General Electric Has an Up-Or-Out Policy,where Key Personnel in Underperforming

question 15

Multiple Choice

General Electric has an up-or-out policy,where key personnel in underperforming units are pressured to boost performance to acceptable levels and keep it there or risk being replaced.What is this an example of?

• A) Staffing the organization with managers and employees capable of executing the strategy well
• B) Developing the resources and organizational capabilities required for successful strategy execution
• C) Tying rewards and incentives directly to the achievement of strategic and financial targets
• D) Adopting best practices and business processes to drive continuous improvement in strategy execution activities
• E) Exercising the internal leadership needed to propel strategy implementation forward

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Definitions:

Business Risk

The exposure to factors that may cause a business to experience lower profits or financial loss, including market competition, regulatory changes, and operational failures.

Endowment Management

The process of overseeing and making investment decisions for an endowment fund to ensure its ability to support a particular organization or cause over time.

Bookkeeping

The practice of recording all financial transactions, ensuring accuracy and completeness in the financial records of an organization.

Accrual Basis Accounting

An accounting method where income and expenses are recorded when they are earned or incurred, regardless of when the cash is actually received or paid.