Answer (D) is correct . Management by exception gives significant attention only to those areas in which material deviations from expectations occur. Consequently, management focuses resources where the greatest returns from supervisory effort may be achieved.
Answer (A) is incorrect because In MBO, a manager and his/her subordinates jointly formulate the subordinates’ objectives and the plans for attaining them.
Answer (B) is incorrect because In a responsibility accounting system, managers are evaluated only on the basis of factors they control.
Answer (C) is incorrect because Benchmarking is the practice of identifying, studying, and building upon the best practices in the industry or in the world.
|
