L1_Strategic Performance Management

Which of the following is a traditional management accounting performance measure?

• The number of returned goods.

• Return on investment.

• The number of customer complaints.

• The number of new products.

Which of the following is not a Porter’s (1985) generic strategy?

• Cost Leadership

• Differentiation

• Strategic positioning

• Focusing

What is a cost leadership strategy?

What is a focussing strategy?

What is a prospector strategy?

What is a differentiation strategy?

Defender organisations…

• Perceive stability in their external environment and concentrate on a narrow, limited mix of products and customers.

• Compete on price, quality, and customer service.

• Focus on making operations more efficient through cost, quality, and service leadership.

• All of the above.

Prospector organisations...

• Focus on making operations more efficient through cost, quality, and service leadership.

• Perceive high uncertainty in their environment, continually searching for new market opportunities.

• Are creators of change and compete through new product innovations and market development.

• None of the above.

What are the four perspectives of the Balanced Scorecard?

The Balanced Scorecard...

• Provides a framework for implementing an organisation’s strategy into specific objectives and linked performance measures.

• Is a strategic performance management system.

• Is only used by management accountants.

• All of the above