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A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.
The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.
The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.
The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.
The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.
Q. The Chairman’s decision is vindicated because:
- a)The client was happy that the Regional manager was reprimanded.
- b)The client accepted the new payment norms.
- c)The client threatened to discontinue the engagement with the telecom company.
- d)The board of directors supported the Chairman.
- e)The CFO was taught a befitting lesson.
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
A major telecom company recently hired a new Chief Financial Officer t...
Solution: The best interests of the company are in regular receipt of payments and maintaining good relations with their biggest clients. The Chairman’s efforts helped achieve both these objectives. Hence, his response is vindicated by this outcome.Option 1 is irrelevant as no clear indication of the same is evident from the passage.Option 3 is a fact, but it was probably because of the Regional Manager's decision- not the Chairman’s.Option 4 is confusing, as the Board does not unanimously support the Chairman. Moreover, the limited support that the Chairman received was only because his decision fulfilled the company's objectives.Option 5 is irrelevant to the question asked.Hence, the correct answer is option 2.
Most Upvoted Answer
A major telecom company recently hired a new Chief Financial Officer t...
Understanding the Chairman's Decision
The Chairman's decision to maintain relations with the important client while reprimanding the Regional Manager is vindicated primarily due to the client's acceptance of the new payment norms.
Key Reasons for the Chairman's Vindication:
- Client's Acceptance of Payment Norms:
- The client agreed to the specified norms for clearing dues within a week. This acceptance indicates that the Chairman's approach to re-establish the relationship was effective and constructive.
- Preservation of Client Relations:
- By reinstating the services promptly, the Chairman demonstrated commitment to client satisfaction, which is crucial for long-term relationships, especially in times of economic crisis.
- Reprimanding Regional Manager:
- The reprimand serves as a corrective measure to ensure that employees understand the importance of client communication and relationship management.
- Support from the Board:
- The backing from the board of directors showcases a unified front in addressing the situation, reinforcing the importance of client retention while also holding management accountable.
Conclusion:
In summary, the Chairman's actions were justified as they not only salvaged a pivotal client relationship but also established a framework for accountability within the organization. The acceptance of the new payment terms by the client solidifies the rationale behind the Chairman's decision, emphasizing the importance of maintaining strong client connections during challenging times.
The Chairman's decision to maintain relations with the important client while reprimanding the Regional Manager is vindicated primarily due to the client's acceptance of the new payment norms.
Key Reasons for the Chairman's Vindication:
- Client's Acceptance of Payment Norms:
- The client agreed to the specified norms for clearing dues within a week. This acceptance indicates that the Chairman's approach to re-establish the relationship was effective and constructive.
- Preservation of Client Relations:
- By reinstating the services promptly, the Chairman demonstrated commitment to client satisfaction, which is crucial for long-term relationships, especially in times of economic crisis.
- Reprimanding Regional Manager:
- The reprimand serves as a corrective measure to ensure that employees understand the importance of client communication and relationship management.
- Support from the Board:
- The backing from the board of directors showcases a unified front in addressing the situation, reinforcing the importance of client retention while also holding management accountable.
Conclusion:
In summary, the Chairman's actions were justified as they not only salvaged a pivotal client relationship but also established a framework for accountability within the organization. The acceptance of the new payment terms by the client solidifies the rationale behind the Chairman's decision, emphasizing the importance of maintaining strong client connections during challenging times.
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A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer?
Question Description
A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? for CAT 2025 is part of CAT preparation. The Question and answers have been prepared according to the CAT exam syllabus. Information about A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer?.
A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? for CAT 2025 is part of CAT preparation. The Question and answers have been prepared according to the CAT exam syllabus. Information about A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer?.
Solutions for A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for CAT.
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Here you can find the meaning of A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer?, a detailed solution for A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice A major telecom company recently hired a new Chief Financial Officer to take command of the company’s finances. This move came against the backdrop of national and global economic crises.The CFO is charged with the responsibility of realigning the finances of the largest Strategic Business Unit which deals with network solutions to major corporate clients in the country. In wake of the overall financial slump, many of the corporate clients have been delaying the payment of their recurring dues for the monthly network and internet services utilised. The local account managers handling those clients and their respective Regional Managers had been given the authority to maintain client relations and if necessary allow the delayed payments with a view to continue a long-term relationship with the key clients. However, the new CFO after taking stock of the situation decided to put an affirmative end to this practice. He sent a mail to every regional and local account manager asking them to discontinue services to the defaulting clients. In spite of such a strong communication, most major clients delayed the payments in the next month. As a response to this, the CFO resent his earlier mail asking for comments. In the next month, the single largest client defaulted on the payment and the regional manager promptly asked the technology company to terminate services to that client. The regional manger merely informed the client that the delay in payment was responsible for the termination of services and the service would be reconstituted on payment of the dues.The client faced severe difficulties due to discontinuation of the internet and local network services. The CEO of that company wrote a scathing email to the Chairman of the telecom company.The CEO pointed out the sudden, mishandled and improperly communicated decision and its severe impact on his company’s business. He pointed out that they were one of the largest clients of the telecom company. The CEO also hinted that his company would want to reconsider their future engagement. The Chairman decided to maintain the relations with that important client and yet protect his company’s image. He promptly restarted the network services and yet requested the client to clear the dues within a week and to avoid major delays especially in these times of crisis. The client replied to this communication, agreeing to the specified norms. However, the Chairman decided to severely reprimand the Regional Manager and suspended him for 2 weeks. He also severely questioned the CFO for his error. At the next board of directors meeting, there was support for the Chairman’s action in spite of protests by some senior directors who defended the CFO and the Regional Manager's actions.Q. The Chairman’s decision is vindicated because:a)The client was happy that the Regional manager wasreprimanded.b)The client accepted the new payment norms.c)The client threatened to discontinue the engagement with the telecom company.d)The board of directors supported the Chairman.e)The CFO was taught a befitting lesson.Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice CAT tests.
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