Section A

CodeCraft is a bespoke software development agency. Management wants to introduce non-financial performance indicators to measure 'Quality' and 'Flexibility' in their service delivery.

Which TWO of the following are appropriate non-financial indicators for this agency?

Answer options:

Percentage of software bugs reported by clients within 30 days of launch.

Gross profit margin per software project.

Average time taken to accommodate a client's change request during development.

Total revenue generated from repeat clients.

How to approach this question

Look for metrics that do not involve currency (dollars/pounds) and directly measure how good the product is (Quality) or how adaptable the team is (Flexibility).

Full Answer

Non-financial indicators exclude monetary values. Option A measures Quality (defect rate). Option C measures Flexibility (response time to changes). Options B and D are financial indicators.

Common mistakes

Selecting financial indicators like revenue or profit when asked for non-financial indicators.

Question 14 All questions Question 16

Practice the full ACCA PM — Performance Management Practice Exam 5

32 questions · hints · full answers · grading

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