ABKA348 - Performance and Inventory Management Assessment 2 v2 2026 | The Career Academy NZ

Performance and Inventory Management Assessment

Read through the requirements below, and then complete all parts of the assessment and then save your work as either a Word document or a PDF file. Once you have saved your work click on the Assessment submission link within this topic and upload your completed assessment to your tutor for marking. 

Part 1: Performance Management and Measurement

TranSafe Airlines has been established for 3 years and has the following mission statement: 

"To provide safe, fast and affordable air travel"

This airline company provides affordable and fast domestic flight travel within New Zealand. For customers to enjoy lower airfares, they must drive out to private airfields located on the outskirts of towns and cities. Rather than paying higher fees for using the traditional domestic terminals, TranSafe have partnered with these multiple private airfields around New Zealand.

During the last 3 years popularity has increased considerably, and Senior Management has suggested an expansion on income and growth. They wish to expand the business model to the Pacific Islands and possibly Australia in the next coming 2 years. But the CEO is worried that the company may enter a highly competitive market and experience substantial risks financially and non- financially.

Due to the potential growth and to avoid competitors taking in a similar business model, Senior Management has decided to strengthen its case when they meet with their CEO again. Senior Management has asked you, the Senior Management Accountant, to assist them in taking this idea forward. Many members of the board, which consists of experienced pilots, are unfamiliar with the concepts for Non-Financial Indicators, Benchmarking and the Balanced Scorecard. 

Question 1:

KPI For each statement create KPIs that is relevant for TranSafe Airlines. Before you generate the KPI you need to identify the 4 focus areas you believe each statement best fits into. For each statement you need to create a SMART KPI that best matches each statement. Under each KPI state which perspective of the Balance Scorecard it will best represent. 

Statement 1: Safety TranSafe

Airlines places importance on the maintenance of the aircrafts to ensure safety of their passengers. The number of inspections per year depends on the age and the number of maintenance records for the aircraft. The number of inspections for each aircraft must be keep each year to ensure no Aircrafts are exceeding the cost vs safety benefit threshold, otherwise the Aircraft must be disposed of. 

Statement 2: Customer Service 

TranSafe Airlines tries to provide passengers an excellent customer service. The Business Class is fully separated from the Economy Class with free food, luxury seating and access to a fast internet connection. The Economy Class is providing more of the bus-like experience with free slow Wi-Fi and free refreshments. At the end of the trip through an app, passengers are required to rate their experience via multiple questions about service that is provided. Just note: Business Class surveys are more focused on luxury, compared to the Economy Class. 

Statement 3: Affordable Travel

TranSafe is always making sure they are keeping up with providing affordable travel. They have a marketing team which investigates promotions with other Airlines to ensure they are not beaten. But rather than decreasing prices they donate earnings to charities or other events to boost ticket numbers. The directors want to ensure that each promotion is profitable as this impacts the bonuses of the marketing team. 

Statement 1: Safety Financial OR Non-Financial Performance Lag OR Lead Indicator Short-term OR Long-term Performance Operational OR Strategic Result In the box below create a KPI that follows the SMART requirement for statement 1. Balance Scorecard Perspective 
Statement 2: Customer Service Financial OR Non-Financial Performance Lag OR Lead Indicator Short-term OR Long-term Performance Operational OR Strategic Result In the box below create a KPI that follows the SMART requirement for statement 2. Balance Scorecard Perspective.