CONNECT ONLINE ACCESS F/MANAGERIAL ACC.
6th Edition
ISBN: 9781264445356
Author: Noreen
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Question
Chapter 12, Problem 12.1E
To determine
Introduction: A balanced scorecard is a structured report that helps managers in tracking the execution of activities by the staff working under them. It also assists in monitoring the results arising from such activities.
To classify: Items into the four categories of balanced scorecard performance measures.
Expert Solution & Answer
![Check Mark](/static/check-mark.png)
Want to see the full answer?
Check out a sample textbook solution![Blurred answer](/static/blurred-answer.jpg)
Students have asked these similar questions
Problem #13: Balanced Scorecard
a.
b. Define a KPI
c. Pick a real world company and give an example of a KPI for each balanced scorecard area for that company.
Reid Company would like to implement a balanced scorecard performance measurement system. Its senior management team has
assembled the measures shown below for possible inclusion in its scorecard.
Required:
For each measure, indicate by placing an X in the appropriate column whether it would most likely be classified in the learning and
growth, internal business process, customer, or financial category of the company's balanced scorecard.
Learning
&
Growth
Internal
Business
Process
Item
Customer
Financial
Ex. Employee absenteeism rate
X
1. Sales from new customers
2. Customer defection rate
3. Average fuel cost per sales dollar
4. Average number of workplace accidents per employee
5. Delivery cycle time
6. Average training hours per employee
7. Number of job applicants from under-represented groups
Percent of customers that strongly agree with the statement
8.
"Your employees treated me courteously."
9. Return on assets
Percent of customers that strongly agree with the statement
"Your…
Jalancu Juviai u
The following are a number of measures associated with the Balanced Scorecard.
Required:
1. Classify each performance measure as belonging to one of the following perspectives: financial, customer, internal business process, or learning and growth.
a. Number of new customers
b. Percentage of customer complaints resolved with one contact
C. Unit product cost
d.
Cost per distribution channel
e. Suggestions per employee
f.
Warranty repair costs
Consumer satisfaction (from surveys)
Cycle time for solving a customer problem
Strategic job coverage ratio
j.
On-time delivery percentage
k. Percentage of revenues from new products
2. Select an additional measure that would be appropriate for each of the four perspectives.
Contribution margin by product ▾
Number of complaints
Number of accidents per month
Hours of continuing education provided per month
g.
h.
i.
Financial
Customer
Customer
Internal business process
Financial
Financial
Learning and growth
Learning and growth…
Chapter 12 Solutions
CONNECT ONLINE ACCESS F/MANAGERIAL ACC.
Ch. 12 - Prob. 12.1QCh. 12 - Prob. 12.2QCh. 12 - Prob. 12.3QCh. 12 - Prob. 12.4QCh. 12 - Prob. 12.5QCh. 12 - Prob. 12.6QCh. 12 - Prob. 12.7QCh. 12 - Prob. 12.8QCh. 12 - Prob. 12.9QCh. 12 - Prob. 12.10Q
Ch. 12 - Prob. 1AECh. 12 - Prob. 12.1ECh. 12 - Prob. 12.2ECh. 12 - Prob. 12.3ECh. 12 - Prob. 12.4ECh. 12 - Prob. 12.5ECh. 12 - Prob. 12.6ECh. 12 - Prob. 12.7ECh. 12 - Prob. 12.8ECh. 12 - Scorecard Performance Measures LO 12–1, LO...Ch. 12 - Prob. 12.10ECh. 12 - Prob. 12.11ECh. 12 - Prob. 12.12PCh. 12 - Prob. 12.13PCh. 12 - Prob. 12.14PCh. 12 - Prob. 12.15PCh. 12 - Prob. 12.16PCh. 12 - Prob. 12.17PCh. 12 - Creating a Balanced Scorecard LO 12–4 Ariel Tax...Ch. 12 - Prob. 12.19PCh. 12 - Prob. 12.20PCh. 12 - Prob. 12.21C
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- Q Canarsie Corporation uses a balanced scorecard to evaluate its digital camera manufacturing operation. Which of the following statements with respect to balanced scorecards is/are correct? I. A balanced scorecard reports management information regarding organizational performance in achieving goals classified by critical success factors to demonstrate that no single dimension of organizational performance can be relied upon to evaluate success. II. Performance measures used in a balanced scorecard tend to be divided into financial, customer, internal business process, and learning and growth. III. In a balanced scorecard, internal business processes are what the company does in its attempts to satisfy customers. 1. I and II only are correct. 2. II and III only are correct. 3. III only is correct. 4. I, II, and III are correctarrow_forwardPLEASE ANSWER ALL OF THE ITEMS TRUE OR FALSE 13. To create the Balanced Scorecard, first measures are identified and then translated into objectives.14. One valuable measure for the customer perspective of the Balanced Scorecard is market share.15. The learning and growth perspective of the Balanced Scorecard evaluates the profitability of the strategy.arrow_forwardInstructions 1.Based on the balanced scorecard and the following descriptions of the predicted relationships between strategic objectives, draw the scorecards strategy map. a.Training employees effectively and reducing employee turnover can both be expected to improve returns processing and reduce shipping errors. b.Both improving returns processing and reducing shipping errors can be expected to delight the customer. c.Delighting the customer can be expected to increase market share. 2.Based on the balanced scorecard and the following descriptions of the predicted relationships between performance metrics, draw the scorecards measure map. a.Median training hours per employee and average employee tenure will both influence hours from returned to refunded and number of erroneous shipments. b.Both hours from returned to refunded and number of erroneous shipments will affect percentage of customers who shop again and online customer satisfaction rating. c.Both percentage of customers who shop again and online customer satisfaction rating will influence the companys market share. 3.Label each element of the balanced scorecard.arrow_forward
- Classify each of the following performance measures into the balanced scorecard perspective to which it relates: financial perspective, internal operations perspective, learning and growth perspective, or customer perspective. A. Number of improved products B. Time from packaging to delivery or display C. Production costs D. Number of customer suggestions E. Sales mix revenues F. Number of repeat customersarrow_forward(Appendix 11A) Which of the following is a perspective of the Balanced Scorecard? a. Learning and growth (infrastructure) b. Internal business process c. Customer d. Financial e. All of these.arrow_forwardEye Swear Inc. has a balanced scorecard that includes the following relationships: Actual results for this year and last year are as follows: Instructions 1.Analyze these statistics to verify whether they support the expected relationships between the strategic objectives and performance metrics. 2.Identify three possible reasons for any unsupported relationship you identified in part (1). 3.Which of the three possibilities you identified in part (2) is the most likely reason for the unsupported relationship you identified in part (1)?arrow_forward
- Goal congruence in well-designed performance measurement systems best explains a congruence between ________. A. employees and the company B. strategic plans and the future C. decisions and outcomes D. feedback and measurementarrow_forwardWhich of the following describes the best way to build/create a balanced scorecard? O a. Step 1. Create a strategy map that captures the company's strategy and shows the cause-and-effect relationships (links) between different parts of the strategy. Step 2. Define performance measures in each of the 4 perspectie or categories of the Balanced Scorecard based on the strategy map O a. Step 1. Examine best practices for "Key Performance Indicators' used by Fortune 500 companies. Step 2. Use all of the measures which are used in the "best practice" examples. O a Step 1. List all possible performance measures that the compaury could cse Step 2. Put each measure into ane of the 4 perspectives" or categories of the Balanced Scorecard.arrow_forwardClassify the performance measures below into the most likely balanced scorecard perspective itrelates to. Label your answers using C (customer), P (internal process), I (innovation and growth), or F(financial). Number of new products introducedarrow_forward
- Requirements 1. 2. Each of the items describes a key performance indicator. Determine which of the balanced scorecard perspectives is being addressed (financial, customer, internal business, or learning and growth). Read the company initiatives and determine which of the balanced scorecard perspectives is being addressed (financial, customer, internal business, or learning and growth). Requirement 1. Each of the following describes a key performance indicator. Determine which of the balanced scorecard perspectives is being addressed (financial, customer, internal business, or learning and growth). Performance Indicator a. Employee turnover Perspective b. Earnings per share c. Percentage of on-time deliveries d. Revenue growth rate Percentage of defects discovered during e. manufacturingarrow_forwardDescribing the balanced scorecard and identifying key performance indicators for each perspective Consider the following key performance indicators, and classify each indicator according to the balanced scorecard perspective it addresses. Choose from the financial perspective, customer perspective, internal business perspective, and the learning and growth perspective. a. Number of customer complaints b. Number of information system upgrades completed c. Residual income d. New product development time e. Employee turnover rate f. Percentage of products with online help manuals g. Customer retention h. Percentage of compensation based on performance i. Percentage of orders filled each week j. Gross margin growth k. Number of new patents l. Employee satisfaction ratings m. Manufacturing cycle time (average length of production process) n. Earnings growth o. Average machine setup time p. Number of new customers q. Employee promotion rate r. Cash flow from operations s. Customer…arrow_forwardThe balanced scorecard approach a. evaluates performance using about 10 different perspectives in order to effectively incorporate all areas of the organization. b. uses rather vague, open statements when setting objectives in order to allow managers and employees flexibility. c. normally sets the financial objectives first, and then sets the objectives in the other perspectives to accomplish the financial objectives. d. uses only financial measures to evaluate performance.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Principles of Accounting Volume 2AccountingISBN:9781947172609Author:OpenStaxPublisher:OpenStax CollegeFinancial And Managerial AccountingAccountingISBN:9781337902663Author:WARREN, Carl S.Publisher:Cengage Learning,Managerial AccountingAccountingISBN:9781337912020Author:Carl Warren, Ph.d. Cma William B. TaylerPublisher:South-Western College Pub
- Managerial Accounting: The Cornerstone of Busines...AccountingISBN:9781337115773Author:Maryanne M. Mowen, Don R. Hansen, Dan L. HeitgerPublisher:Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax College
![Text book image](https://www.bartleby.com/isbn_cover_images/9781337902663/9781337902663_smallCoverImage.jpg)
Financial And Managerial Accounting
Accounting
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:Cengage Learning,
![Text book image](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:South-Western College Pub
![Text book image](https://www.bartleby.com/isbn_cover_images/9781337115773/9781337115773_smallCoverImage.gif)
Managerial Accounting: The Cornerstone of Busines...
Accounting
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Cengage Learning
Elements of cost | Direct and Indirect: Material, Labor, & Expenses; Author: Educationleaves;https://www.youtube.com/watch?v=UFBaj6AHjHQ;License: Standard youtube license