The Following Box Scorecard Template Was Prepared for a Value $$\begin{array} { l l } & \text { This Weak } \\\text { Last Weak } & \text { (1/5/20X1) }&\text { Desired Future State }\end{array}$$

question 48

Essay

The following Box Scorecard template was prepared for a value stream at Coston Company:
$$\begin{array} { l l } & \text { This Weak } \\\text { Last Weak } & \text { (1/5/20X1) }&\text { Desired Future State }\end{array}$$ Operational
Units per person
On-time delivery
Dock-to-dock days
First-time through
Average product cost
Capacity
Productive
Nonproductive
Available
Financial
Weekly sales
Weekly material cost
Weekly conversion cost
Weekly value-stream profit
ROS
1. How many nonfinancial measures are there?
2. What are the three dimensions of a lean firm? Give an example of each.
3. What targets could be set for the planned state?
4. What role does capacity play in a value stream? Contrast value-added and non-value-added activities.
5. What is the financial impact of becoming lean?

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Definitions:

Private Enterprise

Business operations that are owned, financed, and managed by private individuals rather than the government.

Hydrocarbons

Organic compounds consisting entirely of hydrogen and carbon, used as fuels, solvents, and as raw materials for various chemicals.

Incentive-based Regulation

A regulatory approach that aims to encourage desired behaviors through financial incentives, rather than through mandates or prohibitions.

Command-and-control Regulation

A regulatory approach where the government sets specific limits or standards for various aspects of business operations to control or reduce negative externalities.