The Principal of Northern Community College Has Asked Eight Administrators

question 60

Essay

The principal of Northern Community College has asked eight administrators to identify new revenue-generating uses of classrooms and related facilities between teaching semesters.The group is given one afternoon to generate as many creative ideas as possible and to decide which one of these is the best.Some administrators in the group often disagree with each other and might criticize each other's ideas.The principal is not concerned whether all the administrators are committed to their final recommendation.Describe one team decision-making structure that would be most effective in this situation.Your answer should also explain why this method is better than other forms of team decision making.

---

Definitions:

Suitable Projects

Projects that align with a company's strategic goals, resource capabilities, and risk tolerance.

WACC

Weighted Average Cost of Capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is proportionately weighted, used to evaluate investment decisions.

Positive Net Present Value

A situation where the present value of cash inflows exceeds the present value of cash outflows, indicating a profitable investment.

Book Value Weights

Utilized in calculating weighted average cost of capital (WACC), referring to the proportion of each type of capital (debt, equity) based on its book value.