In order to set up a managerial control...

Question 1 / 270705eccef9dbacbc34ba4d45db5

Question 1 of 270705eccef9dbacbc34ba4d45db5

In order to set up a managerial control system, the first step is to establish performance standards. What example of a performance standard is most difficult to measure and the biggest challenge to the manager?

Back

Question 1 of 27070

🔍 Key Concepts

• Managerial control systems and why performance standards are needed • Differences between tangible (quantifiable) and intangible (qualitative) measures • How easily each type of standard (time, numerical, monetary, intangible) can be tracked and compared over time

💭 Think About

• For each option, ask yourself: Can this be directly counted, timed, or costed with hard numbers? Or does it rely on opinions, perceptions, or surveys? • Which type of standard would create the most disagreement between employees and management about whether it has really been met? • Which option would require more judgment, interpretation, or indirect indicators rather than simple records or instruments?

✅ Before You Answer

• Identify which choices are clearly quantitative (based on numbers you can measure with tools, clocks, or financial records). • Identify which choice depends most on human perception, feelings, or attitudes rather than hard data. • Consider which standard would be hardest to define precisely and to measure the same way every time.

Question 1 of 27070

Time based standards such as time required to complete repairs.

Numerical standards such as machining tolerance.

Monetary standards such as over-time costs.

Intangible standards such as morale or attitude.

Question 1 / 270705eccef9dbacbc34ba4d45db5

Question 1 of 270705eccef9dbacbc34ba4d45db5

Back

Question 1 of 27070