Scorecard Measures, Strategy Translation At the end of 20x1, Mejorar Company implemented a low-cost strategy to improve its competitive position. Its objective was to become the low-cost producer in its industry. A Balanced Scorecard was developed to guide the company toward this objective. To lower costs, Mejorar undertook a number of improvement activities such as JIT production, total quality management, and activity-based management. Now, after two years of operation, the president of Mejorar wants some assessment of the achievements. To help provide this assessment, the following information on one product has been gathered: 20x1 20x3 Theoretical annual capacity* 249,600 249,600 Actual production* 208,000 234,000 Market size (in units sold) 1,300,000 1,300,000 Production hours available (40 workers) 104,000 104,000 Very satisfied customers 62,400 117,000 Actual cost per unit $340 $272 Days of inventory 14 7 Number of defective units 12,480 7,020 Total worker suggestions 80 280 Hours of training 260 1,040 Selling price per unit $200 $200 Number of new customers 5,200 25,740 *Amount that could be produced given the available production hours; everything produced is sold. **Amount that was produced given the available production hours. Required: 1. Compute the following measures for 20x1 and 20x3: a. Actual velocity and cycle time. If required, round your answers to two decimal places. 20x1 20x3 Actual velocity per hour per hour Actual cycle time minutes minutes b. Percentage of total revenue from new customers (assume one unit per customer). Round your percentage answer to one decimal place (for example, enter 4.628% as "4.6"). 20x1 % 20x3 % c. Percentage of very satisfied customers (assume each customer purchases one unit). 20x1 % 20x3 % d. Market share. 20x1 % 20x3 % e. Percentage change in actual product cost (for 20x3 only). Enter a decrease as a negative value. 20x3 % f. Percentage change in days of inventory (for 20x3 only). Enter a decrease as a negative value. 20x3 % g. Defective units as a percentage of total units produced. Round your answers to two decimal places (for example, enter 4.628% as "4.63"). 20x1 % 20x3 % h. Total hours of training. 20x1 hours 20x3 hours i. Suggestions per production worker. Round your answers to one decimal place. 20x1 per production worker 20x3 per production worker j. Total revenue. 20x1 20x3 ILI O k. Number of new customers. 20x1 20x3 2. Match the appropriate strategic objective to the measures given below. Strategic Objective Measure Reduce unit cost Unit cost reduction (%) Develop new revenue Percentage of new revenues Revenue Increase customer satisfaction Percentage of very satisfied customers Increase market share Market share Increase customer acquisition Number of new customers Decrease process time Cycle time/Velocity Improve product quality Percentage defects Days of inventory Increase employee capability Training hours Increase employee motivation Suggestions per worker