ACCA Strategic Professional · Advanced Performance Management · Sustainability
Karrow Logistics has a balanced scorecard and wants to add sustainability. The board decides not to add a fifth perspective but to embed measures within the existing four. It will record the percentage of fleet running on low-emission fuel as a measure of how well internal operations are run. Under which perspective does this measure most naturally sit?
The measure belongs in the internal business process perspective because it describes how efficiently and cleanly the company runs its core operations, namely its delivery fleet. It is not a customer perception metric, a financial return or a measure of skills and innovation.
- ACustomer perspective
- BInternal business process perspectiveCorrect
- CLearning and growth perspective
- DFinancial perspective
Explanation
Fleet emissions relate to how the company operates its delivery processes, so the measure fits the internal business process perspective. Placing it under customer would be correct only if it measured customer perceptions of green delivery, which it does not.
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