EXERCISE 10-15 (CONTINUED) ALTERNATIVE SOLUTION

1. Based on the conversation between Terry Travers and Sally Christensen, it seems likely that their motivation would be stifled by the variance re-porting system at Aurora Manufacturing Company. Their behavior may include any of the following: • Suboptimization, a condition in which individual managers disregard major company goals and focus their attention solely on their own division’s activities. • Frustration from untimely reports and formats that are not useful in their daily activities.