As Banks and Other FIs Increase the Use of Technology

question 17

Multiple Choice

As banks and other FIs increase the use of technology, an unintended consequence may be that

• A)cost savings are seldom realized.
• B)customers are driven away because they still want to interact with a person for certain transactions.
• C)innovation of new products tends to take longer periods of time to attract new customers.
• D)the marginal cost of adding new customers tends to increase at an increasing rate.
• E)None of the options.

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Definitions:

HR Analytics

Type of assessment of HRM effectiveness that involves determining the impact of, or the financial cost and benefits of, a program or practice.

High-Performance Work System

An organization in which technology, organizational structure, people, and processes work together seamlessly to give an organization an advantage in the competitive environment.

Traditional Management

A hierarchical organizational approach focusing on top-down decision-making, structured procedures, and clear division of labor.

High Employee Turnover

A situation where an organization experiences a frequent change in personnel, leading to a high rate of employees leaving and being replaced.