Visible Actions to Reallocate Operating Funds and Move People into Different

question 44

Multiple Choice

Visible actions to reallocate operating funds and move people into different and new organizational units:

• A) can be dysfunctional in trying to implement a new strategy because of the anxiety and insecurity that big changes in budgets cause among company personnel.
• B) signal a determined commitment to strategic change and can help catalyze and give credibility to the implementation process.
• C) run the risk of inadvertently creating barriers to building the needed competencies and capabilities.
• D) tend to impede the task of empowering employees and shifting to new,more strategy-supportive culture.
• E) are rarely necessary in implementing a new strategy unless the new strategy entails a radically different set of value chain activities.

---

Definitions:

Normal Balance

The side (debit or credit) of an account that is expected to have a higher balance, based on the accounting equation.

Financial Statement

Reports that summarize the financial performance, position, and cash flows of a business for a specific period.

Account

An account is a record within an accounting system that is used to store financial transactions of a particular type, such as assets, liabilities, equity, revenues, and expenses.

Withdrawals

Money or other assets taken out from a business by its owner(s) for personal use.