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CMA Intermediate · Operations Management and Strategic Management · Formulation and Implementation of Strategy

Which statement best describes the difference between strategic control and operational control?

Strategic control asks whether the chosen strategy still fits the changing environment and is long-term in view, whereas operational control checks short-term efficiency of daily activities against standards. The other statements wrongly reverse responsibility levels, time horizons or types of measures.

  1. AStrategic control is concerned with whether the strategy itself remains appropriate to the changing environment, while operational control checks efficiency of day-to-day activities against short-term standardsCorrect
  2. BStrategic control is done only by supervisors, while operational control is done by the board
  3. CStrategic control uses only quantitative measures, while operational control uses only qualitative measures
  4. DStrategic control deals with the past year only, while operational control looks to the long term

Explanation

Strategic control is long-term and outward-looking, asking whether the strategy is still right. Operational control is short-term and internal, comparing day-to-day performance with standards. The other options reverse the levels or wrongly restrict the type of measures used.

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