Balanced Scorecard

Introduced in 1992 by Robert S. Kaplan and David P. Norton, the Balanced Scorecard (BSC) is a concept designed to measure a company's activities in terms of its vision and strategies to provide executives with a comprehensive view of the organization's performance and effectiveness , The new element is that the BSC not only focuses on the financial perspective, but also includes the human aspects that drive the results so that the organization focuses on its future and long-term interests. Due to its flexible and therefore comprehensive design options, the Balanced Scorecard is an instrument for setting up an integrated management system.

The dimensions of the BSC are usefully set individually for each organization. However, they practically always include the financial perspective and the customer perspective, usually also the process perspective and the potential or employee perspective.

The indicators in the BSC make it possible to follow the development of this business vision. In this way, the BSC enables management to not only look at the financial aspects, but also to steer structural leading indicators for business success. The term BSC is mistakenly used for different types of measure-based systems. However, the BSC, which requires a cause-and-effect analysis, is a distinctly different management method from descriptive activity-based costing or the classic monetary index system.

Your feedback?

Average 0 / 5. Number of votes: 0

Be the first to rate 🙂

Great. Thank you very much!

Maybe you want to follow us on ...

We are sorry that you did not like this post so much.

How can we improve that?

Your feedback?

Average 0 / 5. Number of votes: 0

Be the first to rate :-)

Great. Thank you very much!

Maybe you want to follow us on ...

We are sorry that you did not like this post so much.

How can we improve that?

Zurück
Basel II
Weiter
AVA