Question

A credit card company allows a customer service representative to decide if a late fee of $25 should be waived for a customer whose monthly payment was a few days late and who has called to complain about this charge. This is an example of:

A. restructuring
B. TQM
C. total quality management
D. empowerment
E. innovation

Answer 1

The example given where a credit card company's customer service representative can decide if a late fee should be waived is an example of empowerment.

Step-by-step explanation:

When a credit card company allows a customer service representative the discretion to waive a late fee, this is an example of empowerment. Empowerment refers to the practice of giving employees the authority to make decisions without hierarchical approval. In this case, the customer service representative has been empowered to decide on waiving late fees in order to resolve customer complaints effectively.