Question

Omega Corp. has a goal of increasing its production and reducing its overhead costs. To achieve this goal, the company has developed four alternate action plans. Its idea is to monitor how these plans work and then invest more in the plan that shows maximum results. This type of planning that allows for flexibility is known as _____.

Answer 1

The correct answer is Option-Based planning.

Step-by-step explanation:

Option-based planning embraces planning flexibility, which means considering alternatives to achieve a particular goal and developing said alternative plans by simultaneously making small investments for each of those alternatives.

Option-based planning is helpful to corporations because it involves constantly testing, evaluating and considering alternatives that may be better options when pursuing certain goals.

In this particular case, Omega Corp has a goal of increasing its production and reducing its overhead costs and has develped four alternate action plans to achieve said goal. This consideration of other alternatives is called Option-Based planning.