This website uses cookies to ensure you have the best experience. Learn more

Balanced Scorecard Essay

1126 words - 5 pages

Running head: BALANCED SCORECARD 7 Running Head: BALANCED SCORECARD PAGE \* MERGEFORMAT 1
Balanced ScorecardBUS/475: Integrated Business TopicsJanuary 25, 2010Balanced ScorecardCreating mission and vision statements are the initial steps of strategic management, "the set of decisions and actions that result in the formulation and implementation of plans designed to achieve a company's objectives" (Pearce & Robinson, 2009, p. 3). Establishing what the business is and where it wants to go leads to the development of strategic objectives that identify "what must be done to realize the vision and mission of a business" (University of Phoenix, 2009, para. 2). Knowing what must be done is not enough; a set of specific actions and measures are needed. "A balanced scorecard is the tool that can identify what must be measured, what the specific measures are, and what specific targets are needed" (University of Phoenix, 2009, para. 2). The balanced scorecard is "a strategic approach and performance management system that enables organizations to translate a company's vision and strategy into implementation, working from 4 perspectives: (a) financial perspective, (b) customer perspective, (c) business process perspective, and (d) learning and growth perspective" (Value Based Management, 2009, para. 1).Strategic ObjectivesStrategic objectives and a balanced scorecard (appendix A) were developed by taking into consideration the company mission statement, vision statement, values, and the outcomes of the SWOTT (strengths, weaknesses, opportunities, threats, and trends) analysis for My First Teeth Keepsakes.Financial PerspectiveThe strategic objectives for the financial perspective are:Increase market share by five percent yearly for the next five years.Increase profitability three percent yearly after break-even point.Increase revenue two percent yearly for the next five years after year one and decrease costs one percent yearly for years two through five.Customer PerspectiveThe strategic objectives for the customer perspective are:Increase amount of customers two percent yearly for the next five years.Establish partnership with one dental provider monthly for the next five years.Offer one new product line every two years.Internal Processes PerspectiveThe strategic objectives for the internal processes perspective are:Improve operational efficiency by one percent yearly for the next five years.Increase marketing budget one percent yearly for the next five years.Provide quality innovative products and service with 98% quality control.Learning and Growth PerspectiveThe strategic objectives for the learning and growth perspective are:Improve use of technology in production and service three percent yearly for the next five years.Maintain employee satisfaction at 95%.Increase workforce knowledge and skills with trainings yearly over the next five years.Derivation of ObjectivesEach of the strategic objectives are interrelated and derived from a combination of...

Find Another Essay On Balanced Scorecard

Balanced Scorecard of Shari’s Beauty Line Business

1482 words - 6 pages Introduction The balanced scorecard can be defined as the system that manage the strategic planning of the organization and assist the management to utilize the internal and external communication process to examine the performance of the firm (Wheelen & Hunger, 2004). This balanced scorecard will assist the beauty line business organization to synchronize all the business activities and action according to the vision and strategy. The main

Business Model and Strategic Plan Part III Balanced Scorecard and Communication Plan

763 words - 3 pages Running head: Business Model and Strategic Plan Part III: Balanced Scorecard and Communication Plan PAGE 1 PAGE Business Model and Strategic Plan Part III: Balanced Scorecard and Communication Plan PAGE 5 Business Model and Strategic Plan Part III: Balanced Scorecard and Communication PlanEric GibbsBUS/475Wednesday, August 20, 2014TINA WALKERBusiness Model and Strategic Plan Part III: Balanced Scorecard and Communication PlanThis paper

This is about modern management theory on value based management. It introduce concept of balance scorecard as a modern management tool

1673 words - 7 pages Traditional performance measures are insufficient to gauge performance and guide organizations in today's rapidly changing, complex economic landscape. Organizations need to link performance measurement to strategy, and must measure performance in ways that both promote positive future results and reflect past performance.The Balanced Scorecard has developed over the last eleven years as a powerful way to implement strategy and continuously

Alternate Ways of Measuring Performance

1821 words - 7 pages Balanced Scorecard Alternate Ways of Measuring Performance Abstract Many organizations are usefully viewed as a web of relationships between and among various stakeholder groups. An organization may be defined as a "nexus of contracts," where said "contracts" are relationships that are marked by contributions from the various stakeholders in return for inducements provided by the organization. Over the long haul, the success of an

Balance Scorecard a Case Study: Spectra

1366 words - 6 pages March 20, 2014 Balanced Scorecard a Case Study: SPECTRA Submitted by: U1249910 and U1250461 : Spectra Cash collections from customers during the six week period Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Total Cash received from previous week £40, 000 £ 40, 000 Week 1 sales £80, 000 £40, 000 £40, 000 £80, 000 Week 2 sales £70, 000 £35, 000 £35, 000 £70, 000 Week 3 sales £70, 000 £35, 000 £35, 000 £70

Citi Bank Case Study

493 words - 2 pages measurement perspectives from a balanced view. Then the targets also have been established for each perspective, for example the customer satisfaction has been set for achieving a rating of at least 80 in 1996. The balanced scorecard forces employees to adopt a broader view of the business and concentrate not only on financial measures, but on measures that are truly important to the success of the company. 2. Assume that you are Lisa Johnson. Complete

Strategic Performance Measurement Systems (SPMs)

2531 words - 10 pages Table Of Contents · Introduction……………………………………………………..1 · Balanced Scorecard System (BSC)…………………………….1-2 · Implementation of Balanced Scorecard in SMEs…………….3 Strategy Destination…………………………………………….3 Perspectives……………………………………………………..3-4 Measures ………………………………………………………5-6 · Challenges faced and possible recommendations for overcoming it…………………………………………………………………7-8 · Limitations of BSC…………………………………………….8-10 · Conclusion

Measure of Performance of a Company

758 words - 4 pages the relevant information on which they are pegged on. As a result, over the recent past, numerous Business Performance Measurement (BPM) systems have been developed by business experts, among them, the business scorecard, the Economic Value Added, the Activity-based Costing and Action-Profit Linkage Model. However, as this paper will illustrate, the balanced scorecard frameworks has been more popular among organizations in the contemporary society

Traditional Management Accounting and Innovation Management Accounting

1756 words - 7 pages understanding the key elements involved in a better shopping experience and forms an integral part of non financial measurement of quality expectations. This the business enviroment move from focus on product side to more on customer side which measured by the non-financial measurement. Implementation of the non-financial measures, together with the financial measures can be done by using strategy map and balanced scorecard system, which result to the

Creating PepsiCo Balanced Performance

3730 words - 15 pages out of the balanced scorecard method to create an individually responsive and responsible organization that exceeds our upcoming aggressive performance targets. The balanced scorecard is a tool that we believe will align individual objectives with business objectives to ensure the continued success of PepsiCo. The following information describes where we are today as an organization, what the balanced scorecard can do for our organization, and some

Boston Lyric Opera Case for Management Control

2033 words - 8 pages Graduation: 2011Contents3LITTERATURE REVIEWIntroduction 3The Cause and Effect Relationship 3LITTERATURE REVIEW 4Criticism 4Modified Balanced Scorecards 4BOSTON LYRIC OPERA CASE STUDY 5Limitations (first draft, only bullet points for the moment) 5CRITICISM OF THE BALANCE SCORECARD 6Top-down implementation 6Managers responsibility in the implementation 6The BSC fails to capture complexity 6Adaptability 7Time factor 7Cost and efficiency 7Conclusion

Similar Essays

Balanced Scorecard Essay

1033 words - 5 pages Introduction The balanced scorecard is a strategic planning and management system that was developed by Dr. Robert S. Kaplan and Dr. David P. Norton in the early 1990's. Their goal was to provide organizations with a clear understanding of what to measure in order to improve performance and results (Balanced Scorecard Institute 2014). The balanced scorecard is a framework that allows an organization to measure performance and compare it to the

A Balanced Scorecard Of Blu Essay

712 words - 3 pages A Balanced Scorecard empowers an organization’s strategy with focus and purpose (Chow, 1997). When Kaplan and Norton developed the Balanced Scorecard method they were focused on finding a way to identify organization’s indicators for strong future performance (Chow, 1997). Things like past accounting or previously successful product development approaches are not going to help predict the future market trends or tell much about what actually

Integrating Corporate Governance With The Balanced Scorecard

1248 words - 5 pages Briefly, the Balanced Scorecard (BSC) is a strategic performance management tool that measure not only on financial outcomes but also on the operational, marketing progresses and strategy executives etc. In modern society now a day, the financial measurements have limitations.The Balance Scorecard (BSC) is developed by Drs. David Norton and Robert Kaplan in 1992. It has gained global acceptance as a powerful framework to help leaders define and

The Balanced Scorecard & Problems Of Financial Measures

3028 words - 12 pages measures how and why the Balanced Scorecard overcome those problems actually used in Westpac company.This report overviews our design and implementation of a Balanced Scorecard specifically to the client based on those problems in WestpacThis report also discusses the impact on human behavior with the implementation of Balanced Scorecard. Its able to explore how people most likely to react and why they behave in that particular way (both positive