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Supplementary objective test questions

CHAPTER 8 – THE PERFORMANCE MEASUREMENT MIX

8.1 BBH is a manufacturer and retailer of perfume and aftershaves. It has a large
number of high street stores, as well as concessions in department stores.

Which TWO of the following measures would be most likely classified
under the ‘internal business perspective’ of BHH’s balanced scorecard?

A Percentage of positive customer feedback about BBH’s product

B Share of the perfume and aftershave market by revenue

C Number of idle hours attributed to store staff

D Movement in profit margin each year

E Percentage of raw materials wasted during production

8.2 FF is a public broadcaster based in country H. It runs several television and
radio stations which are paid for by a licence fee charged to households in
country H.

In recent years, FF has found licence fee income falling as many residents are
refusing to pay. FF has found that its debt collection systems are highly
inefficient and it is considering the use of benchmarking to improve this process.

FF is the only public broadcaster in country H and, while many other
organisations do have effective debt collection services, it is felt that it is unlikely
that any private broadcasters in country H will be willing to benchmark itself
against FF.

Which of the following options is the most appropriate type of
benchmarking for FF to adopt with regards to its debt collection services?

A Mutual

B Process

C Competitor

D Internal

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