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CMA Final · Strategic Performance Management and Business Valuation · Performance Measurement, Evaluation and Improvement Tools

Which performance measurement tool is built around the four perspectives of financial, customer, internal business process, and learning and growth, and describes the cause-and-effect links between them using a strategy map?

The Balanced Scorecard uses the financial, customer, internal business process, and learning and growth perspectives, and a strategy map shows how they are linked by cause and effect. The other tools listed serve different purposes, such as comparison, activity analysis or budgeting.

  1. ABalanced ScorecardCorrect
  2. BBenchmarking
  3. CValue chain analysis
  4. DZero-based budgeting

Explanation

The Balanced Scorecard, developed by Kaplan and Norton, organises measures under four perspectives and links them through a strategy map showing cause-and-effect. Benchmarking compares against best practice, value chain analysis studies activities, and zero-based budgeting justifies expenses from scratch; none of them uses these four perspectives.

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