Conceptual Foundations of the Balanced Scorecard

David Norton and I introduced the Balanced Scorecard in a 1992 Harvard Business Review article (Kaplan & Norton, 1992). The article was based on a multi-company research project to study performance measurement in companies whose intangible assets played a central role in value creation (Nolan Norton Institute, 1991). Norton and I believed that if companies were to improve the management of their intangible assets, they had to integrate the measurement of intangible assets into their management systems. After publication of the 1992 HBR article, several companies quickly adopted the Balanced Scorecard giving us deeper and broader insights into its power and potential. During the next 15 years, as it was adopted by thousands of private, public, and nonprofit enterprises around the world, we extended and broadened the concept into a management tool for describing, communicating and implementing strategy. This paper describes the roots and motivation for the original Balanced Scorecard article as well as the subsequent innovations that connected it to a larger management literature.

Design and implementation of the Balanced Scorecard at a university institute

Purpose – The purpose of this research is to identify how the management of university institutes can be improved through adoption of an integrated performance measurement system based on the Balanced Scorecard. Design/methodology/approach – Through building on literature studies and management best practice, formulation of the performance measurement system was explored. The Balanced Scorecard solution was then designed and implemented at a university institute. Benefits and outcomes are discussed through reflective analysis of the case study investigation. Findings – The study identified how the development of scorecard reports that include economic and non‐economic measures can improve the operational management of a university institute through providing tangible benefits to stakeholders. Research limitations/implications – The scorecard was investigated at an industry‐supported university institute and so features of the scorecard design and implementation may be less relevant to other types of organisations. Practical implications – This research paper provides details on how the scorecard has been modified to provide an accessible and durable measurement system. The paper includes specific guidance for practitioners who are considering implementing the scorecard. Social implications – The role of intellectual capital and soft measures as systemic determinants of performance is discussed and this is viewed in terms of university‐industry collaborations. Originality/value – A comprehensive literature review underpins a two‐year research project involving strategy mapping, design and implementation of the Balanced Scorecard. Advice on modification of the scorecard and provision of representative data and information from reports serve to further the scorecard research agenda

Report of the Evaluation of HealthOne Mount Druitt

Contains fulltext : 135829.pdf (publisher's version ) (Closed access)Companies operating in a fast-paced business climate must pay careful attention to non-financial performance indicators, which can be determined by both the Balanced Scorecard and Critical Success Factors. This paper analyses the relationship between the Balanced Scorecard and Critical Success Factors and devises a framework to bridge the two systems. The paper is based on a six-year research project of 15 companies in the Netherlands and some of the case studies illustrate how the integrated method can be employed across a variety of industries to provide a more adequate performance management system.21 p

IT PERFORMANCE MANAGEMENT UNTUK MENGUKUR KINERJA PERUSAHAAN DENGAN METODE BALANCED SCORECARD

Seiring dengan berkembangnya teknologi, organisasi teknologi informasi ditantang untuk memastikan proyek-proyek organisasi dapat selaras dengan tujuan strategis secara keseluruhan dan tujuan bisnisnya, serta memberikan hasil yang dijanjikan tepat waktu dan sesuai dengan anggaran. Namun, walaupun sudah biasa untuk mengukur dan mengelola kinerja teknis tapi masih banyak organisasi teknologi informasi yang memiliki track record yang buruk dalam mengukur dan mengelola kinerja non-teknis (contoh : anggaran, jadwal proyek, dan risiko proyek). IT Performance Management adalah tentang mendefinisikan, mengukur, mengelola dan meningkatkan kinerja teknologi informasi. IT Performance Management merupakan kombinasi yang efektif dari metode, metrik, data dan alat-alat yang memungkinkan organisasi menentukan Key Performance Indicator (KPI) yang relevan dengan organisasi, memahami kinerja organisasi saat ini terhadap tujuan yang telah ditentukan dan memungkinkan organisasi untuk membangun informasi berdasarkan tujuan yang telah ditentukan, memulai kegiatan perbaikan, mencapai kinerja teknologi informasi yang optimal sesuai dengan kebutuhan bisnis, dan untuk terus meningkatkan kinerja dan target yang telah ditetapkan oleh organisasi untuk seluruh sistem. Pada penelitian kali ini, dilakukan sebuah metode usulan pengukuran IT Performance Management yaitu Balanced Scorecard dan COBIT. Hasil akhir dari penelitian ini adalah indikator yang bisa dipakai oleh perusahaan untuk menentukan kinerjanya berdasarkan keempat perspektif Balanced Scorecard dan juga bobot-bobot untuk menentukan nilai kinerja dan prioritas. ---------- As the technology advances, organizations are challenged to ensure that information technology projects can be aligned with the organization's overall strategic objectives and business objectives, and deliver promised results on time and within budget. However, although it is common to measure and manage the technical performance but still a lot of information technology organization that has a poor track record in measuring and managing the performance of non-technical (eg, budget, project schedule, and project risks). IT Performance Management is about define, measure, manage and improve the performance of information technology. IT Performance Management is an effective combination of methods, metrics, data and tools that allow organizations to define Key Performance Indicators (KPI) that are relevant to the organization, understand the current organizational performance against predetermined objectives and allows organizations to build information based on purpose which has been specified, start improvement activities, achieve optimal information technology performance according to business needs, and to continue to improve the performance and targets set by the organization for the entire system. In this research, a proposed method of measurement IT Performance Management are the Balanced Scorecard and COBIT. The end result of this research is an indicator that can be used by companies to determine performance based on four perspectives of the Balanced Scorecard as well as weights to determine the value of performance and priorities

Key performance indicators and the balanced scorecard at the Luxury Brand Hotels of Pestana Group

Traditional approaches to evaluate performance in hotels, have mainly used financial measures. Building on Speckbacher et al. (2003), this Work Project aims to design and propose a Balanced Scorecard Type II as a performance measurement/management system for the hospitality industry based on data collected at the Luxury Brand Hotels of Pestana Group. The main contribution is to better align the vision, strategy and financial and non-financial performance measures in this category of hotels, in particular those of Pestana Group, and by doing so, lead their managers to focus on what is really critical and, consequently improve the overall performance

Teaching and learning of performance measurement in OR/MS degrees

A review of existing UK MS/OR undergraduate programmes was completed to assess the extent and nature of performance measurement teaching. In addition, a survey of performance measurement practitioners was undertaken to obtain views on what should be taught in relation to performance measurement. A survey of 23 undergraduate MS/OR degrees in the UK revealed that all the academic respondents supported the inclusion of PM teaching. However, only four distinct PM classes could be found amongst these degrees. The PM techniques taught were broadly similar although the wider context of PM was taught in only 2 of the classes. A survey of a small number of PM practitioners revealed that the Balanced Scorecard and Benchmarking were the two most commonly applied PM techniques with the majority of respondents learning about PM from personal experience and reading rather than through formal education. It appears that there is an opportunity for MS/OR teaching to make a major contribution to the development of PM as a discipline. However, academic respondents whose MS/OR degree course did not teach PM indicated that lack of staff expertise in PM combined with an already full syllabus were the main barriers to introducing a PM class

Benchmarking performance management systems

The Balanced Scorecard and associated performance management approaches, has become a widely practiced and popular management reporting method in recent times. Moreover, enabling technology, which assists in the delivery and personalisation of corporate performance information, is having a deeper and more rapid impact than ever before. This paper presents a brief comparative benchmarking study of leading enterprise performance management systems. Also, the author discusses the merits of bespoke internet technology development and out-of-the-box portal functionalities. An analysis of key business drivers and implementation risks of such approaches is highlighted via a case study example, and concludes the paper

The development of absorptive capacity-based innovation in a construction SME

Traditionally, construction has been a transaction-oriented industry. However, it is changing from the design-bid-build process into a business based on innovation capability and performance management, in which contracts are awarded on the basis of factors such as knowledge, intellectual capital and skills. This change presents a challenge to construction-sector SMEs with scarce resources, which must find ways to innovate based on those attributes to ensure their future competitiveness. This paper explores how dynamic capability, using an absorptive capacity framework in response to these challenges, has been developed in a construction-based SME. The paper also contributes to the literature on absorptive capacity and innovation by showing how the construct can be operationalized within an organization. The company studied formed a Knowledge Transfer Partnership using action research over a two-year period with a local university. The aim was to increase its absorptive capacity and hence its ability to meet the changing market challenges. The findings show that absorptive capacity can be operationalized into a change management approach for improving capability-based competitiveness. Moreover, it is important for absorptive capacity constructs and language to be contextualized within a given organizational setting (as in the case of the construction-based SME in the present study)

Information technology and performance management for build-to-order supply chains

En las siguientes líneas se plantea un artículo de reflexión que tiene en cuenta parte del marco teórico que sustenta la investigación titulada “Prácticas pedagógicas que promueven la competencia argumentativa escrita (CAE) en niños campesinos de los grados 4° y 5° del Centro Educativo Municipal La Caldera, Sede Principal de Pasto”, desarrollada en el año 2012. En él se contemplan los aportes de las ciencias del lenguaje y la comunicación, la teoría de la argumentación, la didáctica de la lengua escrita y los géneros discursivos, que dan cuenta de la necesidad de desarrollar la capacidad crítica en los estudiantes a través de la argumentación, lo cual implica transformar las prácticas pedagógicas para que se alejen de la transmisión de conocimientos y den paso a la comunicación, para que la palabra escrita sea apropiada de manera significativa