The President of EEC has decided to adopt balanced scorecard. The balanced scorecard translates organization's mission and strategy in operational objectives and performance measures for four different perspectives. You received an e-mail from him asking regarding tying compensation with performance measures. Explain the following in your response:
• Explain unethical behavior which can result if the wrong performance measures are employed to tie performance measures to compensation.
• How can EEC avoid these behaviors?
• How should EEC tie performance measures to compensation?
• Who is responsible for establishing performance measures?