Sample Business Studies Paper on Balanced Scorecard

Balanced Scorecard

A balanced scorecard is a system used in both strategic planning and management in various businesses and organizations across the globe. The balanced scorecard was initially used as a simple framework that measures performance but has with time evolved to the “new” balanced scorecard. The “new” one provides a framework that performs performance measurements as well as help planners to identify activities that should be measured in an organization (Balanced Scorecard, 2017). A proper balanced scorecard enabled executives to truly implement their strategies without additional risks. The balanced scorecard provides four perspectives from which people can view the organization which include:

The first perspective being the learning and growth perspective which includes training employees and corporate cultural attitudes with relationship to both the individual’s improvement and that of the corporate. According to Kaplan and Norton (2007), learning is more than training and does not exclude mentoring and tutoring within the organization and proper communication among the workers. It allows employees to communicate freely with each other including their seniors which may help solve problems faced by employees that lead to them leaving the organization

The business process perspective refers to the business processes internally. They allow business owners and managers to evaluate the way the business is organized determining whether their products match the mission of the organization. They should be designed by people who adequately understand the business and not consultant for the desired results.

The customer perspective which brings to light the way customer focus and satisfaction is important for any business. Customers should be analyzed to be able to learn the strengths and weaknesses of an organization and address them in time before it affects the business.

The financial perspective which explains that organization will always be having timely and accurate funding data that manager work tirelessly to provide. All activities in a business focus towards improving revenue and lowering costs  to increase the profits. There is  substantial handling and processing of financial data that need to be centralized and automated and is likely to be achieved by implementing a corporate database.

A virtual organization refers to an organization where employees work remotely from each other and from managers via teleworking. An increasing number of employers are considering virtual organizations and this would mean that most organizations in the future will be virtual (Carcio, 2000). There are various challenges facing this kind of organizations due to physical separation of employees which may include:

Time management and project management, uncertainty of whether managers will be valued by their companies due to the reason they are managing employees  not physically present in the company.

However, there are benefits organizations may consider going virtual such as:

Reducing the costs related to real estate expenses since no much space is needed to accommodate the employees. Virtual workplace also influences increased productivity, higher profits, and improved customer service among many others.

Balanced scorecard is essential in measuring performance in a virtual or global organization. A manager in a virtual organization can use strategic face to face meetings with employees which may be used to establish deeper relationship with the teams. Such meetings will enable the employees to save some type of communication and relationship matters due to the confidence that they will meet with the manager in person.

Managers can also schedule informal time as some sacrifice of efficiency now can result to some effectiveness at a later date. It means that however the manager communicated with the employees, he/she should spare some time for an informal chat (Forbes, 2017). Such measures will facilitate the positive transformation within an organization.

 

 

References

Carcio, W. (2000). Managing a virtual workplace (1st ed.).

Forbes.. (2017). Five Things Every Virtual Manager Should Do. Retrieved from http://www.forbes.com/sites/work-in-progress/2013/04/17/five-things-every-virtual-manager-should-do/

Kaplan, R., Norton, D. (2007). Using the Balanced Scorecard as a Strategic Management System. Harvard Business Review. Retrieved from https://hbr.org/2007/07/using-the-balanced-scorecard-as-a-strategic-management-system#

Balanced Scorecard(2017). What is the Balanced Scorecard? Retrieved from http://www.balancedscorecard.org/Resources/About-the-Balanced-Scorecard