Southern Cross Air is a domestic airline in a country that has four main carriers. Southern Cross Air initially entered the market as a premium-service airline focussing on key domestic routes including capital cities, with a view to capturing a slice of the corporate market. Following the appointment of a new CEO, Southern Cross Air adapted its strategy to become a low-cost airline, re-configuring planes to accommodate only economy travellers and re-focussing on leisure-travel destination routes.

Which of the following would be the best example of the managerial control system adapting to the new strategy?

Group of answer choices

1. A re-configuring of the customer-satisfaction index measure to focus on leisure travellers
2. A change to the incentive plan for work-unit managers to include financial and non-financial metrics
3. The introduction of induction bootcamps to promote collaboration across work-units
4. All the other options would be examples of managerial control system changes adapting to the new strategy.