Test: Entrepreneurial Planning- 1 - CUET Commerce MCQ

Project design is an opportunity to align on ideas, processes, and deliverables. It's an early phase in the project lifecycle and often comes before a project plan or charter. This is because it focuses on the project overview rather than the specific details.

Governance risk is connected to the performance of the board and management in regard to the community, ethics, company reputation, and community stewardship. This risk should be easier to mitigate because it depends largely on the behaviour of executives in business.

Process layout is a design for the floor plan of a plant which aims to improve efficiency by arranging equipment according to its function. The production line should ideally be designed to eliminate waste in material flows, inventory handling and management.

The project life cycle includes the steps required for project managers to successfully manage a project from start to finish. There are 5 phases to the project life cycle- initiating, planning, executing, monitoring/controlling, and closing. Each of these project phases represents a group of interrelated processes that must take place. Hence, project determination is not a different phase of a project life cycle.

Idea validation is the process of gathering evidence for the feasibility of ideas through experimentation to make fast, informed and de-risked decisions. The purpose of idea validation is to expose the idea to the real world before you spend a lot of time and money perfecting your final product or offering. New ideas always have plenty of built-in assumptions and if some of them prove wrong, it can destroy your plans at once. Validation reduces the risk, speeds up the delivery of a value-creating service in the market, and minimises the costs.

Management and leadership metrics help recognise the executive's role in fostering innovation. They drive employees to be creative when responding to customer needs. Firms can track the following leadership KPIs: innovative projects being overseen by senior management or sponsored, the amount of time senior leaders spends on innovative projects and the number of significant market innovations driven by senior leaders.

Leveraging existing business model refers to continuous improvements and incremental/sustainable innovations. As opposed to the business model innovation, the strategic focus with organisations that leverage existing business model is on improving the core business rather than building new business models to create new value.

According to Pierce and Dunham, the intrapreneurial process takes place in four sequential steps:

• Step 1 – Solo Phase – During this step, the typical entrepreneur works alone. The first task for the intrapreneur is to clearly identify the intrapreneurial idea.
• Step 2 – Network Phase – During this step, the entrepreneur shares the idea with other organizational members, seeking feed and suggestions for improvement of the idea.
• Step 3 – Boot Legging Phase – During this step, the entrepreneur begins to form a project team and some levels of product prototype development outside the normal operational mode of the company.
• Step 4 – Formal Team Phase – During this step, the idea becomes a formal organizational venture with formal organizational support.

Separated Innovation Programme involves exploring connections with the outside world that needs to happen outside of the core organisation. When working together, new resources, processes and profit models need to be explored.

Sustaining innovation exists in the current market and instead of creating new value networks, it improves and grows the existing ones by satisfying the needs of a customer.
The product performance of sustaining innovation is made slightly better with every iteration, reducing defects. The new improved version of the product can be more expensive and can have higher margins than the previous one if it targets more demanding, high-end customers with better performance than what was previously available.