Question

1. Answer true or false on the following

1. As it relates to using measures to manage and challenging strategy: Relationships between different parameters – for example customer satisfaction, employee satisfaction and profitability – are often hypothesized with the support of academic research. However, the only way to know if the relationship is valid in your organization is to test it through performance measurement.

True

False

The initial success map reflects the assumptions and beliefs of the people who created it. However, once the measures have been implemented and used, you should use them to challenge the success map and through doing that, challenge your strategy.

Group of answer choices

True

False

Performance data cannot be used to test your basic understanding of how your organization works and what its strategy should be.

True

False

Reward systems can make it difficult to revise targets as employees’ remuneration is affected.

True

False

Conflicting perspectives of success between functional managers and business unit managers resurface when measurement is changed.

True

False

Answer 1

Solution:

All questions are answered as per their sequence.

• True
  It is necessary that the hypotheses from the academic research be supported with the performance data to test for the relationships among different parameters of business crucial to understand to measure their relationships. Hence, the statement is true.
  
• True
  We must constantly keep evolving with our strategies as we move ahead from the initial phases of the strategy by challenging the strategy using the measurements of the performance and altering the strategy if needed to ensure we have an effective strategy in place. Hence, the statement is true.
  
• False
  Performance data can definitely be used to develop a basic understanding of the working of the organization and what should be the initial strategy. Hence, false.
  
• False
  Rewards system does not hiunder revising the targets of the employees. Rewards associated can be changed as per the revised targets easily as is the case in many organizations today. Hence, false.
  
• True
  When the measurements differ for a functional manager and business unit manager there can be conflicting interests between those two who will try to ensure that their objectives are met. Hence, the statement is truwe.