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CIMA E3 - Strategic Management Question Tutorial Sample Questions:

1. BCA is a long established international airline. Which of the following represent Threats to BCA's business?
(Choose all that apply.)

A) A sudden increase in international terrorism.
B) Greater popularity of long-haul holidays.
C) A higher level of private car ownership.
D) A shortage of trained pilots in BCA.
E) A substantial rise in the price of oil.

2. RRR is an insurance company which maintains an extensive database of its customer transactions over the last 10 years. RRR is developing a new product and has carried out a SWOT analysis.
Within which of the following aspects of the SWOT analysis would RRR include its customer database?

A) Strength
B) Threat
C) Weakness
D) Opportunity

3. M has been appointed as an external change agent to lead and implement a large scale re-structuring strategy which is being undertaken by a large bank. M has been appointed due to his extensive experience in a wide range of organizational re-structuring programmes. This re-structuring strategy will involve a large number of redundancies and the implementation of a new organization-wide management reporting system. M will need to work with staff from all departments and levels of the organization. The Board of Directors of the bank believes that an external change agent will bring more benefits to the change process than using an internal change agent.
Which of the following are the most likely benefits that could be achieved by the bank by appointing an external change agent to lead and implement the re-structuring strategy? (Choose all that apply.)

A) The external change agent will have better relationships with the bank employees than an internal change agent.
B) The bank can exploit the specialist expertise of the external change agent.
C) The change process should be less costly if an external change agent is appointed.
D) The speed of delivery of the change process will be quicker when using an external change agent.
E) As a dedicated resource, the external change agent can give more time to the change process.
F) The external change agent will be more objective in decision-making than an internal change agent.

4. TTT recently appointed a new Chief Executive, R, to lead it through a period of major change. R immediately set up a change management team which consisted of several senior managers and directors from across the organization. Together, they formulated an overall goal for change and then spent several weeks presenting the need for change to all of the staff through a series of staff meetings. At these meetings R involved staff and built their ideas into the final change strategy.
R also set a series of interim goals to encourage ongoing performance throughout the change process. When the organization reached these goals, R widely publicized these achievements to help motivate staff.
However, after six months, TTT had failed to reach most of the interim goals that had been set. Most of the members of the change management team had not maintained a significant interest in the change process and many of the staff felt that there had been a lack of communication and reward following the initial few weeks of the change process.
Kotter suggested that there were eight steps required to successfully lead change.
Which TWO of the following did R fail to achieve? (Choose two.)

A) Incorporate change into the culture
B) Empower broad based action
C) Develop a change vision
D) Generate short term wins
E) Never letting up

5. 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) Openness to collaborate
C) Continual service development
D) Sophisticated systems
E) Environmental awareness

Solutions: