Exam 11: Performance Evaluation Revisited: a Balanced Approach

The best measures relate to corporate strategy and SMART.Which of the following is $\textbf{ not }$ a component of SMART?

Residual income is a measurement of

A lagging indicator "lags" the time period when a performance is measured.

Which of the following is a measure that relates to the internal business processes perspective?

Benchmarking participants should adhere to the Benchmarking Code of Conduct which provides general principles to follow during the benchmarking process.

The goal of benchmarking is to

Nonfinancial measures,which are not based on accounting results,can be either qualitative or quantitative.

Patton's Manufacturing has provided the following information relating to a large order of Part 328G7 engines. Required: Calculate the manufacturing cycle efficiency.

Summer Time Sports operates an ocean side rental stand for motorcycles,bicycles,and small watercraft along with umbrellas,chairs,toys and rubber rafts.Because several other stands are in the area,it is important for Summer Time to remain competitive.Summer Time must generate enough cash revenue during the summer to carry it through the slower winter months. Required: Identify two measures for each of the four balanced scorecard perspectives that will help Summer Time to achieve its strategy. Learning and Growth perspective: 1. 2. Internal Business Processes perspective: 1. 2. Customer perspective: 1. 2. Financial perspective 1. 2.

On January 4^th,Stevens Manufacturing received an order for 30 uniforms.The following information pertained to that order. Calculate the value-added time.

Customers typically have expectations for how quickly they should receive a product they have ordered.All other things held equal,they would prefer as short a wait as possible.However,different businesses perform different tasks between an order's placement and its shipment. Required: Discuss three measures that can help managers monitor their delivery processes. Include how each measure is different between two types of businesses.

Nonfinancial measures can be

In selecting the measures for the balanced scorecard,managers should choose between four and seven measures for each perspective to avoid

Budget Taxi Service operates a transportation service from the local airport to the major hotels in the area.All the hotels are located within a five mile radius of the airport.A majority of Budget's customers are business people who fly in and out of the city frequently. Required: Identify one measure in each of the four perspectives of the balanced scorecard that Budget’s managers should monitor. Explain your reasoning for each.

When choosing the right performance measures,the best measures relate to day-to-day operations.

Earnings per share,although taken from accounting reports,is a qualitative measure.

Lights Out Motel is owned and operated by your mother’s neighbor. The motel manager knows you are taking an accounting class and has asked you to help develop a balanced scorecard for her. To stay competitive with larger chain motels, Lights Out needs to find a way to advertise the amenities offered that larger chains may not have like garden views from every window, fresh flowers in every room, and home cooked meals. Required: Identify two measures for each of the four balanced scorecard perspectives that will help Lights Out achieve its strategy. Learning and Growth perspective: 1. 2. Internal Business Processes perspective: 1. 2. Customer perspective: 1. 2. Financial perspective 1. 2.

A balanced scorecard should include five to seven measures in each of four perspectives: Learning and growth, internal business processes, customer, and financial. Required: List five measures that relate to the customer perspective.

Which of the following is $\textbf{ not }$ an example of an employee-oriented nonfinancial measure?

A pictorial representation of the cause-and-effect relationships embodied in the strategy is called a