Abstract
The article provides content analysis of scientific literature, namely the theoretical prerequisites for the implementation of a balanced table of strategic efficiency management indicators in the banking industry. The main purpose of this study is to reveal the balanced practice of indicators in the literature. A balanced indicators are a strategic efficiency management system that has brought a holistic approach to measuring efficiency, which is the most important activity of the control function of the administration. Moreover, this study contributes to literature with examples of different regions of the world. An example of the formation of the elements of a balanced indicators for Venture Bancorp. When BSC is used, the real efficiency of the institute over a period of time is measured according to certain indicators in the balanced table of indicators, and this is compared with purposeful efficiency. Instead of focusing on traditional approaches to measuring productivity, such as profit and productivity, the strength of indicators, the speed of learning, innovation, quality, flexibility, reliability and accountability are currently very important elements. Therefore, efficiency and administration measuring systems must be formed, taking into account these elements, and individual or organizational efficiency goals must be developed. The amount of money achieved at the end of the measurement of each performance indicator appears as a result of BSC. The minimum base value, the maximum limiting value and the target value of each performance indicator are also indicated. There is a percentage weight for each measurement in a balanced table of indicators, and the total weight of all measurements is 100%. Each performance indicator is estimated according to the achievement ratio and the target value. After that, the values of performance indicators are multiplied by the determined percentage weight of each performance indicator. Summarizing this, BSC is a comprehensive approach to quality assurance and financial services. It is important to accept innovations in the banking sector, especially for international competitiveness. The conclusions show that it is more profitable to prepare a balanced table of bank indicators than to report financial activities only in terms of evaluating efficiency with a holistic approach.
Published Version
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