1. Lara, an auditor, has just begun an engagement at a University. In her first meeting with the team, the Director commented that "all that mattered in this industry is students. If the number of students is adequate, everything else would take care of itself." Sara noted that while this measure was important, other, broader facets of operation were significant as well. She asked if any of the management team had heard of the Balanced Scorecard; the response was a deadly silence.

Required: Discuss the Management team's current approach to performance measurement and suggest how the use of the Balanced Scorecard might help.