A limitation of a competency-based structure is that it requires cost controls.Question 13Answera.FALSEb.TRUE
Question
A limitation of a competency-based structure is that it requires cost controls.
Question 13
Answer
- a. FALSE
- b. TRUE
Solution
Step 1: Break Down the Problem
The question is seeking validation of a statement regarding a competency-based structure and its limitations related to cost controls. We need to determine if this statement is true or false.
Step 2: Relevant Concepts
A competency-based structure in organizations often focuses on the skills and abilities of employees rather than traditional roles. While this approach can enhance flexibility and performance, it may also necessitate rigorous cost controls to ensure that competency development aligns with organizational budget constraints.
Step 3: Analysis and Detail
- Competency-Based Structure: This is designed to align employee abilities with organizational goals.
- Cost Control: Implementing this structure can lead to increased costs in training and development. Therefore, organizations may need to implement strict cost controls to manage these expenses efficiently.
Step 4: Verify and Summarize
In conclusion, the statement reflects a reality where a competency-based structure can indeed impose the necessity for tighter cost management to maintain financial health. Thus, the statement is confirmed as true.
Final Answer
b. TRUE
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