Executive information focus: Top management is primarily concerned with which category of decisions?

Difficulty: Easy

Correct Answer: strategic decisions

Explanation:


Introduction / Context:
Organizations typically distinguish decision levels as strategic, tactical, and operational. Understanding who focuses on which level helps tailor information systems and dashboards to executive needs versus middle management and supervisors.


Given Data / Assumptions:

  • Top management sets long-term direction and policy.
  • Middle management translates strategy into plans (tactical).
  • Lower levels manage day-to-day execution (operational).


Concept / Approach:
Strategic decisions span years, involve significant uncertainty, and require aggregated, external, and forward-looking information (market trends, competitive posture, capital allocation). Executives need summarized indicators and scenario analysis, not the detail used for daily control.


Step-by-Step Solution:
Identify the organizational tier in question: top management.Match to decision horizon: long-term, organization-wide impact.Select “strategic decisions” as the primary focus.


Verification / Alternative check:
Executive Information Systems (EIS) and strategy reviews center on KPIs, scorecards, and scenarios tied to strategy rather than routine scheduling metrics.


Why Other Options Are Wrong:

  • Operational: Superintendent/supervisor level.
  • Tactical: Middle management for resource allocation and control.
  • Both strategic and tactical equally: In practice, top management concentrates on strategy while delegating most tactical work.


Common Pitfalls:
Flooding executives with transactional detail; confusing strategic KPIs with operational activity metrics.


Final Answer:
strategic decisions

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