Page 167 - APM Integrated Workbook STUDENT S18-J19

Non-financial performance indicators

Illustrations and further practice

Now try TYU question 7 from Chapter 11 of the Study Text.

3.2 Evaluation of the building block model as a performance measurement
tool

Advantages Disadvantages

The first five advantages discussed The first six disadvantages
for the balanced scorecard are discussed for the balanced
relevant here. In addition: scorecard are relevant here. In
addition:
 It is tailored to the service
sector.  It is less suitable for non-
service organisations.
 It differentiates between
downstream results and  It can be difficult to see the link
upstream determinants. to strategic objectives.

 Targets should motivate staff
due to ownership, achievability
and fairness.

 Reward system should
motivate staff due to it being
clear and linked to controllable
factors.

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