Which of the following is believed to have contributed to the Pacific Gas and Electric natural gas pipeline explosion in 2010?
a. Inspection crew incentives that encouraged false reporting.
b. Undetected earthquake damage.
c. Untrained and inexperienced construction crews.
d. Lack of a formal code of ethics.
e. Sabotage by a competitor.
a. Inspection crew incentives that encouraged false reporting.
PG&E relied on gas-leak surveys to determine whether transmission pipelines were safe, but the company’s incentive system awarded bonuses to supervisors whose crews found fewer leaks and kept repair costs down. Indeed, the company’s own internal audit found the incentives actually encouraged crews to produce inaccurate surveys.
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A) affordability B) experimentation C) decision calculus D) competitive parity
Effective teams often have no formal leader
Indicate whether the statement is true or false
Gamma Company and Chi Company are similar and similar-sized companies operating in the same industry. At the end of the most recent year, Gamma's price-earnings ratio was 22.0, and Chi's price-earnings ratio was 14.2. What conclusion would you draw based on the difference in price-earnings ratios for the two companies?
What will be an ideal response?
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