Alternate Ways of Measuring Performance Essay -- Essays Papers

Balanced bill of fare Alternate Ways of metre PerformanceAbstractMany brass sections are usefully viewed as a web of relationships between and among discordant stakeholder groups. An organization may be delimitate as a nexus of contracts, where said contracts are relationships that are mark by contributions from the various stakeholders in return for inducements provided by the organization. Over the keen-sighted haul, the success of an organization is a function of the extent to which the needs and requirements of its various stakeholders can be integrated and equilibrate, without sacrificing any one to the other. There is, in this arrangement, mutual influence and accountability. It is the main thesis of this paper that many organizations would be well served by making use of the Balanced Scorecard as an alternate way of evaluating a fraternitys execution of instrument. IntroductionSince its entre in the Harvard Business Review in 1992, many corporate executives and culture technology (IT) professionals have found the concept of Balanced Scorecard it to be a key strategic measuring stick of corporate success. Robert Kaplan and David Norton created balanced Scorecard, often referred to as BSC, in the early 1990s. Today many heroic consulting firms like Pricewaterhouse Coopers and Earnst and Young have adopted the balanced scorecard concept.A balanced scorecard is a framework for translating strategic goals and visions into measurable results for the whole enterprise. The balanced scorecard starts with corporate strategies and objectives, and then uses financial and non-financial footsteps from across the company to create positive and negative indicators of corporate success for all levels of the organization (Kaplan and Norton, 1992). These indicators provide an in depth snap shot of corporate mathematical process that managers and executives can use to clearly manage the company for success on a daily basis. Since the scorecard is based on key performance indicators (KPIs) that are directly linked to corporate goals, it provides a true measure of corporate success. These KPIs consist not just of financial indicators, but in addition of performance measures in customer satisfaction, internal process, and innovation and improvement (Kaplan Norton, 1992). The largeness and diversity provided by all four perspectives give managers an ideal cross-func... ...to a system of performance measurements that effectively communicate a powerful, forward-looking, strategic accent to the entire organization. This balanced concept allows an organization to evaluate its performance in different aspects other than financially acceptable balance sheets or income statements.Bibliography1.) Atkinson A. A., Waterhouse, J.H., and Wells, R.B. (1997). A Stakeholder Approach to Strategic Performance Measurement. Sloan counseling Review (Spring, 1997, pp25- 37) Cambridge.2.) Kaplan, Robert S. and Norton, David P., (1992). The Balanced Scorecard Measures that Drive Performance. Harvard Business Review (January-February 1992) 71-79.3.) Kaplan, Robert S. and Norton, David P., (1996a). Linking the Balanced Scorecard to Strategy. California Management Review (Vol. 39 No.1, Fall, 1996) 53-77.4.) Kaplan, Robert S. and Norton, David P., (1996b). Using the Balanced Scorecard as a Strategic Management System. Harvard Business Review (January-February 1996) 75- 85.5.) 5.) Nickols, Fred (1999). Reconciling and Integrating Stakeholder involve and Requirements. COG News (Spring 1999)