BAP18 practice question 7 of 10
A company has decided to change one of its financial Key Performance indicators (KPIs). It has traditionally measured profit through its gross profit…
Full set: 40 questionsA company has decided to change one of its financial Key Performance indicators (KPIs). It has
traditionally measured profit through its gross profit margin, however, it now wishes to measure It
through it Return on Capital Employed (ROCE).
The following activities are on the consensus Business Activity Model (BAM)
a) Take control action
b) Monitor performance targets
c) Define performance targets.
d) Define target customers
Which of these would the event 'amend KPI’ affect?
Correct Answer:
C. b, c and d.
Explanation
Activity b, Monitor performance targets, is affected because the company is changing their performance indicator and will need to monitor how it is performing. Activity c, Define performance targets, is affected because the company needs to set a new performance target for the KPI. Activity d, Define target customers, is also affected because the company will need to define what customers they are targeting with the amended KPI and whether or not it is having a positive impact on their business.
Keep practicing
Take the free BAP18 practice test
Ten exam-style questions with answers and explanations, plus the exam facts and study guides.
More questions
Other BAP18 practice questions
- Question 1A Business Analyst and a project Manager are producing a business case for an initiative,…
- Question 2George and Laura are responsible for the marking strategy in a company vinyl records and …
- Question 3A business case features a management summary, from which the below extract is taken: ‘Th…
- Question 4A local council has decided to completely redesign the way it provides library lending se…
- Question 5A large consultancy organization has assigned its BA. Girby, to a client called MetalCor,…
- Question 6Imran is the chief executive of FairCrops, a producer of ethically and sustainably source…