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CIMA E3 Exam With Confidence Using Practice Dumps

Exam Code:
E3
Exam Name:
E3 Strategic Management
Certification:
Vendor:
Questions:
280
Last Updated:
Jun 19, 2026
Exam Status:
Stable
CIMA E3

E3: CIMA Strategic Exam 2025 Study Guide Pdf and Test Engine

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E3 Strategic Management Questions and Answers

Question 1

JJJ is a private company belonging to a famous former athlete. It operates gyms and fitness clubs across its home country. Each gym or fitness club is treated as a profit centre and the manager of each centre is paid bonuses based on its financial performance.

 

Three years ago it introduced multidimensional performance measures into its management control systems. These measure capacity utilisation, financial performance, competitiveness, innovation, and the flexibility of its centres to cope with changing demands.

 

The managers of its centres have been leaving at a very high rate over the last two years. They have claimed that the measures are too open to interpretation and when they think they are improving the centre's performance they are told they are doing the wrong thing. They also complain that the managers in the centres near big cities find it much easier to reach their targets than the managers of other centres.

 

Using Fitzgerald and Moon's Building Block model,  where does the problem lie?

Options:

A.

Standards and Rewards

B.

Dimensions and Rewards

C.

Dimensions and Standards

D.

Standards, Dimensions and Rewards

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Question 2

A Service Level Agreement (SLA) defines exactly what services a service provider will provide and the required level or standard for those services.

Which of the following statements regarding Service Level Agreements is NOT correct?

Options:

A.

Service Level Agreements should include the expected response time to technical queries.

B.

Service Level Agreements should include the targets and benchmarks to be used and the consequences for failing to meet them.

C.

Service Level Agreements should include the procedures for cancelling the contract.

D.

Service Level Agreements should include a guarantee to provide 100% availability for complaint resolution.

Question 3

HHH is a teaching Organization. HHH has begun to employ virtual reality to train the customers on its courses in how to perform complex manual tasks such as repairing machinery.

 

Which activity in Porter's Value Chain has been impacted by HHH's use of virtual reality?

Options:

A.

Operations

B.

Service

C.

Procurement

D.

Human resources management