Performance Management

Tripp and Hopp Limited is a booking agency that specialises in selling London theatre tickets. Until this year the business ran four central London booking offices and a website. But in late 2008, the company decided to transfer all its operations to the website. The company’s objective is ‘to provide a competitive, efficient and secure service to London’s theatregoers’.

Draw up a list of six appropriate non-financial performance indicators that will help Tripp and Hopp’s management to assess the extent to which the company is meeting its objectives. For each indicator, suggest a way of measuring it.

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The managers of division Alpha of Burntwood and Down Holdings determine selling prices for the division, and control almost all costs. Decisions on non-current assets purchases are made at head office level. Is Alpha

a) a profit centre

b) a cost centre

c) a revenue centre

d) an investment centre?

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