Statco,Inc.,has struggled to meet projected revenues for each of the past ten quarters.The firm hired Mark Adams to design a control system and offer suggestions to improve the firm's performance.Which of the following is a key activity that the proposed control system should perform?
A)organizational planning
B)organizational structuring
C)performance measurement
D)corporate governance

Question

Quizplus · Accepted Answer

The key activity that the proposed control system should perform in this scenario is performance measurement. Since the company has not been meeting its projected revenues for the past ten quarters, it is important to measure performance in order to identify areas that need improvement and take corrective action. Organizational planning and structuring are not as important in this specific scenario, as the control system is not focused on strategic decision-making or reorganization. Corporate governance may be important in ensuring that the company's leadership is acting in the best interest of shareholders, but this is not the main issue at hand in this scenario.