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BALANCED SCORECARD (BSC)

new approach to strategic management


not only a measurement system but also
a management system
PERSPECTIVES OF BALANCED
SCORECARD Customer Growth
Learning Financial Growth
Business Process
PERFORMANCED BASED
MANAGEMENT SYSTEM
Key steps in performance-based
management:
1. Define Mission and Goals
2. Measure Performance
3. Use Performance Information
4. Sustain Performance Based
Management
ATTRIBUTES OF SUCCESSFUL
PERFORMANCE
MANAGEMENT SYSTEM
A performance management system
will be successful if properly
formulated and implemented.
A documented conceptual framework is
needed for the performance
measurement and management system.
Effective internal and external
communications are the keys to
successful performance measurement.
Accountability for results must be clearly
assigned and well understood.
Performance management systems must
provide intelligence to decision makers,
not just compile data.
Rewards, and recognition should be
linked to performance measurements.

Performance measurement systems


should be positive, not punitive.

Results and progress toward program


commitments should be openly shared
with employees, customers & stakeholders.