Share
Explore BrainMass

Balanced Scorecard: Pros Cons, CEO memo adopting scorecard

1.
If you are currently with a company that uses some elements of a balanced scorecard, post this information to the forum for this assignment. Discuss the advantages and disadvantages of the presented information..

2.
Assume you are the CEO of an organization that has historically measured success purely from the financial perspective. Write a memo to your senior staff advising them of your desire to approach performance measurement from a balanced scorecard perspective. If you prefer, and it makes sense, you may write the memo as if you were the CEO of your current place of employment. If this is not possible, create the memo using a generic strategy. Include possible elements of what you would like to have included in the new measurement system, but also be sure to mention how you would like senior managers to have their input, since the balanced scorecard is certainly not a dictated measurement system. Your suggested scorecard, which will be open to feedback from your senior managers, should include certain objectives, key performance indicators, and specific goals as a starting point for conversation.Problem Posted:

1.
If you are currently with a company that uses some elements of a balanced scorecard, post this information to the forum for this assignment. Discuss the advantages and disadvantages of the presented information..

2.
Assume you are the CEO of an organization that has historically measured success purely from the financial perspective. Write a memo to your senior staff advising them of your desire to approach performance measurement from a balanced scorecard perspective. If you prefer, and it makes sense, you may write the memo as if you were the CEO of your current place of employment. If this is not possible, create the memo using a generic strategy. Include possible elements of what you would like to have included in the new measurement system, but also be sure to mention how you would like senior managers to have their input, since the balanced scorecard is certainly not a dictated measurement system. Your suggested scorecard, which will be open to feedback from your senior managers, should include certain objectives, key performance indicators, and specific goals as a starting point for conversation.

Solution Preview

1.
If you are currently with a company that uses some elements of a balanced scorecard, post this information to the forum for this assignment. Discuss the advantages and disadvantages of the presented information..

National Linen Service where I worked a while ago, did not use a balanced scorecard. They had two main reports, a financial outcomes report that the c-level folks studied monthly and an "operations" reports that the plant managers used. The "operations" reports was very similar to what a scorecard might measures in the "Internal Business Process" perspective. So, they looked at two of the four perspectives that a scorecard would entail. This was better than a simple financial analysis because they viewed some of the leading indicators of quality and efficiency that lead to financial outcomes. However, since they were not on the same report, it was not likely that either group (managers or c-level) would see the connections easily because what happened on one report and what happened on the other. The linkages, if noticed, we up to the viewer to investigate by studying the reports at the same time.

There were no measures for learning and growth or customer measures. Individual managers were left to their own leadership talent on these items. The advantage is that each manager could decide how to emphasize each aspect. The disadvantage is that it was limited to the individual talent, time and ability of each manager to learn what the leading and lagging measures should be, how they interact, and how to consistently measure and monitor the learning and growth and customer aspects. The big disadvantage to this ad-hoc policy of collecting measures as desired by local managers is that the overall firm strategy was likely not prominent. A well-crafted ...

Solution Summary

Your discussion is 952 words and includes comments about the current reports at National Linen and a memo to the CEO about the movement to a balanced scorecard. There are several parts: Financial Reports are Limited, The New Report: Strategy Starting Point, The New Report: Four Perspectives Linked, Feedback and Rewards and Selecting Measures.

$2.19