Nurse Executive Certification Exam Prep

Answer: D - The primary purpose of contingency plans in business is to reduce risk and to maintain quality despite the ever-changing internal and external environments. For example, a business may have a contingency plan when sudden staff cuts are needed (a change in the internal environment) to maintain quality and to reduce the risks of profit losses associated with this sudden change. Efficiency, effectiveness and timeliness are only some of the aspects of quality so the best response is D. Additionally redundancies are often intentionally built into processes in order to ensure safety and quality.

Category: Strategic management and technology - Contingency plans