BALANCE SCORE CARD

Contents

Corporate Performance
Management Framework

Performance management
component

Performance Management Cycle

Balance score Card

It is the management tool that provides

stakeholders with a comprehensive measure of

how the organization is processing towards the
achievement of its strategic goals.
Balances financial and non financial measures.
Balances short and long term measures.
Balances performance drivers(leading indicators)
with outcome measures(lagging indicators).
Leads to strategic focus and organizational
alignment.

4 Perspective in Balance Scorecard

Strategy and Balance Scorecard

Strategy Framework Map

Financial Perspective
In private companies financial perspective is

the main objective that is the ultimate goal.

The strategic goal of financial perspective is

the long term shareholder value which is

driven by two factorsA) Revenue growth
B) Cost efficiency

Strategic Objectives in Financial

Customer Perspective
It covers the following element
A) Customer acquisition
B) Customer retention
C) Customer profitability
D) Market share
E) Customer satisfaction

Strategic Objectives in Customer

Internal Process Perspective

It has four main component:Operations Management Process.
Customer Management Process.
Innovation Process.
Regulatory and Social Process.

Strategic Objectives in Internal

Process

Learning and Growth Perspective

It has three important components:A) Human Capital
B) Organizational Capital
C) Information Capital

Strategic Objectives in Learning

and Growth