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COMPETENCY #1—INDIVIDUAL RESPONSIBILITY 67

Question 4. It is impossible to please every staff member or client. De-

scribe a time when you made an unpopular decision.

Situation: As a result of a sluggish economy, Mohalden Track’s bot-

tom line had suffered a great deal. As the CFO, my recommendation was to
cut staff. It was the first time in the company’s history when we had to con-
sider layoffs. I knew the board needed solid evidence before approving such
a measure.

Action: From my experience with the board, I knew that their decision

to green-light the layoffs would hinge on the treatment of outgoing employ-
ees. As part of the proposal, I included a cost-benefit analysis of the down-
sizing effort; and I incorporated a generous severance package for the
soon-to-be-displaced employees.

Result: The board members listened intently, asked a lot of ques-

tions, and ultimately voted for the layoff cycle I suggested. The cuts revital-
ized company profits and 25 percent of the laid-off employees were rehired
within the year.

Question 5. Recall a time when you were approached to take sides on

an issue, but decided to stay neutral.

Situation: There was a time when a supervisor complained about an

employee’s performance. After objectively reviewing her report, I came to the
conclusion that most of the concerns were minor and that there was only one
serious offense.

Action: I advised the supervisor to let go of some of the points she may

have found annoying but that did not break company policy. During our dis-
cussion, I emphasized how important it was for managers to focus on bigger
issues and not get bogged down with details. In addition, I agreed to talk to the
employee about her overall behavior, making sure I touched on the fact that the
supervisor is entitled to manage the department to ensure productivity.

Result: The performance concerns that required attention were re-

solved, without incident. For the remaining years that the employee was on
staff, she was never again called into my office for a job-related problem.

Question 6. Tell me about a time when you came up with a way to in-

crease output.

American Management Association
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