Corey wants to reorganize the company. Currently there are HR units at each plant, fiscal units at each plant, and purchasing units at each plant He feels that by bringing all of those key functions together in one location and deploying them to the plants only when needed, he will save money and also create consistency. Is Corey correct? Multiple Choice No, because with fewer employees in these units, the work will take longer actually costing the company more. No, because even though the company will be able to save on bayroll the costs of travel will be increased No, because the employees will not feel that their needs are being met by the company O o oo O Yes, because the company will be able to make decisions more quickly, since all the key players will be in one location Yes, because the company will need fewer employees in these units, saving money and allowing for consistency in process 12 of 40 !!! < Prev Next > MacBook Pro

Centralizing the support functions of a business such as Human Resources, fiscal and purchasing units can reduce costs, create consistency and reduce duplication of duties.

However, in this case where the business needs to deploy staff of these units to each plant occasionally, the travel expenses and negative effect on the staff will outweigh the money saved.