Reference no: EM131581362
Question - The balanced scorecard retains traditional financial measures. But financial measures tell the story of past events, an adequate story for industrial age companies for which investments in long-term capabilities and customer relationships were not critical for success. These financial measures are inadequate, however, for guiding and evaluating the journey that information age companies must make to create future value through investment in customers, suppliers, employees, processes, technology, and innovation. Source: Adapted from Robert S. Kaplan and David P. Norton, "Using the Balanced Scorecard as a Strategic Management System," Harvard Business Review (January-February 1996): 76.
Required:
1. Critically evaluate the above quote in regards to contemporary balance scorecard practice. You should review current business and academic literature relevant to management application and use of balance scorecards. Use appropriate sources to summarise and support your personal views about balance scorecards. Ensure you relate your discussion to the above quote. You should also make a determination as to whether you agree or disagree with this point of view. (Guideline: 2000 - 2500 words.)
2. Using your knowledge of balanced scorecards and performance evaluation systems address the following:
(a) Suggest refinements to the balanced scorecard system.
(b) Discuss individual performance measurement. Identify advantages or disadvantages.
(c) Suggest refinements to the performance evaluation system. (Guideline: 800 - 1000 words)