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CIMA CIMAPRO15-E03-X1-ENG Exam Syllabus Topics:

SectionObjectives
Topic 1: Strategy Implementation- Organisational structure and design
  • 1. Organisational configurations
    • 2. Centralisation vs decentralisation
      - Change management
      • 1. Kotter's 8-step model
        • 2. Lewin's change model
          - Project and performance management
          • 1. Performance measurement systems
            • 2. Strategic project management
              Topic 2: Strategic Choices- Corporate strategy
              • 1. Mergers and acquisitions
                • 2. Diversification strategies
                  • 3. Strategic alliances
                    - Business unit strategy
                    • 1. Focus strategy
                      • 2. Cost leadership
                        • 3. Differentiation strategy
                          Topic 3: Strategy Formulation- Strategic analysis of external environment
                          • 1. Market segmentation and positioning
                            • 2. PESTEL analysis
                              • 3. Industry and competitive forces (Porter's Five Forces)
                                - Internal strategic analysis
                                • 1. Value chain analysis
                                  • 2. Core competencies
                                    • 3. Resource and capability analysis

                                      CIMA E3 - Strategic Management Question Tutorial Sample Questions:

                                      Question 1

                                      An organization must acquire suitable hardware and software in order to implement a knowledge management strategy so that knowledge can be stored and communicated.
                                      Which of the following would be appropriate systems to use in a knowledge management strategy? (Choose all that apply.)

                                      A. Internet
                                      B. Ledgers and journals
                                      C. Social media
                                      D. Groupware
                                      E. Intranet
                                      F. Local area network


                                      Question 2

                                      RRR is an insurance company which maintains an extensive database of its customer transactions over the last 10 years. RRR is developing a new product and has carried out a SWOT analysis.
                                      Within which of the following aspects of the SWOT analysis would RRR include its customer database?

                                      A. Threat
                                      B. Opportunity
                                      C. Weakness
                                      D. Strength


                                      Question 3

                                      Which of the following would be correct considerations when evaluating the Feasibility of a strategy? (Choose all that apply.)

                                      A. Will customers object to the strategy?
                                      B. Will there be sufficient time to implement the strategy?
                                      C. Will the strategy exploit the core competencies of the business?
                                      D. Will the strategy maintain competitive advantage?
                                      E. Will the business be able to deal with the responses of its competitors to the strategy?


                                      Question 4

                                      Which THREE of the following issues relate to the Corporate Strategy of an organization? (Choose three.)

                                      A. Entering new industries.
                                      B. Acquisitions, disposals and diversification.
                                      C. Meeting the needs of key customers.
                                      D. Avoiding competitive disadvantages.
                                      E. Leaving existing industries.
                                      F. Achieving advantage over competitors.


                                      Question 5

                                      HHH is a manufacturer which has a bonus scheme for its production workers related to the speed of output.
                                      HHH's products are very specialized and are made in a dangerous production environment. HHH's production workers usually work alone but sometimes, if there are problems in the production environment (for example, machinery breakdowns), they have to work in teams. When the production workers are working in teams they do not receive any bonus.
                                      HHH's senior management is proposing to amend the current bonus scheme to encourage increased productivity. Under the current bonus scheme, production workers receive extra pay when they achieve 45% of their individual target: The target level is low because of the dangerous production environment and the need to occasionally work in teams.
                                      Under the proposed bonus scheme, production workers will not receive any extra pay until they have achieved
                                      90% of their individual target. Workers who achieve 90% or above of their individual target will be paid a 30% higher bonus.
                                      Which THREE of the following problems is HHH most likely to encounter with the introduction of the proposed bonus scheme? (Choose three.)

                                      A. The proposed bonus scheme conflicts with health and safety legislation.
                                      B. Production workers could consider the new target as unachievable.
                                      C. There could be a rise in the level of workplace accidents.
                                      D. Production workers will not be motivated by the proposed level of bonus.
                                      E. The extra production output will lead to an increase in inventory.


                                      Solutions:

                                      Question 1
                                      Answer: E,F
                                      Question 2
                                      Answer: D
                                      Question 3
                                      Answer: B,C
                                      Question 4
                                      Answer: B,C,D
                                      Question 5
                                      Answer: C,D,E

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