Strategic Measurement Of The Balanced Scorecard

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The balanced scorecard is a strategic measurement strategy used in business and government as a measurement tool. The balanced scorecard should reflect businesses plans and strategic goals. The balance scorecard “was originated by Drs. Robert Kaplan (Harvard Business School) and David Norton (n.n October 8th, 2015). Balanced scorecard is used by managers not only to measure performance but to align their goals and execute the visions and missions of any agency. The balanced scorecard include metrics in different perspective views, these include “The learning and growth perspective, the business process perspective, the customer perspective and the financial perspective”. Usage An independent consultant named Art…show more content…
The costs involved make it out-of-bounds for many small businesses, but they can still use this tool as a valuable strategy map. Balanced scorecard improves alignment over departments by implanting clarity and reliable communication over goals and strategies, establishing a link between corporate vision and strategy and strategy and operations. Adapt easily to established standards and agreements. 1997, a study by Kurtzman found that 64 percent of the companies who do not use this tool still measure performance similarity (Kurtzman, 1997). Implementation benefits organizations to improve operations, develop role clarity, and become agile, lean, and effective. The extensive benefits however come during the design phase rather than the actual implementation. Organizations who use balanced scorecards, but do so by replicate that of another organization without customization, fail in getting the benefits. To get a successful implementation it requires heavy participation of management and operational staff to ensure suitability and compatibility of the tool to the organization. What are the Benefits of using Balanced Scorecards? It shouldn’t come as a surprise that companies using Balanced Scorecards tend to perform better than companies using the traditional method of performance measurement. The key benefits of using a scorecard
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