Chapter 10, Problem 10.28AE

Construct a balanced scorecard (Learning Objective 6)

Dakota Corporation is preparing its balanced scorecard for the past quarter. The balanced scorecard contains four perspectives: financial, customer, internal business process, and learning and growth. Through its strategic management planning process, Dakota Corporation has selected two specific objectives for each of the four perspectives; these specific objectives are listed in the following table.

Specific Objective

1. Increase sales of core product line.

2. Improve production efficiency.

3. Increase number of employees with access to customer relationship database.

4. Increase number of customers.

5. Improve post-sales service.

6. Increase customer retention.

7. Increase Return on Investment (ROI).

8. Improve employee morale.

Dakota Corporation has collected key performance indicators (KPIs) to measure progress toward achieving its specific objectives. The following table contains the KPIs and corresponding data that Dakota Corporation has collected for the past quarter.

10.2-20 Full Alternative Text

Requirement

Prepare a balanced scorecard report for Dakota Corporation, using the following format.

For each of the specific objectives listed, place that objective under the appropriate perspective heading in the report. Select a KPI from the list of KPIs that would be appropriate to measure progress toward each objective. (There are two specific objectives for each perspective and one KPI for each of the specific objectives.) In the last column in the balanced scorecard report, place a check mark if the associated KPI goal has been achieved.