ABC Corp. is an information technology company. The IT department wants to upgrade
the firm’s technological infrastructure but the cost of upgrading is likely to take up at
least 60 percent of the firm’s cash reserves. The finance manager is reluctant to release
funds for this purpose. According to him, “The economy is still in a state of uncertainty.
The company is better off preserving its cash reserves rather than investing it.”
In order to increase the quality of their objectives, managers should ________.
A) set employees’ goals as high as possible
B) ensure that they set objectives entirely by themselves
C) establish goals which are within easy reach
D) let the people responsible for attaining the objectives have a voice in setting them
E) avoid relating objectives to specific actions
One of the organizational objectives of Valpo Industries, a pharmaceutical firm, is “to
develop a new line of drugs for the treatment of life-threatening diseases such as cancer
and AIDS, through the use of patented technology and processes.” According to
Drucker, this objective relates to ________.
A) market standing
B) innovation
C) productivity
D) profitability
E) public responsibility