Possible Ways by Which a Company Can Overcome the Adverse

question 58

Multiple Choice

Possible ways by which a company can overcome the adverse impact of lean on employees include ______.

• A)guaranteeing the jobs of those employees who are dedicated and willing to go through additional training to support lean implementation
• B)assuring employees that their jobs will not be affected even if they are completely incompetent
• C)threatening employees with government-approved sanctions
• D)advising employees who remain that their salary will be doubled

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Definitions:

Inventory Turnover

A ratio showing how often a company has sold and replaced its inventory during a certain period, indicating the efficiency of inventory management.

Return On Equity

A measure of financial performance calculated by dividing net income by shareholders' equity.

Total Debt Ratio

A financial ratio that measures the extent of a company’s leverage, calculated by dividing its total liabilities by its total assets.

Profit Margin

A financial metric indicating the percentage of revenue that exceeds the costs of goods sold, representing the profitability.