Question 1

________ establish the level of performance or rate of improvement required for a measure in the Balanced Scorecard.

Accepted Answer

A) Critical success factors 
B) The value proposition 
C) The Balanced Scorecard 
D) Targets 
A) Critical success factors 
B) The value proposition 
C) The Balanced Scorecard 
D) Targets

Question 2

Key performance indicator cards are scorecards that are developed:

Accepted Answer

A) with only a single measure for each of the Balanced Scorecard's perspectives. 
B) without working from organizational strategy. 
C) to be more effective than the balanced scorecard. 
D) to define the compensation system for executives. 
A) with only a single measure for each of the Balanced Scorecard's perspectives. 
B) without working from organizational strategy. 
C) to be more effective than the balanced scorecard. 
D) to define the compensation system for executives.

Question 3

The ________ perspective of the Balanced Scorecard focuses on creating value for customers.

Accepted Answer

A) Value 
B) Financial 
C) Stakeholder 
D) Customer 
A) Value 
B) Financial 
C) Stakeholder 
D) Customer

Question 4

CEOs and senior leadership can effectively implement a company's strategy by themselves.

Accepted Answer

A) True 
 B)False

Question 5

Defect rates for products and yield percentages in manufacturing are measures of quality included in the ________ perspective of the Balanced Scorecard.

Accepted Answer

A) financial 
B) production 
C) process 
D) internal 
A) financial 
B) production 
C) process 
D) internal

Question 6

Nonprofit and government organizations success must be measured by their effectiveness in providing benefits to constituents.

Accepted Answer

A) True 
 B)False

Question 7

To become a strategy-focused organization:

Accepted Answer

A) monthly management meetings should focus on variances between actual performance and what was planned. 
B) the budgeting process must protect long-term initiatives from the pressures to deliver short-term performance. 
C) scorecards and priorities should be updated annually when preparing next year's budget. 
D) All of the above are correct. 
A) monthly management meetings should focus on variances between actual performance and what was planned. 
B) the budgeting process must protect long-term initiatives from the pressures to deliver short-term performance. 
C) scorecards and priorities should be updated annually when preparing next year's budget. 
D) All of the above are correct.

Question 8

What is the primary purpose of the Balanced Scorecard?

Accepted Answer

The primary purpose of the Balanced Scor

Question 9

Measures of employees' skills and capabilities are included in the ________ perspective of the Balanced Scorecard.

Accepted Answer

A) financial 
B) internal 
C) customer 
D) learning and growth perspective 
A) financial 
B) internal 
C) customer 
D) learning and growth perspective

Question 10

Splashdown's value proposition is:

Accepted Answer

A) product innovation and leadership. 
B) complete customer solutions. 
C) employees recognizing customer needs. 
D) lowest total cost. 
A) product innovation and leadership. 
B) complete customer solutions. 
C) employees recognizing customer needs. 
D) lowest total cost.

Question 11

Surveys of employees' satisfaction is an example of a Balanced Scorecard's measure of the:

Accepted Answer

A) process perspective. 
B) customer perspective. 
C) learning and growth perspective. 
D) financial perspective. 
A) process perspective. 
B) customer perspective. 
C) learning and growth perspective. 
D) financial perspective.

Question 12

Manufacturing cycle efficiency is an example of a Balanced Scorecard's measure of the:

Accepted Answer

A) process perspective. 
B) customer perspective. 
C) learning and growth perspective. 
D) financial perspective. 
A) process perspective. 
B) customer perspective. 
C) learning and growth perspective. 
D) financial perspective.

Question 13

The Balance Scorecard measures organizational performance across five different but linked perspectives.

Accepted Answer

A) True 
 B)False

Question 14

Successful implementation of the Balanced Scorecard:

Accepted Answer

A) may be completed by one important member of the senior management team, such as the chief financial officer. 
B) involves everyone in the organization knowing and understanding the strategy. 
C) should not begin until data are collected for all scorecard measures. 
D) starts with a process to acquire a new data collection system. 
A) may be completed by one important member of the senior management team, such as the chief financial officer. 
B) involves everyone in the organization knowing and understanding the strategy. 
C) should not begin until data are collected for all scorecard measures. 
D) starts with a process to acquire a new data collection system.

Question 15

If a Balanced Scorecard's implementation team is really committed,they can initially develop the perfect scorecard.

Accepted Answer

A) True 
 B)False

Question 16

Sports Fanatic Corporation manufactures college football banners.It plans to grow by producing high-quality college football banners at a low cost that are delivered in a timely manner.There are a number of other manufacturers who produce similar college football banners.Sports Fanatic believes that continuously improving its manufacturing processes and having satisfied employees are critical to implementing its strategy.
Required:
a. Is Sports Fanatic's strategy one of product innovation and leadership,lowest total cost,or complete customer solutions? Briefly explain.
Identify at least one key element that you would expect to see included in the Balanced Scorecard:
b.for the financial perspective;
c.for the customer perspective;
d.for the process perspective; and
e.for the learning and growth perspective.

Accepted Answer

a. Sports Fanatic's strategy is one of l

Question 17

Once the company selects and defines its objectives for the four BSC perspectives,it can select measures for each objective.

Accepted Answer

A) True 
 B)False

Question 18

In the Balanced Scorecard,operating income and return on investment

Accepted Answer

A) indicate whether the company's strategy and its implementation are increasing shareholders' value. 
B) are learning and growth measures. 
C) are more important process measures than market share. 
D) are direct measures of customer satisfaction. 
A) indicate whether the company's strategy and its implementation are increasing shareholders' value. 
B) are learning and growth measures. 
C) are more important process measures than market share. 
D) are direct measures of customer satisfaction.

Question 19

Poor scorecard design,rather than a poor organizational process,is the biggest threat to successful Balanced Scorecard implementation.

Accepted Answer

A) True 
 B)False

Question 20

Identify the BEST description of the Balanced Scorecard's learning and growth perspective.To achieve our firm's vision and strategy:

Accepted Answer

A) How do we obtain a greater market share? 
B) What do our noncustomers consider to be most important? 
C) What new processes do our customers value? 
D) How do we identify the objectives for the people,information technology,and organizational alignment that will drive improvement in the various process objectives? 
A) How do we obtain a greater market share? 
B) What do our noncustomers consider to be most important? 
C) What new processes do our customers value? 
D) How do we identify the objectives for the people,information technology,and organizational alignment that will drive improvement in the various process objectives?

________ establish the level of performance or rate of improvement required for a measure in the Balanced Scorecard.

Key performance indicator cards are scorecards that are developed:

The ________ perspective of the Balanced Scorecard focuses on creating value for customers.

CEOs and senior leadership can effectively implement a company's strategy by themselves.

Defect rates for products and yield percentages in manufacturing are measures of quality included in the ________ perspective of the Balanced Scorecard.

Nonprofit and government organizations success must be measured by their effectiveness in providing benefits to constituents.

To become a strategy-focused organization:

What is the primary purpose of the Balanced Scorecard?

Measures of employees' skills and capabilities are included in the ________ perspective of the Balanced Scorecard.

Splashdown's value proposition is:

Surveys of employees' satisfaction is an example of a Balanced Scorecard's measure of the:

Manufacturing cycle efficiency is an example of a Balanced Scorecard's measure of the:

The Balance Scorecard measures organizational performance across five different but linked perspectives.

Successful implementation of the Balanced Scorecard:

If a Balanced Scorecard's implementation team is really committed,they can initially develop the perfect scorecard.

Once the company selects and defines its objectives for the four BSC perspectives,it can select measures for each objective.

In the Balanced Scorecard,operating income and return on investment

Poor scorecard design,rather than a poor organizational process,is the biggest threat to successful Balanced Scorecard implementation.

Identify the BEST description of the Balanced Scorecard's learning and growth perspective.To achieve our firm's vision and strategy:

How Management Accounting Information Supports Decision Making

Using Costs in Decision Making

Accumulating and Assigning Costs to Products

Activity-Based Cost Systems

Measuring and Managing Customer Relationships

Measuring and Managing Process Performance

Measuring and Managing Life-Cycle Costs

Behavioral and Organizational Issues in Management Accounting and Control Systems

Using Budgets for Planning and Coordination

Financial Control

Filters

Exam 2: The Balanced Scorecard and Strategy Map

________ establish the level of performance or rate of improvement required for a measure in the Balanced Scorecard.

Key performance indicator cards are scorecards that are developed:

The ________ perspective of the Balanced Scorecard focuses on creating value for customers.

CEOs and senior leadership can effectively implement a company's strategy by themselves.

Defect rates for products and yield percentages in manufacturing are measures of quality included in the ________ perspective of the Balanced Scorecard.

Nonprofit and government organizations success must be measured by their effectiveness in providing benefits to constituents.

To become a strategy-focused organization:

What is the primary purpose of the Balanced Scorecard?

Measures of employees' skills and capabilities are included in the ________ perspective of the Balanced Scorecard.

Splashdown's value proposition is:

Surveys of employees' satisfaction is an example of a Balanced Scorecard's measure of the:

Manufacturing cycle efficiency is an example of a Balanced Scorecard's measure of the:

The Balance Scorecard measures organizational performance across five different but linked perspectives.

Successful implementation of the Balanced Scorecard:

If a Balanced Scorecard's implementation team is really committed,they can initially develop the perfect scorecard.

Once the company selects and defines its objectives for the four BSC perspectives,it can select measures for each objective.

In the Balanced Scorecard,operating income and return on investment

Poor scorecard design,rather than a poor organizational process,is the biggest threat to successful Balanced Scorecard implementation.

Identify the BEST description of the Balanced Scorecard's learning and growth perspective.To achieve our firm's vision and strategy:

How Management Accounting Information Supports Decision Making

Using Costs in Decision Making

Accumulating and Assigning Costs to Products

Activity-Based Cost Systems

Measuring and Managing Customer Relationships

Measuring and Managing Process Performance

Measuring and Managing Life-Cycle Costs

Behavioral and Organizational Issues in Management Accounting and Control Systems

Using Budgets for Planning and Coordination

Financial Control

Filters