Difficulty: Easy
Correct Answer: identify the problem
Explanation:
Introduction / Context:
Periodic reports (daily, weekly, monthly) compile routine performance data such as sales, costs, inventory, and service levels. They are foundational to management by exception, flagging deviations from plan that warrant further analysis and action.
Given Data / Assumptions:
Concept / Approach:
The first value of a periodic report is problem identification. By comparing actuals to budgets and thresholds, managers spot anomalies that justify deeper investigation. Subsequent steps—evaluating, identifying, and selecting solutions—require additional analysis, alternatives generation, and decision processes beyond the scope of simple recurring reports.
Step-by-Step Solution:
Verification / Alternative check:
MIS frameworks position periodic reports at the top of the control loop, surfacing deviations for subsequent managerial action.
Why Other Options Are Wrong:
Common Pitfalls:
Expecting reports to prescribe solutions automatically; designing reports without clear targets or thresholds undermines their problem-identification power.
Final Answer:
identify the problem
Discussion & Comments