The Balanced Scorecard And The Financial Perspective

1168 WordsDec 15, 20155 Pages
The Balanced Scorecard and the Financial Perspective Introduction To bridge the gap between strategy and action, organizations use the Balanced Scorecard, BSC. This tool aligns business activities to the organization’s strategy and vision thereby boosting the internal and external communications as well as monitoring its performance against strategic objectives by incorporating financial and non-financial elements from various perspectives into a single framework. Therefore, the BSC is essential in steering an organization to focus on its most relevant areas that push the organization to success by clarifying performance in relation to the business strategy. An organization can thus use BSC to achieve customer satisfaction through innovation thereby strengthening its financial position, achieve a competitive advantage and retain clients. Cattaraugus County Rehabilitation Center thus did an effective job of implementing a balanced scorecard approach in a fashion that reflects their organizational mission and vision. However, the process was not without challenges as the center faced a problem of buying in from all managers to own the concept. Moreover, it was difficult trying to come up with outcome measures since the center’s consumers are people with developmental disabilities. Analysis The center implemented a BSC to align itself with the overall strategic plan although the numbers of measurements were not readily available for the center. The BSC was also aligned with
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