BUSI 650 CHAPTER 3 TEST

Topics: Balanced scorecard / Pages: 9 (1398 words) / Published: Mar 28th, 2015
Chapter 3
Controlling Processes

Multiple Choice

1. Which of the following is NOT a problem commonly found when monitoring?
a) Organizations collect data that are easily gathered
b) Gathered data are not the most important to reach the organization’s goals
c) There is an undue emphasis on measuring objective output performance
d) Inputs measurements are used as a proxy for output completion

Answer: c
Difficulty: Hard
Response: Page 96
Reference: Monitoring and Control

2. In this stage of operational effectiveness, organizations use core capabilities residing in the operations area to obtain a sustainable competitive advantage.
a) Stage 1, internally supportive
b) Stage 2, externally neutral
c) Stage 3, internally supportive
d) Stage 4, externally supportive

Answer: d
Difficulty: Hard
Response: This occurs in the last stage (4). Page 98
Reference: Process Monitoring

3. Which one of the following perceptual measures corresponds to a company that is in the internally supportive stage of operational effectiveness?
a) Outside experts are called in for strategic decisions
b) Aim is to achieve competitive parity
c) A manufacturing strategy is formulated and pursued
d) Goal is to achieve competitive superiority

Answer: c
Difficulty: Hard
Response: See page 99
Reference: Process Monitoring

4. Which one of the following perceptual measures corresponds to a company that is in the internally neutral stage of operational effectiveness?
a) Outside experts are called in for strategic decisions
b) Aim is to achieve competitive parity
c) A manufacturing strategy is formulated and pursued
d) Goal is to achieve competitive superiority

Answer: a
Difficulty: Hard
Response: See page 99
Reference: Process Monitoring

5. Some benefits of the balanced scorecard include:
a) It helps align departmental and personal goals to the organization
b) It is an effective way to clarify and gain authority within the organization
c) It is a mechanism for aligning personal goals with societal

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