The Explosion of the Space Shuttle Challenger Is an Example

question 47

Multiple Choice

The explosion of the space shuttle Challenger is an example of poor managerial decision making by the managers at NASA and Morton Thiokol, who considered and then downplayed the criterion of

• A)ethicalness.
• B)practicality.
• C)legality.
• D)economic feasibility.

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Definitions:

Performance Evaluation

The systematic assessment of an employee's work performance using predetermined criteria to improve and manage performance.

Budgeted Fixed Costs

The projected amount of fixed costs for a certain period, used for planning and budgeting purposes.

Service Department

A service department refers to a division within a company that provides support services to other departments, rather than producing goods.

Transfer Price

The price at which goods or services are transferred between departments or affiliated entities within the same organization.