SPP Performance Measurement & Evaluation 2

Question 1

Which characteristic distinguishes a leading indicator from a lagging indicator in strategic performance measurement?

Accepted Answer

It predicts future performance before outcomes are realized

Answer

Leading indicators are predictive measures that signal future performance, whereas lagging indicators reflect outcomes that have already occurred.

Question 2

An organization's strategy map shows a weak causal link between 'employee training hours' and 'customer satisfaction scores.' What should a strategic planner do first?

Accepted Answer

Investigate whether an intervening variable explains the weak link

Answer

Before altering the strategy map, planners should investigate confounding or intervening variables that may obscure the hypothesized causal relationship.

Question 3

In the context of the Balanced Scorecard, the 'internal business process' perspective primarily addresses:

Accepted Answer

Which processes must excel to satisfy customers and owners

Answer

The internal business process perspective focuses on the critical processes organizations must excel at to deliver the value propositions that attract and retain customers.

Question 4

A government agency uses program logic models to evaluate strategic initiatives. What does the 'outputs' box in a logic model represent?

Accepted Answer

Direct products or services delivered by the program activities

Answer

Outputs are the direct, tangible products or services produced by program activities, distinct from the longer-term outcomes they are intended to generate.

Question 5

Which method is MOST appropriate when an organization needs to evaluate whether a strategic initiative caused a specific outcome versus other environmental factors?

Accepted Answer

Quasi-experimental or counterfactual analysis

Answer

Quasi-experimental and counterfactual methods compare outcomes to a control or comparison group to isolate the causal effect of an initiative from confounding factors.

(SPP) Strategic Planning Professional Practice Test

(SPP) Strategic Planning Professional Practice Test

SPP Performance Measurement & Evaluation 2