An organization focuses on cost-savings techniques and shares a percentage of the cost-savings resulting from these techniques with its employees.This is the idea behind the:
A) profit sharing plan.
B) Scanlon plan.
C) suggestion plan.
D) current-distribution plan.
E) deferred-distribution plan.

Question

Quizplus · Accepted Answer

In a Scanlon plan, members of an organization are motivated to come up with and implement cost-cutting strategies because a percentage of the cost savings achieved during a specified time is distributed to the employees.

An Organization Focuses on Cost-Savings Techniques and Shares a Percentage