CIMA E3 - Strategic Management Question Tutorial : CIMAPRO15-E03-X1-ENG

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CIMA E3 - Strategic Management Question Tutorial Sample Questions:

1. SDC is a medium sized IT systems development company. SDC employs highly qualified and experienced systems development experts. It invests heavily in staff training and development and as a result, staff are highly motivated and staff turnover is low. SDC has a strong culture of team work and innovation, which the senior managers believe is the basis of SDC's success. The senior managers, who are also the founders of SDC, are highly experienced and have a strong vision for the business.
Which THREE of the following factors would be the main focus of a resource audit for SDC? (Choose three.)

A) Management
B) Machinery
C) Markets
D) Make-up
E) Manpower
F) Money

2. TUV had an employee turnover rate of 25% among new recruits and was becoming short of skilled workers.
The Board of TUV realized there was something dramatically wrong and called in consultants to assess the problem. The consultants recommended transformational change in that TUV should redesign the entire production system, change the placement of all equipment and the flow of work, redefine every job and give all workers new assignments.
Which type of change did the consultants recommend for TUV?

A) Adaptation
B) Evolution
C) Revolution
D) Reconstruction

3. ZYX is a global hotel chain, employing over 10,000 staff worldwide. ZYX operates a Code of Conduct for all of its staff, which states "Our staff are the most important assets of our business operations. We expect the highest standards of ethical and professional conduct from all staff, who must display the principles of trust, respect, equality, integrity and fairness at all times." Which THREE of the following actions could ZYX take to positively influence its staff to work to the ethical and professional principles in its Code of Conduct? (Choose three.)

A) Disciplinary actions, such as fines, for staff who do not display high ethical and professional standards.
B) Interview process for staff prior to employment, to assess their understanding of ethical and professional behavior.
C) Induction and on-going staff training on ZYX's Code of Conduct and ethical and professional principles.
D) Operate a system of reward incentives for staff who display high ethical and professional standards.
E) Publication on its website of ZYX's Code of Conduct and regular examples of staff displaying the highest standards of professional conduct.
F) Set performance targets in diversity and equality for its hotel senior managers.

4. Which THREE of the following frameworks are used solely to evaluate the external environment of an organization? (Choose three.)

A) Porter's Diamond
B) PEST Analysis
C) Kaplan and Norton's Balanced Scorecard
D) Porter's Value Chain
E) SWOT analysis
F) Porter's Five Forces Model

5. Which of the following categorizations would be correct, according to McFarlan's Strategic Grid, for a system which is critical to sustaining existing business but its future strategic importance is considered to be low?

A) Turnaround
B) Factory
C) Support
D) Strategic

Solutions: