CS Professional · Strategic Management and Corporate Finance · Strategic Analysis and Planning
Which of the following is the best reason why strategic planning tends to fail when strategy formulation is separated entirely from those who must implement it?
Planning fails because implementers lack ownership and the plan lacks ground-level information. When those who execute strategy are excluded from formulating it, the plan can become unrealistic and commitment weakens, leading to poor execution and weak control of results.
- AImplementers may lack ownership and ground information, so strategy may be unrealistic or poorly executedCorrect
- BStrategy formulation then becomes a legal requirement under company law
- CFunctional strategies become unnecessary
- DMission statements can no longer be drafted
Explanation
Separating planners from implementers deprives the plan of operational information and weakens commitment, so execution suffers. The other options are irrelevant: company law does not require this, functional strategies remain necessary, and mission drafting is unaffected.
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