Question 5 (16 marks) Pitaya House was for many years a small, family-owned resort serving day skiers from nearby towns. Pitaya House was recently acquired by Guava Company, a major ski resort operator. The new owner has plans to upgrade the resort into a destination resort for vacationers. As part of this plan, the new owner would like to make major improvements in the Berry Lodge, the resort's on-the-hill cafeteria. The menu at the lodge is very limited - hamburgers, hot dogs, tuna fish sandwiches, pizzas, french fries, and packaged snacks. With little competition, the previous owner of the resort had felt no urgency to upgrade the food service at the lodge. If skiers want lunch on the mountain, the only alternatives are the Berry Lodge or bring their own meal. As part of the deal when acquiring Pitaya House, Guava Company agreed to retain all of the current employees of the resort. The manager of the lodge, while hardworking and enthusiastic, has very little experience in the restaurant business. The manager is responsible for selecting the menu, recruiting and training employees, and overseeing daily operations. The kitchen staff prepare food and wash dishes. The dining room staff take orders, serve as cashiers, and clean the dining room area. Shortly after taking over Pitaya House, management of Guava Company held a day-long meeting with all of the employees of the Berry Lodge to discuss the future of the ski resort and the new management's plans for the lodge. At the end of this meeting, management and employees of the lodge tried to create a balanced Scorecard for the lodge that would help guide operations for the coming ski season. Almost everyone who participated in the meeting seemed to be enthusiastic about the scorecard and management's plans for the lodge. Guava Company also promises to pay for the costs of staff attending courses at the local university. Required: (a) Construct a balanced scorecard for the Berry Lodge. Indicate whether each measure is expected to increase or decrease. (10 marks) (b) Explain the objectives and measures in your balanced scorecard and how might they be linked? (6 marks) (Total for Question 5: 16 marks) End of Question Paper