A Balanced Scorecard That Includes Both Strategic and Financial Performance

question 6

Multiple Choice

A balanced scorecard that includes both strategic and financial performance targets is a conceptually strong approach for judging a company's overall performance because

• A)financial performance measures are lagging indicators that reflect the results of past decisions and organizational activities,whereas strategic performance measures are leading indicators of a company's future financial performance.
• B)it entails putting equal emphasis on good strategy execution and good business model execution.
• C)a balanced scorecard approach pushes managers to avoid setting objectives that reflect the results of past decisions and organizational activities,and,instead,to set objectives that will serve as leading indicators of a company's future financial performance.
• D)it assists managers in putting roughly equal emphasis on short-term and long-term performance targets.
• E)it more or less forces managers to put equal emphasis on financial and strategic objectives.

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Definitions:

Educational Systems

The structures and processes in place designed to impart knowledge, skills, and cultural norms to individuals, typically through formal institutions like schools and universities.

Human Resource Deficits

Situations where an organization lacks the necessary staffing levels or skill sets to achieve its objectives effectively.

Illiteracy

The inability to read or write, often impacting an individual's ability to engage fully in society, access education, and secure employment.

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A waiver of customs duties typically levied on imported goods, often granted to promote trade or address specific economic needs.