Employee Involvement Is Important in an Effective Performance Measurement System

question 16

Multiple Choice

Employee involvement is important in an effective performance measurement system because it:

• A) increases the employee's commitment to the organization and its objectives.
• B) decreases the employee's reliance on financial performance measures.
• C) increases the likelihood that goal congruence problems will occur.
• D) decreases the chances of an unfavorable manufacturing cycle time.

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Definitions:

Economies of Scale

Cost advantages that enterprises obtain due to their scale of operation, with cost per unit of output generally decreasing with increasing scale.

HR Unit

A division within a company focused on employee recruitment, management, and company policies adherence.

Specialized Subunits

Distinct divisions or sections within an organization tasked with specific functions or responsibilities, often to increase efficiency or expertise.

Legal Regulations

Rules and guidelines enforced by government agencies to control behavior, ensure fairness, and protect both public and private interests.