CA Intermediate · Financial Management and Strategic Management · Strategy Implementation and Evaluation
Kavya Textiles Ltd. has decided to enter technical textiles. Before the plan starts, the CEO wants to know whether it is feasible, how resources will be allocated among the departments, and what the key tasks will be. Which of the following steps in strategy implementation does this most directly describe?
The scenario describes strategy implementation: turning the chosen strategy into action by building supporting structure, allocating resources among departments and defining key tasks. It is not evaluation or environmental scanning, and structure alone is too narrow because resource allocation is also involved.
- AStrategy evaluation through corrective action
- BDesigning the organisational structure only
- CDeveloping the strategic plan into action by building the supporting structure and allocating resourcesCorrect
- DEnvironmental scanning of competitors
Explanation
Strategy implementation converts formulated strategy into action by creating a suitable structure, allocating resources and setting up systems. The scenario concerns resource allocation and key tasks, not evaluating results or scanning the environment. Option B is too narrow since resources are also involved.
Did you get it right without looking?
One question tells you little. A timed set on Strategy Implementation and Evaluation shows your real accuracy, how long you take and where you lose marks.
More Strategy Implementation and Evaluation questions
- Anand Retail Ltd assumed that consumer spending in its target cities would grow at 8% a year when it formed its expansion strategy. Manageme…
- Bharat Retail tracks its performance through financial results, customer satisfaction, internal process efficiency, and employee learning an…
- Arjun Motors tracks a premium bike launch. Management notes that the assumption about fuel prices on which the strategy was based has change…
- Kaveri Auto Components Ltd. is moving from a functional structure to one with separate divisions for two-wheeler parts and four-wheeler part…
- Arjun Motors measures performance using financial results, customer satisfaction, internal process efficiency, and employee learning and inn…
- Nirmaan Infra, a diversified group, uses a control system under which each business unit head is judged on financial outcomes such as return…