Page 168 - BA1 Integrated Workbook STUDENT 2018
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Subject E3: Strategic Management
CHAPTER 6 – POSITION AND GAP ANALYSIS
6.1 D
UU’s low infection rates are likely to be classified as a strength as they suggest
effective internal processes are in place within the hospital.
The ‘best practice’ status for the hospital is likely to be an opportunity as, if
achieved, it will enable the hospital to bid for additional funding.
6.2 C
The efficiency gap refers to the increase in returns caused by an efficiency drive
(i.e. cost-cutting exercise). In this case, the cost cutting initiatives will raise
expected profits from $2.5m to $3.5m, giving an efficiency gap of $1.0m.
6.3 D
The Delphi technique uses experts to predict the future for the organisation, but
does not involve them meeting face to face – instead questioning is undertaken
through formal questionnaires. This would be most appropriate given PPP’s
concerns.
6.4 B
The first stage of scenario planning is identifying high-impact, high-uncertainty
factors that could affect the organisation.
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