Case Scenario: The Balanced Scorecard
Connies takeout caters to young professionals who want a good meal at home but do not have time to prepare it. Connie's has developed the following business objectives:
1. To provide fast, courteous service.
2. To manage the inventory of food carefully.
3. To have repeat customers.
4. To be profitable and grow.
Connie's has also developed the following performance measures:
5. Growth in revenues per quarter and net income.
6. Average unsold food at the end of the business day as a percentage of the total food purchased that day.
7. Average customer time at the counter before being waited on. 8. Percentage of customers who have stopped in the store before.
Match each of these objectives and performance measures with the four perspectives of the balanced scorecard: financial perspective, learning and growth perspective, internal business processes perspective, and customer perspective.
Ethical Conduct:
Katrina Kim went to work for Billings Industries five years ago. She was recently promoted to cost accounting manager and now has a new boss, Vic Howard, the corporate controller. Last week, Kim and Howard went to a two-day professional development program on accounting changes in the manufacturing environment. During the first hour of the first day's program, Howard disappeared, and Kim didn't see him again until the cocktail hour. The same think happened on the second day. During the trip home, Kim asked Howard if he had enjoyed the conference. He replied:
Katrina the golf course was excellent. You play golf. Why don't you join me during the next conference? I haven't sat on one of those sessions in ten years. This is my R&R time. Those sessions are for the new people. My experience is enough to keep me current. Plus, I have excellent people to help me as we adjust our accounting system to the changes being implemented on the production floor.
Does Katrina Kim have an ethical dilemma? If so what is it? What are her options? How would you solve her problem?
Be prepared to defend your answer.