Wrap-Up of Chapter Example and Nonfinancial Performance Measures: The Balanced Scorecard

Before you read the final sections of Chapter 13 regarding Chicken Deluxe, go back to the beginning of this chapter and review their problem. Review the analysis that the management accountants at Chicken Deluxe produced and note the use of all the elements you have been reading about in this unit. In coming to a management decision, seldom will numbers provide an answer on their own. A good CEO and a good team will also consider nonfinancial performance measures in coming to a decision. This process of considering nonfinancial performance measures is considered and you will note how similar the methodology is to those we have discussed above for financial performance measures. Read section 13.4 and 13.5. The end of chapter exercises are optional.