Boom Ltd is a major telephone services firm operating nationally. It's following performance information is available below
Question:
Boom Ltd is a major telephone services firm operating nationally. It's following performance information is available below for the last three years:
Boom Ltd uses a balanced scorecard approach to performance management using the following metrics:
CUSTOMER: • Number of customer complaintsumber of contracts % • Average spend per customer
FINANCE: • Gross Profit and margin • Net Profit and margin • Revenue growth p.a.
LEARNING AND GROWTH: • New service lines/total services lines % • Training spend / Total overhead spend % • Average profit contribution per employee • Average revenue contribution per employee
INTERNAL PROCESSES: • Average completion time of contracts • Spend on IT systems (the main driver of operational efficiency) / Total overhead spend
Perform calculations to identify the performance metrics for all operating years
Management Accounting Information for Decision-Making and Strategy Execution
ISBN: 978-0137024971
6th Edition
Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young