Which of the following statements comparing activity-based performance and strategic-based performance evaluation is NOT true?
A)Strategic-based performance evaluation expands the set of metrics.
B)Only strategic-based performance evaluation leads to cost reductions.
C)Only strategic-based performance standards set stretch targets for all four perspectives.
D)Both systems encourage quality improvements.

Question

Quizplus · Accepted Answer

This statement is false. Both activity-based and strategic-based performance evaluations can lead to cost reductions. However, strategic-based performance evaluation often focuses on cost reduction goals as part of its overall strategy, while activity-based evaluation may focus more on identifying the costs of each activity in the process.

Which of the Following Statements Comparing Activity-Based Performance and Strategic-Based