their jobs, steering them toward both doing things right and doing the right things.
E) provide a basis for designing culture-supportive incentive compensation plans and reinforcing the appropriateness of particular ethical and moral actions.

F) None of the above
G) A) and E)

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Briefly identify three types of unhealthy corporate cultures.

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1 Change-resistant cultures are cultures...

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Which of the following is NOT one of the positive impacts that a company's stated values and ethical standards have on its corporate culture?


A) Communicating the company's good intentions
B) Validating the integrity and above-board nature of the company's business principles and operating methods
C) Steering company personnel toward both doing things right and doing the right thing
D) Establishing a corporate conscience
E) Identifying how best to adapt to changing market conditions

F) B) and E)
G) A) and E)

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