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C correct answers 1. What is organisational alignment? A. Aligning your key capabilities with your business strategy B. Aligning your strategy with the external environment C. Aligning the organisational elements - people, structure, culture, systems - with the key capabilities required for th...

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Practice OBE102c || with Error-free Solutions.
C correct answers 1. What is organisational alignment?

A. Aligning your key capabilities with your business strategy
B. Aligning your strategy with the external environment
C. Aligning the organisational elements - people, structure, culture, systems - with the key
capabilities required for the business strategy
D. Aligning the organisational elements - people, structure, culture, systems - with the business
strategy

C correct answers 2. In what way are the elements of an organisation comparable to the parts of a
human body?
A. Leaders control the organisation just like the brain controls the body
B. The whole is greater than the sum of its individual parts
C. They need to be attuned to each other for the whole to work effectively
D. They are an instrument for achieving a particular objective

A correct answers 3.Which of the following is NOT a reason why key capabilities are important?
A. Key capabilities are the things the organisation needs to be really good at to deliver on its
B. Key capabilities are key to realising sustainable competitive advantage because they can be
difficult to copy
C. Key capabilities help focus the leadership team
D. Key capabilities can help focus the whole organisation by clearly indicating what the
organisation needs to be really good at to succeed

D correct answers 4.What is the best way for identifying key capabilities?
A. Using your business sense
B. Using Michael Porter's conceptual framework
C. The checklist method
D. Triangulation of all of the above

A correct answers 5.The "substance" of leadership, as opposed to leading by vision and style, is
all about:
A. Enabling the organisation to execute the business strategy through the effective configuration
of culture, structure, systems, and people practices
B. Analysing the degree of organisational alignment
C. Becoming a reactive firefighter who can solve whatever problem is in front of them
Defining your differentiating key capabilities

B,C,D correct answers 1.Which of the following are characteristics of organisational culture?
A. It is only reflected in rituals and routines, stories, and symbols
B. It is difficult to change because people become identified with an organisational culture and
can resist culture change as a result
C. It is difficult to change because it is difficult to identify

,D. It is difficult to identify because most of culture resides underneath the surface level of
behaviour

A correct answers 2.Which of the following statements is false?
A. A hierarchy culture is generally inferior to the other culture types because it is closely
associated with bureaucracy
B. A clan culture is the diagonal opposite of a market culture
C. A market culture is externally oriented and focused on stability and control
D. An adhocracy culture is the diagonal opposite of a hierarchy culture

D correct answers 3.Which of the following statements is true?
A. You should always embark on culture change when you find that a different type of culture
offers unique benefits
B. Your organisational culture can be identified as fitting exclusively in one of the four culture
types: clan, adhocracy, market, and hierarchy
C. It is impossible to combine the benefits of different culture types
D. You should only consider culture change if the behaviours that your existing culture
encourages are misaligned with the key capabilities your business strategy requires

C correct answers 4.Which of the following is not one of the main reasons why organisational
culture is important:
A. Organisational culture can be a source of competitive advantage
B. Organisational culture can be an obstacle to organisational agility
C. Organisational culture eats strategy for breakfast
D. Organisational culture can help prevent unethical behaviour and corporate scandals

D correct answers 5.Why can organisational culture be an important source of competitive
advantage?
A. Because organisational culture is difficult to identify
B. Because organisational culture can be difficult to change
C. Because culture can make an organisation less agile
D. Because it is difficult to copy which makes it more sustainable as a potential source of
advantage

A correct answers 1.This statement is true, but it is NOT the reason why culture can be an
important source of competitive advantage
A. The trade-off between efficiency and effectiveness
B. The trade-off between coordination and efficiency
C. The trade-off between efficiency and responsiveness
D. The trade-off between responsiveness and coordination

C correct answers 2.Which of the following statements about the matrix structure is true?
A. The matrix structure is not necessarily more complex and costly than the divisional structure
B. When you have a functional structure that is too silo-ed, it is a good idea to use a matrix
structure to improve coordination across the functional silos

, C. Matrix structures are oriented at coordination along multiple dimensions, such as geography
and product line, for example
D. The matrix structure is generally preferable over other structure types because it can help you
coordinate the organisation along multiple dimensions at the same time

D correct answers 3.When you want to structure a cost conscious organisation that offers a
service that centrally involves specialists who are expensive to train, and who can't be trained
across multiple specialisations, which of the following is the most logical structure to use?
A. Matrix by specialisation and customer segment
B. Divisional by customer segment
C. Network with flexible organic reporting lines
D. Functional by specialisation

B correct answers 4.The harmonica effect of recurring cycles from centralisation to
decentralisation and back again is an effect of which key trade-off?
A. Agreeableness vs Responsiveness
B. Responsiveness vs Coordination
C. Efficiency vs Coordination
D. None of the above

A correct answers 5.Which statement is false?
A. Organisation structure is the most effective lever for ensuring that the organisation is aligned
with the required key capabilities
B. One of the key limitations of organisational structure is that just because you re-draw the
boxes on an org chart does not necessarily mean that people's behaviours change to fit
C. One of the key difficulties with deciding on an organisation structure is that it involves trade-
off decisions that are inevitable
D. Organisational structure decisions often become politicised, which makes it more difficult to
implement the most effective one

D correct answers 1.What are the four types of control systems that Professor Robert Simons has
defined?
A. The Balanced Scorecard, Boundary systems, Belief systems, and Information systems
B. Tracking measures from four perspectives: shareholders, customers, internal, and innovation
and learning
C. Enacted values, Organisational structure, Diagnostics systems, and Interactive systems
D. Belief, Boundary, Diagnostics, and Interactive systems

D correct answers 2.Which of the following is NOT one of the four key steps for ensuring that
your management reports are linked to your strategy?
A. What is our vision and what are our strategic objectives in relation to this vision?
B. If we succeed in our vision, how will we be differentiated from our competition from a
number of different perspectives?
C. What are the Critical Success Factors for strategic success from each of the perspectives?
D. What are the critical measures that enable us to track and influence the Key Performance
Indicators (KPIs)?

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