$20 Bonus + 25% OFF
Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!

Challenges In Manufacturing Company, Different Costs

tag 3 Downloads4 Pages 820 Words tag Add in library Click this icon and make it bookmark in your library to refer it later. GOT IT


a) Outline the main perspectives of the Balanced Scorecard stating two examples of performance measures for each element?
b) Comment on four challenges encountered by managers in using the Balanced Scorecard in a manufacturing organisation?
c) Explain briefly the difference between Prevention Cost, Appraisal Cost and Internal Failure Cost giving one example each?


a). There are four perspectives of balanced scorecard. It is very important for the organizations to collect and analyze data pertaining to each metrics. The examples pertaining to each perspective of balanced scorecard are as follows: -

Learning and growth perspective

This perspective states that the management should look for ways by which the knowledge of employees in the organization can be grown. Few of the examples of learning and growth perspective are as follows: -

1. If there is a change in technology then the employees will have to be trained so that they can work as the change that is implemented in the organization.

2. Few of the employees in the organization may have the potential to grow as managers but they may be lacking in leadership skills so the management will have identify and train such employees.

The business process perspective

The business process perspective allows the management to measure the areas wherein they need to improve and also the areas wherein they are already doing well. Few of the examples of this perspective are as follows: -

1. Track the revenue that is generated by the company so that the management can be sure that they are generating profits.

2. The management can set for goal for itself regarding the sales and they can check by the end of the quarter if they have achieved the target that was set.

The customer perspective

This perspective allows the management to ensure if the customers are happy with what the company is offering. Few of the examples of this perspective are as follows: -

1. Customer satisfaction survey to understand the pros and cons of the product.

2. Talking to customers so that the management can understand the areas wherein they can improve.

The financial perspective

It is very important for the management to keep a track of the funds that are entering their business and the funds that are moving out. Few of the examples of this perspective are as follows: -

1. Balancesheet to track all the debits and credits in the business.

2. Cash flow statement to track the funds that flow in and out of the business (Kaplan 1996).

b). Manufacturing business will not be able to implement Balanced scorecard because of the various reasons and they are as follows: -

1. Few perspectives which are mentioned in the balanced scorecard is vague. As per the learning and growth perspective, the employees may be forced to undergo training for particular number of hours. This cannot be implemented in manufacturing company as there will be no need for continuous training in manufacturing business.

2. Balanced scorecard doesn’t take risk management or opportunity cost into consideration. It is very important in a manufacturing company as it can create a direct impact on the profits of the company.

3. There is no specific need for balanced scorecard in manufacturing company. If the management decides to implement balanced scorecard then that can be considered as an additional burden rather than that of something that really yields results.

4. The balanced scorecard may be easy to use but it is very difficult to quantify the results. The manufacturing company believes in having results that can put in numbers and hence, balanced scorecard will not be considered to be useful by them (Niven 2008).

c). Prevention cost would mean undertaking various activities so that the organization can safeguard itself from the loss which they may face in the future. For example, maintenance of machinery is undertaken at regular intervals so that the management can avoid excess cost of buying new machineries. Most of the manufacturing companies give training to the suppliers so that additional cost can be avoided.

Appraisal cost means the money that the management is investing in inspecting various things so that they can avoid unwanted cost. For example, inspection is undertaken frequently so that the management can be rest assured that all the processes are in sync with the defined process. Apart from that, when a process is completed, the management will have a separate testing team so that cost is considered as appraisal cost.

In spite of prevention and appraisal, the management will come across few costs which they cannot avoid. For example, over a period of time, some machinery will have to be scrapped. Similarly, there may be some or other rework so these things will lead to extra cost (Olve 1999).   



Kaplan, R, 1996, The balanced scorecard: translating strategy into action, no. XI

Niven, P, 2008, Balanced scorecard diagnostics: maintaining maximum performance, ISBN 0471681237

Olve, N, 1999, Performance drivers: a practical guide to using the balanced scorecard, ISBN 9780471986232


Cite This Work

To export a reference to this article please select a referencing stye below:

My Assignment Help. (2016). Challenges In Manufacturing Company, Different Costs. Retrieved from

"Challenges In Manufacturing Company, Different Costs." My Assignment Help, 2016,

My Assignment Help (2016) Challenges In Manufacturing Company, Different Costs [Online]. Available from:
[Accessed 17 February 2020].

My Assignment Help. 'Challenges In Manufacturing Company, Different Costs' (My Assignment Help, 2016) <> accessed 17 February 2020.

My Assignment Help. Challenges In Manufacturing Company, Different Costs [Internet]. My Assignment Help. 2016 [cited 17 February 2020]. Available from: has assembled a team of extraordinarily talented and knowledgeable PhD qualified online dissertation experts to provide students required dissertation writing help in Canberra, Adelaide, Perth, Melbourne, Sydney and other parts of Australia. Students can buy dissertation online from us with three simple steps. Auditing dissertation help, history dissertation help, geography dissertation help, maths dissertation help are few popular services under our dissertation writing assistance.

Latest Management Samples

EEH315 Teaching Sexuality And Relationship Education

Download : 0 | Pages : 9
  • Course Code: EEH315
  • University: Deakin Uiversity
  • Country: Australia

Answer: Introduction  One of the major problems that the parents of the present times face is regarding the manner in which they should provide the right kind of knowledge or information to their children about sexuality (Corona et al., 2016). The right of sexuality knowledge can help the children as well as the teenagers in a significant manner whereas inadequate knowledge about the same can scar or alter the course of the life of these...

Read More arrow

MNG81001 Management Communication 6

Download : 0 | Pages : 9

Answer: Crisis Communication And The Development Of Communication Strategies Introduction: An important tool that determines the quality of survival of any business or an organization is its reputation in the market. Reputation directs to the confidence and trust that customers develop with the connotation of each business that they associate themselves with. This has a profound and direct effect on the bottom line of the company (Utz, Schul...

Read More arrow

COMM1085 Comparison Between My Generation And That Of My Parents

Download : 0 | Pages : 3

Answer: Introduction. There is no gap between a generation and another since generations are continuous. What matters is age between a particular group of people, who tent to live in the same period and experienced some social, physical occurrences in the society. A new generation is believed to start after twenty years. This paper illustrates the differences between my generation which lies in the age bracket of twenty to thirty years and th...

Read More arrow

GSP163 Critical Media Literacy For World Health Association

Download : 1 | Pages : 5

Answer: Part One. In the news article ‘Media Frenzy as David Goodall Commits Assisted Suicide’ I feel that the author is opposed to assisted suicide this is based on the following reasons: The author believes assisted suicide helps in boosting suicide among human beings, be it assisted or conducted by a person on his own. Secondly, the author is against assisted suicide given that it is against World Health Association guidelines ...

Read More arrow

BSB52415 Diploma Of Marketing And Communication System

Download : 0 | Pages : 4
  • Course Code: BSB52415
  • University: Altec College
  • Country: Australia

Answer: Assessment 1 Part A Question 1 The project scope defines the overall working which has to conducted in the framework of the project. It defines the overall working which can be performed within the working of the project to guide the project to the factor of success (Marchewka 2014). Some of the crucial aspects which are defined in the scope is the timeline and the budget of the project. Question 2 Project stakeholders can be cons...

Read More arrow

Save Time & improve Grades

Just share your requirements and get customized solutions on time.

We will use e-mail only for:

arrow Communication regarding your orders

arrow To send you invoices, and other billing info

arrow To provide you with information of offers and other benefits




Overall Rating



Our Amazing Features


On Time Delivery

Our writers make sure that all orders are submitted, prior to the deadline.


Plagiarism Free Work

Using reliable plagiarism detection software, only provide customized 100 percent original papers.


24 X 7 Live Help

Feel free to contact our assignment writing services any time via phone, email or live chat.


Services For All Subjects

Our writers can provide you professional writing assistance on any subject at any level.


Best Price Guarantee

Our best price guarantee ensures that the features we offer cannot be matched by any of the competitors.

Our Experts

Assignment writing guide
student rating student rating student rating student rating student rating 4/5

248 Order Completed

100% Response Time

Lloyd Bernabe

MSc in Accounting

London, United Kingdom

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

285 Order Completed

99% Response Time

Eugene Baranowski

MBA in Supply Chain

London, United Kingdom

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 4/5

1309 Order Completed

100% Response Time

Gemmie Chen

MSc in Nursing

Singapore, Singapore

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

647 Order Completed

98% Response Time

Adlina Han

Masters in Marketing with Specialization in Branding

Singapore, Singapore

Hire Me

FREE Tools


Plagiarism Checker

Get all your documents checked for plagiarism or duplicacy with us.


Essay Typer

Get different kinds of essays typed in minutes with clicks.


GPA Calculator

Calculate your semester grades and cumulative GPa with our GPA Calculator.


Chemical Equation Balancer

Balance any chemical equation in minutes just by entering the formula.


Word Counter & Page Calculator

Calculate the number of words and number of pages of all your academic documents.

Refer Just 5 Friends to Earn More than $2000

Check your estimated earning as per your ability




Your Approx Earning

Live Review

Our Mission Client Satisfaction

it was amazing work. i got really good marks and thanks for the help. I\'ll be in touch for my further assignments too


User Id: 335610 - 17 Feb 2020


student rating student rating student rating student rating student rating

Work was of high quality. A review of the new APA 7 is needed, but other than that, sources were clearly defined/cited, content was well structured and thought out, and the writer was able to complete in about 48 hours. Probably one of the best pap...


User Id: 374361 - 17 Feb 2020


student rating student rating student rating student rating student rating

Thank you for helping me out with my assignment. Hopefully i will get good marks in it


User Id: 343177 - 17 Feb 2020


student rating student rating student rating student rating student rating

Thank you excellent work! Tutor was attentive and always ready to assist if I needed additional help.


User Id: 369952 - 17 Feb 2020


student rating student rating student rating student rating student rating
callback request mobile
Have any Query?