Question

Balanced Scorecard, Perspectives, Classification of Performance Measures Consider the following list of scorecard measures: Required: Classify each measure according to the following: perspective, financial or nonfinancial, subjective or objective, and external or internal. When the perspective is process, identify which type of process: innovation, operations, or post-sales service.

Answer 1

Ans:

		Measures
S.No	Particulars	Perspective	Financial/Non-Financial	Subjective/Objective	External/ Internal	Process(If Perspective: Process)
A.	Product Profitability	Financial	Financial	Objective	External
B.	Ratings From Customer Surveys	Customer	Non-Financial	Subjective	External
C.	Number Of Patents Pending	Process	Non-Financial	Objective	Internal	learning And Growth
D.	Strategic Job Coverage Ratio	Financial	Financial	Objective	Internal
E.	Revenue Per Employee	Financial	Financial	Objective	Internal
F.	Quality Costs	Internal	Financial	Objective	Internal
G.	Percentage Of Market	Customer	Non-Financial	Objective	External
H.	Employee Turnover Percentages	Internal	Non-Financial	Objective	Internal
I.	First-Pass Yields	Process	Financial	Objective	Internal	Operations
J.	On-Time Delivery Percentage	Customer	Non-Financial	Objective	Internal
K.	Percentage Of Revenues From New Sources	Process	Financial	Objective	External	Innovation
L.	Economic Value Added	Financial	Financial	Objective	Internal

Number of Patents Pending Is a Part of Learning and Growth Process Because When the Pending Patents Will Be Cleared, It Will Contribute in Company’s Future Growth.

First Pass Yields Are Part of Operation Process Because Computation of Units Entering and Passing Out of the Process Is a Part of Operations of the Company.

Revenue from new operations is a part of innovation process because revenue is the result of innovation introduced by the company.