CGM Strategic Planning & Leadership 3

Question 1

In Kotter's 8-step change model, what is the first step?

Accepted Answer

Create a sense of urgency

Answer

Kotter begins by building urgency so people see why change is needed.

Question 2

Which PESTEL factor would include a new data privacy regulation affecting the business?

Accepted Answer

Legal

Answer

Laws and regulations fall under the Legal factor, though Political is closely related.

Question 3

According to Hersey and Blanchard's Situational Leadership, a team with low competence but high commitment needs which style?

Accepted Answer

Coaching/Directing

Answer

Enthusiastic beginners need high direction with some encouragement.

Question 4

A company that competes by being the lowest-cost producer in its industry is following which of Porter's generic strategies?

Accepted Answer

Cost leadership

Answer

Cost leadership aims for the lowest operating cost to win on price or margin.

Question 5

Which statement best describes a strategic objective that follows the SMART criteria?

Accepted Answer

Increase repeat-customer rate from 40% to 50% by December 31

Answer

It is specific, measurable, time-bound and achievable, unlike vague aspirations.

CGM - Certified General Manager Practice Test