Development of the 3rd Generation Balanced Scorecard, Part I

This paper describes the changes to the definition of the Balanced Scorecard that have occurred since it became popular as a performance measurement framework during the early 1990s. The paper builds on earlier work by the authors that characterised such definitions into three distinct generations of Balanced Scorecard. The paper relates these developments to literature concerning strategic management within organisations, observing that the changes made have improved the utility of Balanced Scorecard as a strategic management tool. The paper concludes that in order to minimise risk of failure and avoid constraining and inflexible applications that merely serve as elaborate performance reporting systems as opposed to effective strategic management systems, Balanced Scorecard application need to reflect ideas of information asymmetry and the understanding of strategic control processes within organisations.

Like this content? Why not share it?
Share on FacebookTweet about this on TwitterShare on LinkedInBuffer this pagePin on PinterestShare on Redditshare on TumblrShare on StumbleUpon
There Are No Comments
Click to Add the First »