Assignment task:
2019 2020 1. Number of jobs billed 44 46 2. Selling price per job $36,000 $35,000 3. Architect labor-hours 19,000 30,000 4. Cost per architect labor-hour $38 $39 5. Architect support capacity (number of jobs the firm can do) 61 61 6. Total cost of software-implementation support $164,700 $176,900 7. Software-implementation support-capacity cost per job $2,700 $2,900 Architect labor-hour costs are variable costs. Architect support costs for each year depend on the architect support capacity that Krater chooses to maintain each year (that is, the number of jobs it can do each year). Architect support costs do not vary with the actual number of jobs done that year. Is Krater Associate's strategy one of product differentiation or cost leadership? Explain briefly. Describe key measures you would include in Krater's balanced scorecard and your reasons for doing so.