Free CIMA Strategic Level Case Study Exam E3 Ultimate Study Guide (Updated 282 Questions)
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NEW QUESTION 102
QQQ is a family run business which manufactures and sells chocolate. QQQ employs 80 staff in its factory and shops. It operates 10 shops within a number of small towns in the northern region of Country P.
In the last four years, demand for QQQ's products has decreased, as customers in its local region are increasingly shopping in large supermarkets and out of town facilities, which are more convenient and tend to offer cheaper priced goods. The recent economic recession has hit the region hard and many local people have moved away to find work in other regions of the country. The internet has also impacted upon its business, as many customers are now making purchases of chocolate via the internet.
The Managing Director (MD) of QQQ has recently retired and the Board took the decision to make an external appointment to replace him. The new MD believes that QQQ needs to invest in new technology within its factory. This would reduce staffing levels by 15% and would reduce wastage and costs, allowing QQQ to offer more competitively priced products. He also believes that QQQ must invest in its own website. However QQQ's staff are very unhappy with these proposals. Some of the family members of the Board are concerned that this change will destroy the family tradition and reputation of QQQ that has been built up over many years.
Select the correct descriptor for each of the forces for change below.
Answer:
Explanation:
NEW QUESTION 103
'Change-adept' Organizations are those that manage change successfully. Moss-Kanter identified skills required by Organizational leaders which are necessary to lead 'change-adept' Organizations.
Your Organization is undergoing significant change and the appointment of a new CEO is imminent. You have been asked to recommend the key skills for assessing the shortlist of CEO candidates against.
Which of the following statements are suitable for use as the selection criteria for the new CEO, consistent with the ideas expressed by Moss-Kanter?
Select ALL that apply.
- A. Able to tune into the environment.
- B. Able to take heroic action.
- C. Able to break up coalitions.
- D. Able to challenge the prevailing Organizational wisdom.
- E. Able to communicate a compelling aspiration.
Answer: A,D,E
NEW QUESTION 104
McKinsey saw culture as seven interconnected elements and described these in the '7S' model. Which of the following is NOT a 'hard' factor within the '7S' model?
- A. The way in which the Organization plans to gain a competitive advantage.
- B. The way the Organization is structured and who reports to who.
- C. The core values of the Organization.
- D. The daily activities and procedures followed by staff.
Answer: C
NEW QUESTION 105
AB uses Johnson, Scholes and Whittington's criteria of 'Feasibility and Acceptability' to evaluate potential strategies. AB has begun a project to re-engineer its best selling product.
Apply the appropriate criterion to each of the questions below:
Answer:
Explanation:
NEW QUESTION 106
GGG is a successful airline and has a proven record in successfully exploiting the resources it obtains Which of the following might create an additional Core Competence for GGG?
- A. The airline operations that operate below the level of middle management.
- B. A market with more passengers than the existing airlines can satisfy.
- C. Sufficient aircraft to operate a good timetable.
- D. Unique rights to operate from the most popular airport serving a capital city.
Answer: D
NEW QUESTION 107
Which of the following is NOT a fundamental principle specified in CIMA's Code of Ethics?
- A. Confidentiality
- B. Sustainability
- C. Integrity
- D. Objectivity
Answer: B
NEW QUESTION 108
Which TWO of the following statements are NOT characteristics of a robust 'coaching climate'?
- A. Coaching is seen primarily as an opportunity to be proactive rather than reactive.
- B. People are recognised and rewarded for sharing knowledge.
- C. Personal growth, team development and Organizational learning are integrated.
- D. Time for reflection takes place only out of office hours.
- E. People are able to engage in destructive confrontation.
Answer: D,E
NEW QUESTION 109
Select the label which best defines the periods of decline outlined in the situations presented below.
Answer:
Explanation:
NEW QUESTION 110
DF Company is undertaking a strategic review of its activities and has asked you to explain how a Force Field analysis would assist in the review process.
Which of the following statements would be most appropriate?
- A. Identify forces facing DF's activities that may create barriers and resistance to change.
- B. Provide a framework for identifying forces for and against the proposed changes within DF.
- C. Identify influential senior managers who will drive through changes in DF's strategic direction.
- D. As part of DF's strategic review, identify forces facilitating the need for proposed change.
Answer: B
NEW QUESTION 111
PQ is an international airline.
In accordance with Porter's Value Chain, select "Primary" or "Support" for each of the activities listed below.
Answer:
Explanation:
NEW QUESTION 112
EEE is an international airline.
Indicate which of the following activities are 'primary' or 'support' in accordance with Porter's Value Chain.
Answer:
Explanation:
NEW QUESTION 113
Which of the following statements are consistent with an effective strategic approach to supply chain management within a manufacturing Organization?
Select ALL that apply.
- A. Identifying new opportunities for close liaison with an Organization's key suppliers and key customers, supported through the effective use of IT.
- B. Recognising product liability is easily transferred from the manufacturer to the retailer.
- C. Effective supply chain management plays an important role in contributing to the Organization's overall success.
- D. A senior member of the management team has oversight and responsibility for supply chain activities within the business.
- E. Anticipating and responding to the increasing legal, consumer and ethical demands being made on an Organization's supply chain.
- F. Industry consolidation has no impact on an Organization's position within its supply chain.
Answer: A,C,D,E
NEW QUESTION 114
In respect of mission statements, place the word "characteristic" or "purpose" against the relevant activity.
Answer:
Explanation:
NEW QUESTION 115
Which of the following correctly defines Information Systems (IS) strategy?
- A. Decisions on the hardware, software and communications solutions used in the Organization.
- B. The planning, organising, investment and control of information applications in the Organization.
- C. The roles and structure of information specialists in the Organization and their relationship with users.
- D. Identifying the information needs of the Organization and aligning development to them.
Answer: D
NEW QUESTION 116
XYZ is a manufacturer of garden tools. It has defined 'Excellence of Manufacture' as a Critical Success Factor. Which THREE of the following would be appropriate to use as Key Performance Indicators in respect of this Critical Success Factor?.
- A. Raw materials identified as essential.
- B. Tonnage of raw materials usage.
- C. Amount of money budgeted for production process improvements.
- D. Average age of products.
- E. Number of finished products rejected at final inspection.
- F. % of raw materials input which is scrapped.
Answer: C,E,F
NEW QUESTION 117
Which of the following uses apply to Porter's Value Chain?
Select ALL that apply.
- A. Assesses improvements to management information.
- B. Identifies key processes that add value to the end customer.
- C. Helps assess the markets that the company currently operates in.
- D. Prioritises operations that transform the various outputs into the final product.
- E. Gives managers a deeper understanding of precisely what their Organization does.
Answer: B,E
NEW QUESTION 118
CCC is a software design company. The Board of CCC has always openly encouraged partnerships with a wide range of designers and other organizations in its industry in order to continually develop and enhance the services it offers and to utilize the expertise and knowledge of a range of individuals and organizations. CCC's staff have also been highly creative and innovative in the design services they provide. CCC regularly analyses and keeps up to date with changes in the environment in which it operates. CCC operates a sophisticated website to promote its services and keep in touch with its service users.
Which TWO of the following attributes of a change adept organization, as defined by Kanter, has CCC demonstrated? (Choose two.)
- A. Imagination to innovate
- B. Sophisticated systems
- C. Openness to collaborate
- D. Environmental awareness
- E. Continual service development
Answer: D,E
NEW QUESTION 119
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