SHRM - Strategy Flashcards
Answer
Balance sheet
Statement that reports the financial position of the organization at a specific point in time; shows assets, liabilities, and shareholder equity.
Answer
Strategic management
The actions that leaders take to move their organizations toward those goals and create value for all stakeholders.
Answer
Value drivers
Actions, processes, or results that are needed to deliver a desired value.
Answer
Vision statement
Vivid, guiding image of an organization’s desired future, the future it hopes to attain through its strategy.
Answer
Value
The benefit created when an organization meets its strategic goals.
Answer
Critical path
Describes the shortest amount of time required to complete a project, taking into account all project task relationships—for example, whether task C must be completed before Task E, and whether Tasks A and B can be completed at the same time.
Answer
Cash flows statement
Statement that shows incoming and outgoing cash in the areas of operations, investments, and financing and remaining cash reserves; reflects an organization’s ability to meet its current and short-term obligations.
Answer
Income statement
Statement that reports revenues, expenses, and net income (profit) for a specified period—for example, quarterly or annually.
Answer
Trend analysis
Statistical method that studies the way in which a variable may change over time.
Answer
Variance analysis
Statistical method that identifies the degree of difference between planned and actual performance.
Answer
Strategic planning
The process of setting goals and designing a path toward a competitive position.
Answer
Business intelligence
Ability to gather and analyze data from inside and outside the organization so that information is available for decision makers.
Answer
Scenario/what-if analysis
Statistical method used to test the possible effects of altering the details of a strategy to see if the likely outcome can be improved.
Answer
Value chain
The process by which an organization creates the product or service it offers to the customer.
Answer
Strategic fit
A state in which an organization’s strategy is consistent with its external opportunities and circumstances and its internal structure, resources, and capabilities.
Answer
Mission statement
Statement that specifies what activities an organization intends to pursue and what course management has charted for the future; a concise statement of its strategy.
Answer
Lagging indicator
A metric that describes an activity that has already occurred
Answer
Stakeholder concept
Concept that proposes that any organization operates within a complex environment in which it affects and is affected by a variety of forces or stakeholders who all share in the value of the organization and its activities.
Answer
Leading indicator
A metric that describes an activity that can change future performance and indicate higher degree of success in achieving strategic goals.
Answer
Benchmarking
Process that compares performance levels and/or processes of one entity with those of another to identify performance gaps and set goals aimed at improving performance.
Answer
Organizational values
Beliefs that are important to an organization and often dictate employee behavior.
Answer
Organizational culture
The basic beliefs and customs shared by members of an organization that contribute to an organization’s sense of its identity.
Answer
Blue ocean strategies
Strategies that create competitive advantage by creating a new marketplace arena in which there are no other competitors.
