CIMA Exam CIMAPRO19-P02-1 Topic 6 Question 88 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam

Question #: 88
Topic #: 6

An organization uses a balanced scorecard approach to performance measurement, both at the corporate level and to assess the performance of each of its responsibility centre managers.

Which THREE of the following statements are valid in respect of the effect of this approach on the behavior of the responsibility centre managers?

AIt encourages them to focus mainly on short-term financial measures.

BIt provides them with a range of performance measures to discourage a tendency to focus on only one measure.

CIt provides them with clear guidance as to how customer satisfaction problems should be solved.

DIt encourages them to make decisions that are in line with corporate objectives.

EIt encourages them to identify, and deal with, problems at an earlier stage.

Show Suggested Answer

Suggested Answer: A, C, D

by Alisha at May 18, 2024, 11:17 PM

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Jacob

1 months ago

The balanced scorecard sounds like a performance management version of a balanced diet - good for you, but not necessarily fun.

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This is an interesting one. I wonder if the balanced scorecard is really the best way to get managers to identify and address problems early on. Seems like it could incentivize a 'wait and see' approach instead.

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Aretha

3 days ago

B) It provides them with a range of performance measures to discourage a tendency to focus on only one measure.

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Richelle

4 days ago

A) It encourages them to focus mainly on short-term financial measures.

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Emerson

1 months ago

Hmm, the lack of clear guidance on solving customer satisfaction issues is a bit concerning. I hope the organization has other mechanisms in place to support managers on that front.

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Royal

1 months ago

I like how this approach encourages decision-making aligned with corporate objectives. It's a smart way to ensure managers stay focused on the organization's overall success.

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Maryann

8 days ago

D) It encourages them to make decisions that are in line with corporate objectives.

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Hailey

19 days ago

B) It provides them with a range of performance measures to discourage a tendency to focus on only one measure.

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Mayra

20 days ago

A) It encourages them to focus mainly on short-term financial measures.

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Harris

2 months ago

The balanced scorecard approach seems like a double-edged sword. While it provides a range of measures, I worry it could lead to managers fixating on short-term financial goals instead of the bigger picture.

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Gabriele

17 days ago

D) It encourages them to make decisions that are in line with corporate objectives.

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Aron

18 days ago

B) It provides them with a range of performance measures to discourage a tendency to focus on only one measure.

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Virgie

1 months ago

A) It encourages them to focus mainly on short-term financial measures.

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Abraham

2 months ago

I believe option E is crucial as it encourages managers to address issues early on before they escalate.

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Rosalyn

3 months ago

I agree with Zona. Option D is also important as it ensures that managers align their decisions with the overall goals of the organization.

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Zona

3 months ago

I think option B is valid because having a range of performance measures can prevent managers from focusing on just one aspect.

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CIMA Exam CIMAPRO19-P02-1 Topic 6 Question 88 Discussion

Contribute your Thoughts:

Jacob

Daron

Aretha

Richelle

Emerson

Royal

Maryann

Hailey

Mayra

Harris

Gabriele

Aron

Virgie

Abraham

Rosalyn

Zona