When a company decides to follow a cost leadership strategy, HRM is mostly concerned with _______________.
A)hiring individuals based on individual knowledge and skill sets and not on what jobs need to be filled at that point in time
B)creating cross-functional teams
C)creating broader job descriptions and work planning processes
D)implementing performance appraisals
E)maximum efficiency and effectiveness

Question

Quizplus · Accepted Answer

The primary objective of a cost leadership strategy is to achieve maximum efficiency and effectiveness in all areas of the organization, including HRM. HRM is responsible for ensuring that the company's workforce is operating at maximum efficiency and effectiveness while keeping costs low, which requires careful planning and management of resources. Therefore, HRM should focus on strategies such as reducing employee turnover rates, improving training and development programs, and implementing cost-effective performance and compensation systems.

When a Company Decides to Follow a Cost Leadership Strategy