Association of Chartered Certified Accountants (ACCA) Certification Practice Test

What does management primarily aim to achieve?

1. Increased employee turnover

2. Maximized shareholder profits

3. Objectives with maximum efficiency

4. Enhanced workplace culture

The correct answer is: Objectives with maximum efficiency

Management primarily aims to achieve objectives with maximum efficiency because this encompasses a range of goals that organizations strive for, including productivity, resource optimization, and overall effectiveness in meeting both short-term and long-term targets. By focusing on efficiency, management can streamline operations, reduce waste, and ensure that the organization operates smoothly and effectively. This approach not only aids in achieving specific organizational objectives but also contributes to the sustainable growth of the company. Efficient management practices can result in the successful implementation of strategies that fulfill stakeholder expectations while fostering a work environment conducive to achieving these goals. In contrast, increased employee turnover can disrupt organizational stability and reduce efficiency. While maximizing shareholder profits is an important aspect of many firms' strategies, it must be balanced with operational efficiency and employee satisfaction to ensure long-term success. Enhanced workplace culture is beneficial but is a component of achieving efficiency rather than the primary aim of management itself. Overall, management's goal of achieving objectives with maximum efficiency captures the broader and more strategic focus that drives organizational success.