Wilma heads the production department at Riden Inc.,a firm that stresses the importance of maintaining regular contact with customers.Wilma is expecting a labor surplus in the future.John,a supervisor,recommends downsizing as an option to deal with this labor surplus.However,Wilma rejects this option.Which of the following statements will validate that Wilma made the right decision?

Question

Quizplus · Accepted Answer

Although downsizing has an immediate effect on costs, much of the evidence suggests that it hurts long-term organizational effectiveness. This is especially true for certain kinds of companies, such as those that emphasize research and development and where employees have extensive contact with customers.

Wilma Heads the Production Department at Riden Inc