Staff can grow to the point where it costs more in administrative overhead than the staff is worth.

Question

Quizplus · Accepted Answer

As an organization grows, the administrative responsibilities associated with managing employees also increase. At some point, the cost of managing and supervising employees may become more than the value they bring to the organization, making it financially unsustainable to have staff that are not bringing in sufficient revenue or productivity.

Staff Can Grow to the Point Where It Costs More