Skip to content

ACCA Strategic Professional · Strategic Business Leader · Enabling success: performance excellence

A city council reviews its refuse collection service. It finds that it spent less per tonne than neighbouring councils, collected on schedule, but residents' recycling rates fell and complaints rose. Using the value for money framework (economy, efficiency, effectiveness), what is the best conclusion?

The service appears economical and efficient, given low cost per tonne and punctual collection, but not effective, because recycling rates have fallen and complaints have risen. Effectiveness concerns achieving intended outcomes, which the evidence suggests is not happening.

  1. AThe service is economical and efficient but may not be effective in achieving its intended outcomesCorrect
  2. BThe service is effective but neither economical nor efficient
  3. CThe service is economical only because inputs were purchased at higher prices
  4. DThe service fails on all three measures because complaints have risen

Explanation

Low cost per tonne and on-time collection indicate economy and efficiency. Falling recycling rates and rising complaints show that intended outcomes are not being achieved, so effectiveness is weak. The other options misread the evidence.

Did you get it right without looking?

One question tells you little. A timed set on Enabling success: performance excellence shows your real accuracy, how long you take and where you lose marks.

Practise Enabling success: performance excellenceFree diagnostic mock

More Enabling success: performance excellence questions