The Managers of Realistic Video Games Company, a Large Software

Essay

The managers of Realistic Video Games Company, a large software company, are concerned about the ability of their research and development department to develop profitable new video games. It often takes over a year to develop an idea and program the software for a new game. Once a new game has been developed and patented, it takes 3 to 4 months of testing for potential software problems with different types of operating systems and 6 to 12 months of market testing and refining. Employees currently participate in profit sharing plans, but the managers want to also give bonuses to improve performance. The managers have developed a balanced scorecard and would like to use it in the compensation package.
a)Explain why monitoring and rewarding nonfinancial performance might be particularly important for Realistic.
b)List one potential objective for Realistic's learning and growth perspective.
c)List one performance measure for the objective you picked in part (b).