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What are the 4 perspectives of a balanced scorecard
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The balanced scorecard is based largely connected the assumption that an organization has one long-term end that is to maximize shareholder riches in profit-seeking organizations.
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The counterbalanced scorecard was matured in the archaeozoic 1990s by robert kaplan, an account professor at John Harvard university, and Jacques Louis David norton, a adviser from the Bean Town area.
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Table of contents debut 3 literature brushup 5 overview of the balanced card 5 development of the balanced card 8 benefits of using the bsc 11.
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Kaplan and norton's ideas derived from a research cogitation of a 12 organizations where they explored new methods, other than financials, to measure performance.
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According to that compass point, except shareholders', some other critical stakeholders' interests are sacrificed to satisfy only the shareholders.
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What can you do with a balance score card?
The Balanced Scorecard provides a stage for feedback and in turn a process for learning as well. Feedback about products, new learning’s discoveries can be included in to the scorecard. Based on the measures employees can be given feedback and also training in order to improve the processes.
When did Balance Score Card win a prize?
Balanced Scorecard has been awarded a prize by the American Accounting Association as the “best theoretical contribution in 1997”. As explained earlier BSC is a tool which monitors organizational strategies by using a combination of financial and non financial measures.
Which is a virtue of the Balance Score Card?
The pictorial view of the perspectives is as follows: This perspective reviews if the strategies of the company contribute towards the bottom line of the company. The virtue of Balance Score Card (BSC) is that it represents both leading and lagging performance measures.
Why is the Balance Score Card going through a transformation?
This is mainly due to the changes in the environment which is beyond the four quadrants of BSC and basic implementation issues experienced in BSC. The Balanced Score Card has to go through a transformation in order to survive and revive itself as powerful performance management tool.
Last Update: Oct 2021
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