ACCA Strategic Professional · Advanced Performance Management · Non-financial performance measurement
Marlow Pharma introduces a target that call-centre staff must close each customer call within 4 minutes. Average call time falls sharply, but repeat calls and customer complaints rise. Which design problem with the measure does this best illustrate?
It illustrates dysfunctional behaviour caused by an unbalanced measure. Staff chase the call-time target by rushing, which raises repeat calls and complaints. Pairing speed with quality indicators such as first-call resolution or satisfaction would stop the target undermining service outcomes.
- AThe measure is not quantifiable
- BThe measure encourages dysfunctional behaviour because it is not balanced by a quality measureCorrect
- CThe measure is too closely linked to long-term strategy
- DThe measure is controllable only by senior management
Explanation
Staff meet the speed target by rushing calls, harming resolution quality. This is dysfunctional behaviour from a one-dimensional measure. Pairing call time with first-call resolution or satisfaction would balance it. The measure is quantifiable and controllable by staff, so the other options are wrong.
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