All of the following statements are true about organizational downsizing EXCEPT:
A)it often speeds decision making.
B)it has both psychological and sociological impact.
C)it is aimed primarily at reducing corporate staff and middle management.
D)it has consistently achieved good results.
E)it is a popular trend.

Question

Quizplus · Accepted Answer

The statement that organizational downsizing has consistently achieved good results is not entirely true. While downsizing may generate short-term cost savings or productivity improvements, long-term effects, such as reduced morale and disrupted organizational culture, can offset these benefits. Therefore, it is misleading to say that downsizing consistently produces positive outcomes.

All of the Following Statements Are True About Organizational Downsizing