Which of the Following Is a Disadvantage of the Balanced-Scorecard

question 82

Multiple Choice

Which of the following is a disadvantage of the balanced-scorecard approach?

• A) It fails to link the strategic vision to responsible parties within the organization.
• B) It fails to translate the vision into measureable operational goals.
• C) It provides limited guidance for designing and planning business processes.
• D) It provides limited guidance about which metrics to choose.

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Definitions:

Cash Flows

The movement of money into and out of a business or project, considered crucial for gauging its financial health.

Incremental Changes

Small or minimal adjustments or changes that are made to improve a process, product, or system over time.

Replacement Projects

Projects undertaken by a company to replace old or obsolete assets in order to maintain or improve current operations.

Working Capital

The difference between a company's current assets and current liabilities, indicating its short-term financial health and efficiency.