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Question 10

True or false: The balanced scorecard is linked to the budget process by highlighting the financial results that the company intends to achieve through its competitive strategy.

Click the button next to the correct answer choice. After you have read the feedback, explore the other choices. Note: Your first selection will be used in tallying your score.

  • True

  • Not the best choice. This statement is actually false. The balanced scorecard does not link to a company's budgeting process by favoring the organization's intended financial performance. Rather, it is linked to the budget process by (1) highlighting leading indicators; (2) balancing the company's financial, customer, internal process, and innovation and improvement perspectives; and (3) helping managers communicate strategic goals to all stakeholders.

  • False

  • The best choice

    Correct choice. The balanced scorecard does not favor the financial perspective; rather, it is linked to the budget process by (1) highlighting leading indicators; (2) balancing the financial, customer, internal process, and innovation and improvement perspectives; and (3) helping managers communicate strategic goals to all stakeholders.

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