According to the Rule of One-Eight, which of the following scenarios is the most common?
A) The CEO of Starbridge, Inc., read books about how putting people first build profits, but did not believe them.
B) The CEO of Energize, Inc., implemented comprehensive changes to put employees first, but ended this plan prematurely.
C) The CEO of LongRun, Inc., increased the benefits of employees, which was one of many suggested changes to put people first.
D) The CEO of ShoreIsland, Inc., made long-lasting changes that put employees first and, as a result, the company's profits soared.
E) The CEO of UpGrade, Inc., gave employees more responsibility over their work, but stopped this approach after only two months.

Question

Quizplus · Accepted Answer

Effective management of OB requires a belief that several different practices are important, along with a long-term commitment to improving those practices. The Rule of One-Eighth suggests that one-half of organizations will not believe the connection between how they manage their people and the profits they earn. The CEO of Starbridge fits this category, which is the most common. One-half of those who do believe that connection will make a single change to solve their problems, not realizing that the effective management of people requires a more comprehensive and systematic approach. Of the firms that make comprehensive changes, probably about one-half will persist with their practices long enough actually derive economic benefits. One-half times one-half times one-half equals one-eighth, suggesting that, at best, 12 percent of organizations will actually do what is required to build profits by putting people first.

According to the Rule of One-Eight, Which of the Following