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A manager considered skill development and morale along with cost in an employee-related decision. What does this show?

Answer and explanation

Correct answer: Human stakeholder approach

The governing concept is the stakeholder approach to professional management. Employees are not merely a cost recorded in accounts; they are human stakeholders whose skills, morale, security, and development affect both their welfare and the organisation’s long-term performance. Considering training opportunities and morale alongside cost shows that the manager is assessing human and organisational consequences together rather than using a narrow financial test. Option A is correct. Option B is incorrect because an accounting-only approach would focus mainly on measurable cost and would ignore human effects. Option C concerns access or eligibility, and option D concerns competing personal interests; neither is indicated by the situation.

Related tags

ManagementProfessionStakeholder ApproachEmployee WelfareManagement As A ProfessionNature And Significance Of ManagementBusiness StudiesClass 12 Mcq

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