Asked by Stephanie Castellanos on May 17, 2024
Verified
Cody is a manager at Valvco and is creating a measure map with his supervisor. Cody can be confident in telling his boss that if customer satisfaction ratings predict sales, then customer satisfaction is the lagging indicator and sales is the leading indicator.
Customer Satisfaction Ratings
A measure used to quantify the degree to which a customer is happy with a product, service, or experience.
Lagging Indicator
Any metric where performance is predicted by performance in another metric.
Leading Indicator
Any metric where performance is predictive of performance in another metric.
- Comprehend the application of leading and lagging indicators in performance assessment and strategy realization.
Verified Answer
ST
sarthak tanejaMay 20, 2024
Final Answer :
False
Explanation :
Customer satisfaction is the leading indicator because it predicts future sales, making sales the lagging indicator since it reflects the outcome of customer satisfaction.
Learning Objectives
- Comprehend the application of leading and lagging indicators in performance assessment and strategy realization.