| The Balanced Scorecard has transformed the way in which organizations track and steer their performance, and is now a popular tool among large companies.
What challenges arise when assembling a Balanced Scorecard for a business? (See Kaplan, R. and Norton, D. 1996. The Balanced Scorecard, Harvard Business School Press, Boston, MA. See also www.balancedscorecard.org.) |
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Harvard Business Publishing is again pushing its balanced scorecard stuff, but under the misleading strap-line Strategy has never been more important. Don’t get me wrong - BSC is a much better tool for on-going performance management or for strategic initiatives than the crude finance-only metrics that too often dominate, but it’s a very long way short of being a strategic management. A few shortcomings: Continue reading »
Apr 172009
A large Management Development community I track has been discussing how we could have prepared people better for the current troubles, and some have advocated the Balanced Scorecard [BSC]. I have used BSC in strategy teaching for some years, and come across BSCs in many companies. My impression is that, whilst it is a valuable extension to standard financial reporting systems, it has some limitations as a tool for managing strategy – limitations that the down-turn has exposed quite sharply.
