Balanced Scorecard: Management Control System
Term Paper
TITLE : Balanced Scorecard.
Course Title : Management Control System
Course No. : EMIS - 528
Submitted by:
Mir Mohammad Abu Naser ID:61018-11-022
Submitted to:
Md. Abul Kashem, Honorable Course Teacher Department of MIS University of Dhaka
Balanced Scorecard
“Balanced scorecard” means different things to different people. At one extreme, measurement-based balanced scorecards are simple dashboards of performance measures grouped into categories that are of interest primarily to an organization’s managers and executives. Typical categories include financial measures, and customer, process, and organization capacity measures. Measurement-based scorecards almost always report on operational performance measures, and offer little strategic insight into the way an organization creates value for its customers and other stakeholders.
At the other extreme, a strategic performance scorecard system is an organization-wide integrated strategic planning, management and measurement system. Strategy-based scorecards align the work people do with corporate vision and strategy, and communicate strategic intent throughout the organization. In other words, these systems incorporate the culture of the organization into the management system.
In strategy-based scorecards, performance measures are only one of several important components, and the measures are used to better inform decision making at all levels in the organization. In strategy-based balanced scorecard systems, performance measures are the result of thinking about business strategy first, to measure progress toward goals. In strategy-based systems, the first question to answer is the strategic question: “Are we doing the right things?” The operations, process, and tactical questions come later: “Are we doing things right”.
Over the past decade balanced scorecards have evolved
TITLE : Balanced Scorecard.
Course Title : Management Control System
Course No. : EMIS - 528
Submitted by:
Mir Mohammad Abu Naser ID:61018-11-022
Submitted to:
Md. Abul Kashem, Honorable Course Teacher Department of MIS University of Dhaka
Balanced Scorecard
“Balanced scorecard” means different things to different people. At one extreme, measurement-based balanced scorecards are simple dashboards of performance measures grouped into categories that are of interest primarily to an organization’s managers and executives. Typical categories include financial measures, and customer, process, and organization capacity measures. Measurement-based scorecards almost always report on operational performance measures, and offer little strategic insight into the way an organization creates value for its customers and other stakeholders.
At the other extreme, a strategic performance scorecard system is an organization-wide integrated strategic planning, management and measurement system. Strategy-based scorecards align the work people do with corporate vision and strategy, and communicate strategic intent throughout the organization. In other words, these systems incorporate the culture of the organization into the management system.
In strategy-based scorecards, performance measures are only one of several important components, and the measures are used to better inform decision making at all levels in the organization. In strategy-based balanced scorecard systems, performance measures are the result of thinking about business strategy first, to measure progress toward goals. In strategy-based systems, the first question to answer is the strategic question: “Are we doing the right things?” The operations, process, and tactical questions come later: “Are we doing things right”.
Over the past decade balanced scorecards have evolved