2.1 For any company, there should be a link between its objectives, critical success factors and key performance indicators.

Assume your company is in the fast-moving consumer goods (FMCG) industry and owns a chain of supermarkets. It has two objectives, namely:

i. To retain customer loyalty as measured by repeat business; and

ii. To ensure its prices are at least 3% cheaper than competitors (creating value

for customers).

Required:

a. Identify and discuss four critical success factors which will assist this FMCG company to achieve its objectives.

b. Identify and explain six key performance indicators against which the critical success factors for the FMCG company will be measured to determine performance.

c. Oversight bodies, leaders and managers are increasingly using nonfinancial indicators in evaluating performance. List four possible reasons why this is happening.

QUESTION 2 [40 MARKS] 2.1 For any company, there should be a link between its objectives, critical success factors and key performance indicators. Assume your company is in the fast-moving consumer goods (FMCG) industry and owns a chain of supermarkets. It has two objectives, namely: i. To retain customer loyalty as measured by repeat business; and ii. To ensure its prices are at least 3% cheaper than competitors (creating value for customers). Required: a. Identify and discuss four critical success factors which will assist this FMCG company to achieve its objectives. (12) (12) b. Identify and explain six key performance indicators against which the critical success factors for the FMCG company will be measured to determine performance. (4) C. Oversight bodies, leaders and managers are increasingly using nonfinancial indicators in evaluating performance. List four possible reasons why this is happening