Study Plan: Performance Measurement
Knowledge Targets
I can define the following terms as they relate to our unit:
| Decentralized |
Profit Center |
Cost Center | Investment Center |
| Return on Investment | Operating Assets | Margin |
Balanced Scorecard |
| Turnover |
Residual Income | Rate of Return | Operating Income |
| Wait Time |
Value-added | Throughput Time | Economic Value Added |
| Non-value added |
Delivery Cycle Time | Manufacturing Cycle Time |
Reasoning Targets
- I can understand the difference between profit center, cost center and investment centers.
- I can understand the meaning of delivery cycle time, throughput time and manufacturing cycle efficiency.
- I can understand how to use a balanced scorecard.
- I can analyze projects or departments using return on investment and residual income.
Skill Targets
- I can calculate return on investment, margin and turnover for a company.
- I can calculate residual income for a company.
- I can compute delivery cycle time, throughput time and manufacturing cycle efficiency.
- I can construct a balanced scorecard.