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Barnes Boards (BB) is a skateboard manufacturer that markets its products directly to customers online. At the end of 2021, BB tried to improve its competitive position within the electric longboard market by implementing a combination of revenue-increasing and cost-saving initiatives. That is, BB wanted to become a lower-cost producer of longboards while also taking action to increase revenues. A Balanced Scorecard was developed to guide the company toward this objective. To lower costs, BB implemented ideas related to JIT production, total quality management, and activity-based management. Now (after 2 years), the CEO of BB wants to assess the impact of the changes. The following information has been collected (all related to electric longboards).

2021	2023
Theoretical annual capacity*	249,600	249,600
Actual production**	208,000	234,000
Market size (in units)	1,300,000	1,300,000
Production hours available (40 workers)	104,000	104,000
Very satisfied customers	83,200	140,400
Actual cost per unit	$325	$260
Days of inventory	15.6	7.8
# of defective units	13,000	5,200
Total worker suggestions	104	312
Hours of training	260	1,040
Selling price per unit	$315	$315
# of new customers	5,200	26,000

*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. In Microsoft Word or Excel, create a table that communicates the following.

• All of the measures listed below
  • actual velocity and cycle time (2021 and 2023)
  • Percentage of total revenue from new customers (2021 and 2023) (assume one unit per customer)
  • Percentage of very satisfied customers (2021 and 2023) (assume each customer purchases one unit)
  • Market share (2021 and 2023)
  • Percentage change in actual product cost (2023 only)
  • Percentage change in days of inventory (2023 only)
  • Defective units as a percentage of total units produced (2021 and 2023)
  • Total hours of training
  • Suggestions per production worker
  • Total revenue
  • Number of new customers
• For each measure, identify a likely strategic objective (assume there is one measure per objective)
• For each measure, identify the related Balanced Scorecard perspective

2. Express BB's strategy as a series of if-then statements.

3. Prepare a strategy map that illustrates the relationships among the likely strategic objectives.

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