What are the key components of the Balanced Scorecard?
How does the Balanced Scorecard benefit companies in the strategic decision-making process and impact ROI?
What are the ethical issues involved that might relate to the four key components of the Balanced Scorecard?
Ethics, Performance Indicators and the Balanced Scorecard
Key Components of the Balanced Scorecard
The Balanced Scorecard assesses an organization’s performance and includes financial and non-financial indicators for a comprehensive understanding of the health of the organization. The key components of the Balanced Scorecard are:
Financial Perspective – This determines the company’s ability to generate returns for investors. Managers can reduce expenses, increase revenue, maximize resources and minimize risk. Key performance indicators are return on investment (ROI), new customer revenue growth rate, revenue growth benchmark and cost benchmark compared to competitors.
Customer Perspective – The Customer Perspective is concerned with setting metrics to assess customer satisfaction and understand customer needs. A company’s customers, their requirements, and the inner workings of the organization are intertwined under this concept. The organization focuses on customer value. The top three variables that managers focus on are product pricing, quality, and delivery time. Unsatisfied consumers can lead to the long-term economic collapse of a company. Comparing prices to competitors’ prices, margin of error is one of the key performance indicators…
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.Read more
Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.Read more
Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.Read more
Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.Read more
By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.Read more