BUSI 400 Read & Interact Dess, McNamara, Eisner, & Lee Chapter 9 solutions complete answers

BUSI 400 Read & Interact Dess, McNamara, Eisner, & Lee Chapter 9 solutions complete answers 

 

The two central aspects of strategic control are ______ control and ______ control.

 

The ______ approach to strategic control is sequential.

 

The two types of strategic control in the contemporary approach are ______.

 

Which of the following statements regarding informational control are correct? (Check all that apply.)

 

Culture, rewards, and boundaries are key "levers" of ______ controls.

 

Informal control and behavioral control are two central aspects of ______ control.

 

The set of unwritten standards of acceptable behavior in an organization is called organizational       .

 

Which of the following are part of the traditional approach sequence? (Check all that apply.)

 

Policies that specify who gets praised and recognized and why is called the       system.

 

True or false: Informational control is primarily concerned with whether the organization is "doing the right things."

 

Enhanced cohesion and reinforcement of basic core values are part of an effective ______ system.

 

The control system that addresses the assumptions that form the foundation of the organization is ______ control.

 

Rules that specify behaviors that are acceptable and unacceptable are called ______.

 

The three elements of behavioral control are culture, rewards, and ______.

 

Managers consider both external and internal factors to determine how to achieve appropriate       control over the individuals who work for the organization.

 

A system of shared values and beliefs that shape a company's people, organizational structure, and control systems to produce behavioral norms is ______.

 

Which of the following are steps that organizations can take to evolve the organization from boundaries to rewards and culture? (Check all that apply.)

 

A system that focuses and motivates employee efforts on high-priority tasks is called a ______ system.

 

Corporate governance is the relationship among ______.

 

Which of the following are characteristics of an effective reward system? (Check all that apply.)

 

A mechanism created to allow for different parties to contribute capital, expertise, and labor for the benefit of each party is called a(n) _______.

 

Boundaries and constraints play a valuable role in focusing ______.

 

Two means of monitoring the behavior of managers through corporate governance mechanisms are through a committed board of directors and ______.

 

The type of behavior control used in an organization is often based on internal and ______ controls.

 

Which of the following has a fiduciary duty to ensure that the company is run consistently with the long-term interests of the business owners or shareholders and to act as an intermediary between the shareholders and management?

 

Hiring the right people, training, management role models, and rewards are part of evolving from ______ to culture.

 

Which of the following are attributes of an effective board of directors? (Check all that apply.)

 

The relationship between various participants, including shareholders and management, in determining the direction and performance of corporations is called ______.

 

Which of the following actions that can have a positive influence on the dynamics of the boards of directors?

 

In a(n) ______, shareholders have limited liability as well as limited involvement with the businesses' operation.

 

The leadership structure where the CEO acts as both the chief executive officer and the chair of the board of directors is called CEO ______.

 

Shareholder activism and an involved and committed board of directors are mechanisms of ______.

 

Which of the following are external governance control mechanisms? (Check all that apply.)

 

The duties of the ______ involve reviewing the organization's financial objectives and major strategies, providing advice to top management, and reviewing systems to ensure compliance with laws and regulations.

 

One form of opportunistic behavior that managers exhibit is engaging in excessive product-market      , which reduces their employment risk.

 

Which of the following duties are primary responsibilities of a board of directors? (Check all that apply.)

 

______ is one external mechanism that provides a solution to opportunistic behavior by managers.

 

True or false: Research of boards of directors shows that simple restrictions, such as a requirement that a majority of the board members be outside directors, is enough to make the operations of the board effective.

 

The risk of being acquired by a hostile raider is often referred to as the ______ and deters opportunistic behavior by management.

 

Which of the following statements about CEO duality is true?

 

______ are independent, certified professionals who verify the firm's books of accounts to unearth financial irregularities and ensure good accounting practices.

 

Government regulatory bodies, auditors, public activists, and the media are all ______ governance control mechanisms.

 

______ are external control mechanisms that ensure that the firm's finances are in order and loan covenants are being followed.

 

Which of the following are examples of how managers can exhibit opportunistic behavior? (Check all that apply.)

 

Which of the following provides external oversight of companies?

 

Which of the following is an external control mechanism in which shareholders dissatisfied with a firm's management sell their shares?

 

Conflicts between controlling shareholders and minority shareholders are called principal-______ conflicts.

 

The takeover constraint refers to the risk of being acquired by which of the following?

 

A set of firms that, though legally independent, are bound together by informal and formal ties and are accustomed to taking coordinated action are known as ______.

 

Which of the following statements about external auditors are true? (Check all that apply.)

 

Which of the following statements about stock analysts are true? (Check all that apply.)

 

Public corporations must disclose financial information to government       bodies such as the Securities and Exchange Commission.

 

Principal—principal conflicts are conflicts between controlling shareholders and ________ shareholders.

 

Business groups are particularly dominant in which of the following?

 

 

Agency theory is concerned with resolving which of the following problems that can occur in agency relationships? (Check all that apply.)
 
 
In a bureaucratic organization, ______.
 
 
Managers can reduce the need for organizational rules and regulations by hiring the right people, providing training, developing management role models, and creating ______ systems.
 
 
 
 
 
 
 
 
 
 

 

 

 

Actions by large shareholders to protect their interests when they feel they are not receiving value maximization is called ______.
 
 
Agency theory is concerned with ______.
 
 
The board of directors functions as a "go between" for the ______.
 
 
The control process that continuously updates and challenges assumptions that underlie the organization's strategy is ______ control.
 
 
______ deals with the relationship between principals (owners) and their agents (managers/employees).
 
 
Effective contemporary controls systems focus on ______.
 
 
An example of the role that public activists have played as an external control mechanism is pressuring companies to refuse to deal in valuable minerals known as _______________ minerals, which rebel groups trade to buy weapons.
 
 
For stable organizations with a largely unskilled workforce and a need to provide a consistent product or service, ___________ -based controls are the most important.
 
 
______ governance is when shareholders, management, and the board of directors work together to align their goals.
 
 
In the traditional approach to strategic control, control is based on ______.
 
 
In today's complex competitive environment with weakened employee loyalties, the two levers of behavioral control that are the most effective are culture and _____________
 
 
The role of ______ control is to challenge the organization's beliefs and goals and to continuously monitor, test, and review strategies.
 
 
Rule-based controls are most appropriate for organizations that have which of the following? (Check all that apply.)
 
 
 
 
 
 
 
 
 
 

The _______________ theory perspective on CEO duality is based on the separation of power.
 
 
The traditional approach is the most appropriate approach when ______.
 
 
True or false: A corporation's board of directors has little control over the amount bonuses and stock options that the corporation's CEO receives for his or her performance.
 
 
True or false: A strong culture can be a primary source of competitive advantage.
 
 
True or false: Unity-of-command advocates believe that a CEO can act more efficiently and effectively when holding the positions both of CEO and chairman of the board.
 
 
What are reasons for emphasizing culture and rewards in a system of behavior controls? (Check all that apply.)
 
 
When controlling shareholders conduct activities that enrich the controlling shareholders at the expense of the minority shareholders, they are engaging in ______.
 
 
Which of the following are appropriate conditions for using the traditional approach to strategic control? (Check all that apply.)
 
 
 
 
 
 
 
 

Which of the following are characteristics of a contemporary control system? (Check all that apply.)
 
 
Which of the following are components of the unity-of-command perspective on CEO duality? (Check all that apply.)
 
 
Which of the following are reasons incentives can go wrong in a company? (Check all that apply.)
 
 
Which of the following are ways in which institutional investors are engaging in shareholder activism?
 
 
Which of the following are ways that a board of directors can incentivize managers to make decisions that are in the company's shareholders' interest? (Check all that apply.)
 
 
Which of the following has an indirect role as an external control mechanism?
 
 
Which of the following is an effective technique for maintaining organizational culture?
 
 
 
 
 
 
 
 

Which of the following is the agency theory perspective on CEO duality?
 
 
Which of the following is the best description of the expropriation of minority shareholders?
 
 
Which of the following is the most likely to lead to superior financial performance of a company?
 
 
Which of the following result from differences in reward systems across organizational units? (Check all that apply.)
 
 
Which of the following statements about creating and maintaining a strong organizational culture are true? (Check all that apply.)
 
 
Which of the following statements about rewards systems are correct? (Check all that apply.)
 
 
Which of the following statements are true about the traditional approach to strategic control?
 
 
Which of the following statements are true regarding the role that culture plays? (Check all that apply.)
 
 
Which of the following statements are true regarding the role that good corporate governance plays on the decision to invest in companies? (Check all that apply.)
 
 
Which of the following statements regarding controls in a bureaucratic organization are correct? (Check all that apply.)
 
 
 
 
 
 
 
 

Which of the following statements regarding short-term objectives and actions plans are true? (Check all that apply.)
 
 
Which of the following would be the most likely to motivate employees to perform well on the job?
 
 
Which one of the following is an attribute of effective short-term objectives?
 
 
Which type of contemporary strategic control focuses on whether the organization is "doing things right"?