Joe, the CEO of TexTel, Inc., studies the structure of his organization and finds that many of its processes are inefficient. His company has a team-oriented culture in which people perform as groups and complete short-term projects to earn revenue. He decides to downsize the organization to increase profits and use the profits to enhance the organization's efficiency. Emily, the company's HR manager, thinks downsizing is detrimental to the organization's growth. Which of them is right?
A. Joe is right because downsizing yield slow but long term profits
B. Emily is right because downsizing will affect the organization's team culture and result in poor productivity
C. Joe is right because downsizing is the simplest way to ensure current and future competitiveness
D. Emily is right because downsizing often results in acquisition of companies by other organizations
E. Emily is right because downsizing requires moving to relatively expensive locations
Answer: B. Emily is right because downsizing will affect the organization's team culture and result in poor productivity
If the answers is incorrect or not given, you can answer the above question in the comment box. If the answers is incorrect or not given, you can answer the above question in the comment box.