Question 1

Section A

AgriCorp wants to improve its HR department's recruitment process. They decide to compare their recruitment metrics against those of a leading tech company known for its world-class hiring practices, even though the tech company is in a completely different industry. What type of benchmarking is this?

Accepted Answer

Identify that the comparison is based on a specific function (HR recruitment) and is across different industries. This defines functional benchmarking.

Question 2

What mistakes do candidates make on this ACCA question?

Accepted Answer

Selecting competitive benchmarking, missing the fact that the companies are in different industries.

How to approach this question

Full Answer

Common mistakes

Practice the full ACCA MA — Management Accounting Practice Exam 3

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