Asked by Eboni Warren on May 11, 2024
Verified
As part of his company's initiative to create a high-performance work system, Cody, an HR manager, has been reorganizing work so that teams of employees will concentrate on coordinating their efforts to make sure customers are satisfied. The vice president of human resources has asked Cody to explain to a team of executives how this project will help the company's financial performance. What would be the most effective explanation for Cody to use?
A) Getting employees focused on customer satisfaction should take their focus off compensation, lowering costs.
B) Improving customer satisfaction should increase demand, leading to greater sales and profits.
C) Satisfied customers should result in higher quality, which, in turn, will increase the degree of innovation.
D) Customer satisfaction should lower employee absenteeism and turnover, which reduces costs and raises profits.
E) Focusing on customer satisfaction will drive up productivity, which, in turn, drives up profits.
Customer Satisfaction
A measure of how products or services provided by a company meet or surpass customer expectations.
Financial Performance
A measurement of how well a company can use assets from its primary mode of business and generate revenues.
- Identify the function of employee empowerment in improving performance and the methods to obtain it.
- Evaluate the relationship between performance-driven remuneration and an organization's operational success.
Verified Answer
AR
Allied RealEstateMay 17, 2024
Final Answer :
B
Explanation :
Improving customer satisfaction should increase demand, leading to greater sales and profits.
Learning Objectives
- Identify the function of employee empowerment in improving performance and the methods to obtain it.
- Evaluate the relationship between performance-driven remuneration and an organization's operational success.