Standards Are Important in the Control Process Because They

question 21

Multiple Choice

Standards are important in the control process because they

• A) help create the flexibility needed for an organization to function effectively.
• B) provide a way to group activities.
• C) set the strategy for use of resources.
• D) define the dimensions for what is expected to happen.

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Definitions:

Incentive Bias

A psychological lean or predisposition towards certain decisions or actions due to promised rewards or incentives.

Survivorship Bias

The error of focusing on the successes or survivors in a group and overlooking those that failed, which can lead to overly optimistic beliefs or conclusions.

Reporting Bias

A tendency to selectively choose or promote certain outcomes, data, or studies over others, which can lead to a distorted view of reality.

Incentive Bias

The tendency of an individual or entity to act in a way that is more favorable for their interests due to the promise of a reward or bonus.