Description
The Balanced Scorecard is a strategic planning and management system used to align business activites to the vision and strategy of the organization by monitoring perfomance against strategic goals
Powerpoint Templates
Page 1
Powerpoint Templates
THE BALANCED SCORECARD
APPROACH
BY
SUMAYYA QUADRI
Powerpoint Templates
Page 2
WHAT IS BALANCED SCORECARD?
The Balanced Scorecard is a
strategic planning and management
system used to align business
activites to the vision and strategy
of the organization by monitoring
perfomance against strategic goals
Powerpoint Templates
Page 3
BALANCED SCORECARD Concept
? It was publishes in 1992 by kaplan and
Norton, a book followed in 1996
? Traditional performance measurement
that only focus on external accounting
data are obsolete
? The approach is to provide ‘balance’ to
the finacial persperctive.
Powerpoint Templates
Page 4
Why use a Balance Scorecard?
• Improve organisational performance by
measuring what matters
• Increase focus on strategy and results
• Align organization strategy with workers on a
day-to-day basis
• Focus on drivers key to future performance
• Improve communication of the organization’s
Vision and Strategy
• Prioritize Projects / Initiatives
Powerpoint Templates
Page 5
4 Original Business Perspectives
The Balanced
Scorecard model
suggest that we
view the
organization from
4 perspective
Then Develop
metrics, collect
data and analyze it
relative to each of
these perspectives
Powerpoint Templates
Page 6
4 Business Perspective Question
• Financial
? What must we do to create sustainable economic value?
• Internal Business Process
? To satisfy our stakeholders what must be our levels of productivity, efficiency, and
quality?
• Learning and Growth
? How does our employee performance management system, including feedback to
employees, support height performance?
• Customer
? What do our Customer require from s and how are we doing according to those
requirements
Powerpoint Templates
Page 7
Powerpoint Templates
Page 8
Balanced Scorecard Strategy Map
Powerpoint Templates
Page 9
Key Implementation Success Factors
• Obtaining executive sponsorship and commitment
• Involving a broad base of leaders, managers and employees
• Enhance information system
• Monitored Progress
• Beginning interactive (two-way) communication first
• Getting outside help if needed
• Greater Customer Satisfaction
Powerpoint Templates
Page 10
Scorecard Disadvantages
• It is not a tool you can just think up one night to solve a problem. Instead, it
is recommended that you hold a meeting to plan out what goals you would
like to see your company reach in each of the four above areas.
• while the balanced scorecard gives you an overall view of the four areas for
concern in business growth and development, these four areas do not paint
the whole picture. The financial information included on the scorecard is
limited. Instead, to be successfully implemented, the balanced scorecard
must be part of a bigger strategy for company growth
• many companies use metrics that are not applicable to their own situation. It
is vitally important when using balanced scorecards to make the information
being tracked applicable to your needs. Otherwise, the metrics will be
meaningless.
Powerpoint Templates
Page 11
Powerpoint Templates
Page 12
Thank You for your time
doc_703248760.ppt
The Balanced Scorecard is a strategic planning and management system used to align business activites to the vision and strategy of the organization by monitoring perfomance against strategic goals
Powerpoint Templates
Page 1
Powerpoint Templates
THE BALANCED SCORECARD
APPROACH
BY
SUMAYYA QUADRI
Powerpoint Templates
Page 2
WHAT IS BALANCED SCORECARD?
The Balanced Scorecard is a
strategic planning and management
system used to align business
activites to the vision and strategy
of the organization by monitoring
perfomance against strategic goals
Powerpoint Templates
Page 3
BALANCED SCORECARD Concept
? It was publishes in 1992 by kaplan and
Norton, a book followed in 1996
? Traditional performance measurement
that only focus on external accounting
data are obsolete
? The approach is to provide ‘balance’ to
the finacial persperctive.
Powerpoint Templates
Page 4
Why use a Balance Scorecard?
• Improve organisational performance by
measuring what matters
• Increase focus on strategy and results
• Align organization strategy with workers on a
day-to-day basis
• Focus on drivers key to future performance
• Improve communication of the organization’s
Vision and Strategy
• Prioritize Projects / Initiatives
Powerpoint Templates
Page 5
4 Original Business Perspectives
The Balanced
Scorecard model
suggest that we
view the
organization from
4 perspective
Then Develop
metrics, collect
data and analyze it
relative to each of
these perspectives
Powerpoint Templates
Page 6
4 Business Perspective Question
• Financial
? What must we do to create sustainable economic value?
• Internal Business Process
? To satisfy our stakeholders what must be our levels of productivity, efficiency, and
quality?
• Learning and Growth
? How does our employee performance management system, including feedback to
employees, support height performance?
• Customer
? What do our Customer require from s and how are we doing according to those
requirements
Powerpoint Templates
Page 7
Powerpoint Templates
Page 8
Balanced Scorecard Strategy Map
Powerpoint Templates
Page 9
Key Implementation Success Factors
• Obtaining executive sponsorship and commitment
• Involving a broad base of leaders, managers and employees
• Enhance information system
• Monitored Progress
• Beginning interactive (two-way) communication first
• Getting outside help if needed
• Greater Customer Satisfaction
Powerpoint Templates
Page 10
Scorecard Disadvantages
• It is not a tool you can just think up one night to solve a problem. Instead, it
is recommended that you hold a meeting to plan out what goals you would
like to see your company reach in each of the four above areas.
• while the balanced scorecard gives you an overall view of the four areas for
concern in business growth and development, these four areas do not paint
the whole picture. The financial information included on the scorecard is
limited. Instead, to be successfully implemented, the balanced scorecard
must be part of a bigger strategy for company growth
• many companies use metrics that are not applicable to their own situation. It
is vitally important when using balanced scorecards to make the information
being tracked applicable to your needs. Otherwise, the metrics will be
meaningless.
Powerpoint Templates
Page 11
Powerpoint Templates
Page 12
Thank You for your time
doc_703248760.ppt