What is balanced in the balanced scorecard approach?

The balanced scorecard involves measuring four main aspects of a business: Learning and growth, business processes, customers, and finance. BSCs allow companies to pool information in a single report, to provide information into service and quality in addition to financial performance, and to help improve efficiencies.

What is the balanced scorecard approach quizlet?

Balanced Scorecard. a strategic-based performance management system that typically identifies objectives and measures for four different perspectives: the financial perspective, the customer perspective, the process perspective, and the learning and growth perspective.

What are the four different perspectives related to the balanced scorecard and what does the balanced scorecard attempt to balance quizlet?

The four perspectives of a traditional balanced scorecard are Financial, Customer, Internal Process, and Learning and Growth.

What is the purpose of balanced scorecard Mcq?

Organisations use the balanced scorecard to:

Identify and align strategic initiatives. Link budgets with strategy and Align the organisation (structure and processes) with strategy.

What key questions does the balanced scorecard address quizlet?

Balanced Scorecard Components

To develop these perspectives, management asks four key questions: Customer Perspective: How do customers see us? Internal Business Perspective: What must we excel at? Innovation and Learning Perspective: [How] can we continue to improve and create value?

What is balanced scorecard with example?

Therefore, an example of Balanced Scorecard description can be defined as follows: A tool for monitoring the strategic decisions taken by the company based on indicators previously established and that should permeate through at least four aspects – financial, customer, internal processes and learning & growth.

How do you use a balanced scorecard?

How to Draw a Balanced Scorecard
  1. Determine the vision. The company’s main vision belongs in the center of a balanced scorecard. …
  2. Add perspectives. …
  3. Add objectives and measures. …
  4. Connect each piece. …
  5. Share and communicate.

What are the benefits of using balanced scorecards?

The key benefits of using a BSC include:
  • Better Strategic Planning. …
  • Improved Strategy Communication & Execution. …
  • Better Alignment of Projects and Initiatives. …
  • Better Management Information. …
  • Improved Performance Reporting. …
  • Better Organisational Alignment. …
  • Better Process Alignment.

How do you write a balanced scorecard?

Building your own balanced scorecard
  1. Identify your strategic objectives. The first step to building your balanced scorecard is to identify your strategic objectives for each business perspective: learning and growth, internal business processes, customer, and financial. …
  2. Create a strategy map. …
  3. Outline the measures.

How do you make a balanced scorecard?

How to Create a Balanced Scorecard: Nine Steps to Success TM
  1. Step 1: Assessment. …
  2. Step 2: Strategy. …
  3. Step 4: Strategy Mapping. …
  4. Step 5: Performance Measures. …
  5. Step 6: Strategic Initiatives. …
  6. Step 7: Performance Analysis. …
  7. Step 9: Evaluation.

What is balanced scorecard PDF?

The balance score card (BSC) is a management system that maps an organization’s strategic objectives into performance with four perspectives such as financial, internal business perspectives, customers, and learning and growth which provide relevant feedback as to how well the strategic plan is executing so that …