Exam 14: Strategic Performance Measurement Systems

Which of the following are characteristics of a good performance measurement system? i.Emphasises the negative ii.Simple iii.Linked to strategy iv.Timely

The purposes of performance measurement are to: i.communicate company strategies to employees ii.identify problem areas iii.act as a guide to future strategies iv.identify key performance indicators

Which of the following statements most correctly completes the following sentence that identifies some of the limitations of traditional management accounting? 'Traditional management accounting focuses on …'

An important concern for all companies in competitive markets is to access competitors' costs.It is clear that competitors will not willingly supply cost data and thus other sources need to be explored.Which of the following may be used to identify competitors' costs?

Southern Cruises Ltd,which operates in a very competitive marketplace,is considering four categories of performance measures: (i)profitability (ii)customer satisfaction (iii)efficiency and quality and (iv)innovation.The company assigns one manager to each ship in its fleet to oversee the ship's general operations.If Southern Cruises Ltd desired to adopt a balanced scorecard approach,which measures should it use in the evaluation of managers?

Which of the following statements is/are true? i.The more performance measures there are the better the outcome is likely to be ii.Reward systems are more reliable if they are separated from the performance measurement system. iii.It is better to wait until comprehensive information is available for a performance report than to issue it promptly with less comprehensive information.

The ultimate performance measure is expressed in financial terms;however,it is often difficult to relate non-financial measures to financial outcomes.Which of the following may be reasons for apparent success in improving non-financial measures not translating into financial improvement?

Which of the following are likely to be the result of concentration on short-term financial measures? i.Reduced expenditure on product development ii.Increased spending on new technology iii.Increased employee training iv.Reduced marketing effort

Benchmarking exercises are most likely to focus on:

Employee satisfaction,absenteeism and employee suggestions implemented are measures related to:

Which of the following may result in failure to utilise the freed up resources flowing from improved performance?

Which of the following is the most appropriate lag indicator in relation to 'customer satisfaction rating'?

Assuming you must choose one measure only,which of the following non-financial performance indicators would most likely be chosen to measure quality?

Which of the following statements are problems associated with conventional performance measures? i.They may encourage short-term financial performance ii.They describe results not causes. iii.They do not emphasise areas that need development for long-term goal achievement.

The Du Pont chart identifies linkages between key performance drivers,key performance indicators and financial performance measures.

One of the problems with the conventional accounting system is that it is common to measure current performance against the previous year's performance,which is not an indicator that the business's performance is good enough.

Echo Beetle is an interior design and renovation management firm.The customer perspective of Echo Beetle's balanced scorecard contain these two measures: (1)client satisfaction rating and (2)percentage of projects completed on-time.Which of the following are the most appropriate measures on Echo Beetle's internal business process perspective?

Benchmarking that involves comparison with best practices that occur in any industry is termed:

In production,the time taken to get materials and machinery ready for a run is termed set-up time.

Market share may be a lead indicator from: