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During this fiscal year, Company X has suffered a marked decrease in p

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During this fiscal year, Company X has suffered a marked decrease in p  [#permalink]

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New post 26 Jul 2018, 03:03
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During this fiscal year, Company X has suffered a marked decrease in productivity. Company managers attribute this to budget decisions that allocated more money to pay freelancers than to pay part-time employees, which resulted in the elimination of numerous part-time positions. The freelance budget has gone mostly to new hires,who have less training, on average, than part-timers and it would take a substantial time to train the freelancers.

Assuming that the managers’ reasoning is sound, which of the following, if feasible, is most likely to mitigate the problem raised by the managers?


A. Increasing the work hours of the remaining part-time employees.

B. Providing performance bonuses for managers whose departments demonstrate increased productivity.

C. Reallocating part of the freelance budget to pay for efficiency consultants.

D. Rehiring former part-time workers as freelancers.

E. Eliminating departments with particularly low productivity.

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Re: During this fiscal year, Company X has suffered a marked decrease in p  [#permalink]

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New post 26 Jul 2018, 03:12
Since the part time workers were well trained and the productivity has decreased after they left, the allocated budget can be used to hire part time workers as freelancers. So, D should be the correct choice.

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Re: During this fiscal year, Company X has suffered a marked decrease in p  [#permalink]

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New post 26 Jul 2018, 03:27
Bunuel wrote:
During this fiscal year, Company X has suffered a marked decrease in productivity. Company managers attribute this to budget decisions that allocated more money to pay freelancers than to pay part-time employees, which resulted in the elimination of numerous part-time positions. The freelance budget has gone mostly to new hires,who have less training, on average, than part-timers and it would take a substantial time to train the freelancers.

Assuming that the managers’ reasoning is sound, which of the following, if feasible, is most likely to mitigate the problem raised by the managers?


A. Increasing the work hours of the remaining part-time employees.

B. Providing performance bonuses for managers whose departments demonstrate increased productivity.

C. Reallocating part of the freelance budget to pay for efficiency consultants.

D. Rehiring former part-time workers as freelancers.

E. Eliminating departments with particularly low productivity.




A. Increasing the work hours of the remaining part-time employees.--Can work , but it doesn't guarantee increase in productivity !!

B. Providing performance bonuses for managers whose departments demonstrate increased productivity. -- partially solves the problem !!

C. Reallocating part of the freelance budget to pay for efficiency consultants.---- again we may get efficiency charts , but would not guarantee an increase in productivity !!

D. Rehiring former part-time workers as freelancers.---In this case two problems will be solved
1.Rehiring part-timers will take care of the training part
2.It would also not affect the budget .

This should at least increase some productivity .

Best of the lot

E. Eliminating departments with particularly low productivity.---again not the best solution !!

D for me
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Re: During this fiscal year, Company X has suffered a marked decrease in p  [#permalink]

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New post 26 Jul 2018, 03:56
Bunuel wrote:
During this fiscal year, Company X has suffered a marked decrease in productivity. Company managers attribute this to budget decisions that allocated more money to pay freelancers than to pay part-time employees, which resulted in the elimination of numerous part-time positions. The freelance budget has gone mostly to new hires,who have less training, on average, than part-timers and it would take a substantial time to train the freelancers.


Stimulus :
Company X has suffered decrease in productivity since it paid more money to freelancers than to part-time employee, leading to elimination of numerous part-time positions. Even though the company is hiring new employees with less training than part-timers, it would take a substantial time to train the freelancers.
But what if the company re-hires the part time employees with the new role freelancers ?... that way Company X does not have to train these new-hirees for long, and might increase the productivity in shorter span

D. Rehiring former part-time workers as freelancers. --> Correct, matches our pre-thinking and resolves the issue in hand

Hence, D.
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Re: During this fiscal year, Company X has suffered a marked decrease in p  [#permalink]

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New post 30 Jul 2018, 04:33
Bunuel wrote:
During this fiscal year, Company X has suffered a marked decrease in productivity. Company managers attribute this to budget decisions that allocated more money to pay freelancers than to pay part-time employees, which resulted in the elimination of numerous part-time positions. The freelance budget has gone mostly to new hires,who have less training, on average, than part-timers and it would take a substantial time to train the freelancers.

Assuming that the managers’ reasoning is sound, which of the following, if feasible, is most likely to mitigate the problem raised by the managers?


A. Increasing the work hours of the remaining part-time employees.

B. Providing performance bonuses for managers whose departments demonstrate increased productivity.

C. Reallocating part of the freelance budget to pay for efficiency consultants.

D. Rehiring former part-time workers as freelancers.

E. Eliminating departments with particularly low productivity.


KAPLAN OFFICIAL SOLUTION:



Correct Choice: (D)

Since the change resulted in a loss of productivity,we can infer that the part-time employees were more productive than the freelancers who were hired in their place. A reasonable solution, then, is to rehire those productive part-timers as freelancers. They’ll still be the same productive employees. They’ll simply be paid differently.

Choice (A) sounds reasonable until we consider that we don’t know the number of remaining part-time employees. There may be so few compared to former numbers that increasing the hours won’t significantly affect productivity.

Choices (B) and (C) seem like good ideas, but neither option is indicated by the information in the passage. There is no evidence that the managers are not already sufficiently motivated or that the advice of efficiency experts is needed.

Choice (E) might be efficient, but having fewer total employees is certainly not likely to increase productivity.
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Re: During this fiscal year, Company X has suffered a marked decrease in p  [#permalink]

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New post 09 Aug 2018, 19:18
Bunuel wrote:
During this fiscal year, Company X has suffered a marked decrease in productivity. Company managers attribute this to budget decisions that allocated more money to pay freelancers than to pay part-time employees, which resulted in the elimination of numerous part-time positions. The freelance budget has gone mostly to new hires,who have less training, on average, than part-timers and it would take a substantial time to train the freelancers.

Assuming that the managers’ reasoning is sound, which of the following, if feasible, is most likely to mitigate the problem raised by the managers?


A. Increasing the work hours of the remaining part-time employees.

B. Providing performance bonuses for managers whose departments demonstrate increased productivity.

C. Reallocating part of the freelance budget to pay for efficiency consultants.

D. Rehiring former part-time workers as freelancers.

E. Eliminating departments with particularly low productivity.


D is clearly solving the problem. Additional skill and experience from Part-time workers will enhance the productivity.
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Re: During this fiscal year, Company X has suffered a marked decrease in p   [#permalink] 09 Aug 2018, 19:18
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