Analysis Of Balanced Scorecard. Description Of Bsc . The

1559 WordsMar 5, 20177 Pages
Analysis of Balanced Scorecard Description of BSC The concept of the balance score card is similar to Proverbs 4:25 which states: “Let your eyes look straight ahead, fix your gaze directly before you” (NIV) because a BSC helps an organization gain current facts about their organization, then utilize the information to create a strategic plan for the future. Ultimately, organizations become motivated by their overall mission instead of short-term financial performance measures (Peters, 2014). Companies become forward looking and mission focused by balancing resources and focus between areas of success. Kaplan and Norton (2006) determined financial perspective, customer perspective, internal process perspective and learning and growth were…show more content…
Instead they suggest that organizations should tailor the perspectives to meet the specific strategic needs of the organization (Keser Ozmantar & Gedikoglu, 2016, p.632) to successfully implement a BSC technique. Regardless of the specific areas, the main goal of the BSC is for management to remain equally attentive to the organization’s strategic areas (Blocher et al., 2016). Moreover, the BSC provides an organized manner for managers to identify the critical success factors, then implement procedures to achieve the CSF and ultimately strategic success. Organizations utilize the BSC to achieve strategic success because it “serves as a way to communicate the organizational vision, mission, strategies and goals to all stakeholders” (Khomba, 2015, p. 428). Identifying and measuring the CSFs clearly identifies the crucial areas to all members of an organization, which aids them in incorporating the factors in all areas of an organization to include resource allocation, the management process, and reporting systems. Moreover, inclusion of CSFs into these processes promotes teamwork and purpose throughout the organization because employees understand how their actions influence others and the overall strategy. Implementation Process The final product of a BSC is a “tool of gaining

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