The Balanced Scorecard

question 57

Multiple Choice

The balanced scorecard:

• A) Is not comprehensive, since it doesn't include all the critical success factors which contribute to competitive success.
• B) Helps focus managers' attention to bottom line profits.
• C) Is forward looking, stressing nonfinancial measures that can lead to benefits in the future.
• D) Fails to reflect environmental and social effects of the firm's operations.
• E) Is heavily weighted toward the financial critical success factors.

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Definitions:

Public Resources

Assets or services provided by the government or public entities, intended for communal use and benefit, such as parks, libraries, and public transportation.

Tragedy Commons

A situation where individual users, acting independently according to their own self-interest, deplete or spoil shared resources, despite understanding that degrading these resources is contrary to the group's long-term best interests.

Sustainable Consumption

The use of services and related products which respond to basic needs and bring a better quality of life while minimizing the use of natural resources, toxic materials, and emissions of waste and pollutants over the life cycle, so as not to jeopardize the needs of future generations.

Tragedy Commons

The Tragedy of the Commons is an economic theory suggesting that individuals acting in their own self-interest can deplete shared resources, leading to negative outcomes for the whole group.