Output Controls Can Sometimes Discourage Collaboration Among Different Strategic Business

question 34

Multiple Choice

Output controls can sometimes discourage collaboration among different strategic business units. However, more and more work requires creativity and innovation, especially in highly-developed economies. One way firms are grappling with this issue is by

• A) introducing results-only-work-environments to tap intrinsic motivations.
• B) refining the budgeting process to encourage more department collaboration.
• C) updating standard operating procedures to allow more process flexibility.
• D) using output controls only when the goal is to ensure a predictable outcome.

Recognize the role of denial in avoiding reality.

Identify the psychological response to stress or threat in terms of defense mechanisms.

Understand the concept of reaction formation and how it manifests behaviorally.

Recognize the use of rationalization to justify behaviors or attitudes.

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Definitions:

Demand Equation

A mathematical formula representing the relationship between the quantity demanded of a good and its price, along with other factors like income and price of related goods.

Supply Equation

An algebraic expression representing the relationship between the quantity supplied of a good and its price, along with other factors like the cost of inputs.

Ceiling Prices

Legally established maximum prices that can be charged for goods or services, usually set by government authorities.

Black Markets

Illicit trade environments where goods or services are exchanged illegally or outside the official regulatory frameworks.