Chapter 12, Problem 12.9E

Scorecard Performance Measures LO 12–1, LO 12–4

The table below contains four performance measures for four different companies. Each set of performance measures contains one measure for each of the four perspectives of the balanced scorecard.

Required:

1. For each of companies A, B, C, and D:
1. Label each of the four measures as relating to the Learning & Growth, Internal Business Process, Customer, or Financial perspective. Indicate whether each measure is expected to increase or decrease.
2. Create three if-then hypothesis statements that link (1) the Learning & Growth measure with the Internal Business Process measure, (2) the Internal Business Process measure to the Customer measure, and (3) the Customer measure to the Financial measure.
2. For each of companies A, B, C, and D, describe whether its set of four measures reflect an operational excellence, customer intimacy, or product leadership customer value proposition. Why?