In Succession Planning, Focusing on Fast Track Managers Is a Good

question 28

Multiple Choice

In succession planning, focusing on fast track managers is a good approach because:

• A) fast trackers are known to have skills associated with future performance
• B) fast trackers have passed all of the written and behavioral tests
• C) fast trackers are committed to staying with the company who invests in them
• D) fast trackers come from the outside so they have fresh ideas
• E) none of the above

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Definitions:

Firm-Specific

Refers to risk or information that is unique to a particular company and not related to the market or industry.

Covariance

A measure used to determine how two variables change together, indicating the direction of the relationship.

Variance

A statistical measurement of the dispersion of data points in a data set around the mean, indicating the extent to which the numbers differ from each other.

Correlation Coefficient

A statistical measure that determines the degree to which two variables move in relation to each other, where +1 indicates a perfect positive correlation and -1 indicates a perfect negative correlation.