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13- 26 Strategy, balanced scorecard, service company. Westlake Corporation is a small information-systems consulting firm that specializes in helping companies implement standard sales- management soft-ware. The market for Westlakea‚a„s services is very competitive. To compete successfully, Westlake must deliver quality service at a low cost. Westlake presents the following data for 2010 and 2011. 2010 2011 1. Number of jobs billed 60 70 2. Selling price per job $ 50,000 $ 48,000 3. Software- implementation labor- hours 30,000 32,000 4. Cost per software- implementation labor- hour $ 60 $ 63 5. Software- implementation support capacity ( number of jobs it can do) 90 90 6. Total cost of software- implementation support $ 360,000 $ 369,000 7. Software- implementation support- capacity cost per job ( row 6 ƒÂ· row 5) $ 4,000 $ 4,100 Software- implementation labor- hour costs are variable costs. Software- implementation support costs for each year depend on the software- implementation support capacity Westlake chooses to maintain each year (that is the number of jobs it can do each year). It does not vary with the actual number of jobs done that year. 1. Describe key measures you would include in Westlakea‚a„s balanced scorecard and your reasons for doing so.

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