Question

The employees of Carlofen, a cell phone manufacturer, raised a concern to their management about their poor pay and excess workload. However, the management failed to address their issue, so a majority of them resigned at once. As a result, the company's sales began to fall and its overall performance began to deteriorate. This scenario best illustrates _____.

Answer 1

Answer:

Organizational decline

Explanation:

Organizational decline means that the survival of the organization/company is threatened due to management's inability to recognize both internal and external pressures, and act accordingly to solve them.

In Carlofen's case, management was unable to recognize that the employees' complaints about low salaries and excessive work load were serious and real. Since they didn't pay attention to this internal pressure, it erupted in the worst possible way resulting in massive resignations. This virtually paralyzed the company's operations which can result in its bankruptcy.

Answer 2

Answer: Organization decline

Explanation: The organization inability to address the complain of its staff welfare and not being considerate with work load led to the resignation of her staff, this is known as organization decline. This affects the performance of the company especially when the company are not able to employ capable hands immediately after the resignation of it's employees for the main time, also the employees which are employed won't settle immediately for the job as it would take them time to understand their roles properly, all this factors would lead to organization decline.