Summary of Balanced Scorecard

1465 WordsJun 30, 20136 Pages
Using the Balanced Scorecard as a Strategic Management System Kaplan, Robert S., Norton, David P. Harvard Business Review; Jan/Feb1996, Vol. 74 Issue 1, p75-85, 11p, 3 Diagrams Robert S. Kaplan and David P. Norton introduced the balanced scorecard, which supplemented traditional financial measures with criteria that measured performance from the perspectives of customers, internal business processes, and learning and growth. The scorecard enabled companies to track financial results while monitoring progress in building the capabilities they would need for growth. Traditional management systems rely on financial measures, which bear little relation to progress in achieving long-term strategic objectives. The scorecard introduces…show more content…
The assumption that there is a cause and- effect relationship between the suggested areas of measurements is essential because the measurements in non-financial areas make the performance measurement system a feed-forward control system, which solves the problem of the historical nature of accounting data This paper investigates whether the book entitled The Balanced Scorecard has the features characteristic of sound argumentation, i.e. whether it uses an appropriate combination of ethos, logo s and pathos when appealing to its readers; if it does not, it will be further examined which features characterize the text, which will then allow us to draw conclusions as to the genre of the text and, in turn, to tell how the BSC is promoted. All the author’s analysis shows that rhetoric is a key management tool. Management constantly requires new rhetoric. The only problem is that, if the rhetoric is combined with theory that is full of mistakes, the sources of errors are numerous. In that case, the managers cannot use the theories to analyses the problems of their companies and they will not have an instrument which actually allows them to control and direct the company. Instead, more argumentative and empirically valid theories should be combined with entertaining rhetoric. Researchers who are preoccupied with
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