Aspects Of Balanced Scorecard Research Articles

Analisis Kinerja Pelayanan Air Bersih PDAM Tirta Daroy Kota Banda Aceh

Perusahaan Daerah Air Minum (PDAM) is a business entitiy owned by the Aceh government which has business scope in managing drinking water and managing fresh water facilities to improve the welfare of the city citizens.. PDAM Tirta Daroy is an agency that serves the drinking and fresh water distribution for Banda Aceh city, in the 2017 PDAM Tirta Daroy has achieved “Health” status woth value 3,11 which is ranked 130 out of 378 PDAM assessed throughout Indonesia. Even though PDAM Tirta Daroy has achieved health status there are still customers who complaint receiving distribution of fresh water with very disssapointing quality so that the analyses study of fresh water is needed for the PDAM Tirta Daroy in 2018. The problem in this study is how the performance of PDAM Tirta Daroy fresh water services in 2018. The purpose of this study is to determine the performance of PDAM Tirta Daroy against the fresh water supply system in Banda aceh city and PDAM Tirta Daroy strategy in improving performance related to the current fresh water services. The research methodology initially began with the collecting the primary and secondary data, the interviews results are written descriptively in accordance with the activities that occur. After conducting primary and secondary data in 2018 data then processed using Balance Scorecard and SWOT analysis. The results of this study is to find out the value of PDAM performance based on the 4 aspects of Balanced Scorecard which are financial aspects, services, operational, and Human resources aspects, and the PDAM Tirta Daroy strategy in an effort to improve the problems of fresh water services in Banda Aceh city.

IMPORTANCE-PERFORMANCE ANALYSIS BASED BALANCED SCORECARD FOR PERFORMANCE EVALUATION IN HIGHER EDUCATION INSTITUTIONS: AN INTEGRATED FUZZY APPROACH

Recognizing the state of the universities and disrupting their functions by performance evaluation helps them adopt more appropriate educational, research and institutional policies to conduct a university system. In this paper, the importance of the services provided and the activities of the university are determined by means of the balanced scorecard (BSC) approach, and the performance assessment structure is implemented based on an integrated fuzzy multi-criteria decision making (MCDM) approach. For this purpose, interdependencies between BSC aspects and effective indicators weight are determined by Fuzzy Decision-Making Trial and Evaluation Laboratory (FDEMATEL) and Fuzzy Analytic Network Process (FANP) methods, respectively. Accordingly, the final weight of the effective indexes on the performance evaluation of university is presented and the educational income is recognized as one of the most important indicators. Finally, the priorities of universities are specified in order to improve the performance and policy making by the importance-performance analysis (IPA). Therefore, the growth of the number of students should be considered as one of the most important stages in improving university performance in the future in order to achieve educational income. Moreover, the guidelines for universities and higher education institutions are presented to identify key factors in implementing and improving performance.

Evaluating the Implementation of Strategies in Plants Using Balanced Scorecard (BSC): A Case Study

The main purpose of the present paper is to investigate the implementation of strategies in Neka Power Plant Management Company using Balanced Scorecard. For this purpose, it is necessary that the aspects of financial, customer, internal process development and learning BSC in electric power generating be identified, major Neka power strategies be prioritized, Neka power plant's performance on four aspects of BSC be evaluated and, by using a six step BSC, implementation of the strategies be evaluated. The Delphi and AHP are used to analyze the organization while prioritizing strategies, initiatives, along with qualitative and quantitative measures of the four perspectives of financial, customer, internal processes and learning are achieved.

Effectiveness of six sigma methodology through BSC in banking industry

This paper aims to discuss the effectiveness of Six Sigma through balanced scorecard in banking industry. Six Sigma is a powerful analytical technique which yields a dramatic reduction in defects, errors, or mistakes in production and service processes. So it can be useful to find defectives in financial institutions and banks while it can accompany with BSC to approach all organization aspects. Reaching this aim, this paper tries to survey the effectiveness of Six Sigma through balanced scorecard aspects in one of Iranian pioneer banks in deploying aforementioned methodologies. Respondents have been extracted among bank experts with various backgrounds who experienced both techniques in practice for at least four continues years. Findings depict that customer aspect is the most appropriate aspect for implementing Six Sigma, while Learning; Financial and Internal process aspects are less suitable respectively. It is fruitful to declare that all BSC aspects are prone to use the advantages of Six Sigma in practice according to respondent’s points of view.

Holistic Approach for Balanced Scorecard as Managerial Decision Making Tool

Recent times have seen the supply side of management knowledge be it consultants, management gurus, business schools and popular press invent and diffuse countless managerial tools at a rapid-fire rate. One such tool is the Balanced Scorecard (BSC) that has been glorified and hyped as a great innovation of nineties. Through exhaustive literature and grounded theory approach, this paper examines some theoretical and methodological issues of BSC to develop a holistic perspective when adopting BSC as a managerial tool. The main purpose hereto is not to question BSC but rather to create a more holistic and down to earth picture of the tool in the minds of actual and potential users especially when adopting it as managerial tool in dynamic decision making. In the process some of the debatable aspects of BSC, contrary to the mainstream BSC literature which enthusiastically consecrates the tool stand visible.

Proposing a basic methodology for developing balanced scorecard by system dynamics approach

Purpose – Successful future has inspired organizations to measure long-term and non-financial measurements and key performance indicators (KPIs). Kaplan and Norton proposed balanced scorecard (BSC) for this issue and have extended it to one of the most preferred strategic management system’s tools. However, available planning tools like BSC have some limitations, like dependency to the developer, weakness in showing time delays, and also mathematical relationships between lead and lag indicators. In this paper, the authors would present a new methodology for developing BSCs, which would be able to overcome these limitations. Therefore, the purpose of this paper is to develop an integrated framework for developing BSC with system dynamics approach (a dynamic BSC (DBSC)) which has lower limitation in compare with traditional BSC. The other purpose of this paper is developing a DBSC for an Iranian public transportation company. Design/methodology/approach – Based on this purpose, related literature was thoroughly reviewed and the proposed methodology designed using the system dynamics and BSC concepts. This methodology is a composition of original BSC development methodology and system dynamics principles. An assumed organization has been used for showing methodology’s capability and procedure. Furthermore, a case study has been accomplished in this paper. This case study is a DBSC which has been developed for an Iranian public transportation company. The purpose of this case study is to ensure about proposed methodology implication in action. Findings – The authors proposed a methodology which can be applied for developing BSCs. This methodology consists of six different steps which are: developing a system for organization, selecting stakeholders’ most important objectives and target, identifying organization’s objectives and their KPIs for different BSC aspects, developing strategy map, targeting, and selecting initiatives. In the proceeding of this paper, the proposed methodology and its steps would be explained in detail. Originality/value – The system dynamic approach has precedents in business studies; however, this research makes this approach operational in BSC designing and analysis. BSCs, which developed by this methodology can show time delays between an organization’s objectives, its KPIs’ relationship and also planning for it. Selecting achievable and rational vision and objectives’ targets, change management, scenario planning and policy analysis are other values which can be achieved by DBSC deployment which need further researches. In summary, this research has shown an integrated framework for developing DBSC and then applies it to an Iranian public transportation company. Therefore, another contribution of this paper is the application of this method for an Iranian public transportation company.

The Balanced Scorecard and the Strategic Learning Process: A System Dynamics Modeling Approach

The main purpose of this paper is to improve on the conceptual as well as the methodological aspects of BSC as a quantitative model by combining elements from traditional balanced scorecard (BSC) thinking with the Systems Thinking. This is done by combining short and long term aspects of measurements. The result is then used to build and construct a balanced scorecard model for strategic learning with the specific aim to maintain satisfied customers and motivated employees. Strategic planning, operational execution, feedback, and learning are some of the most important key features of any performance measurement model. This paper aims to address not only the conceptual domain related to BSC, that is, learning and system dynamics causality and feedback, but also the methodological domain concept of precision solved by differential equations. Our results show how a potential move from a static strategic vision map to a linked and dynamic understanding may be not fully realistic but very useful for learning purposes. The new knowledge obtained from the learning feedbacks fertilizes both decision discussion and decision-making and what may be required in order to move to the next level of BSC and system dynamics integration.

The Relationship Between Knowledge Management and R&D Performance: A Case Study in Auto Industry

This paper has studied correlation between knowledge management (KM) and performance of research and development (R&D) in a major automobile manufacturing company. Two questionnaires were used. Choy's "KM performance outcomes" approach was used for KM and customized balanced score card (BSC) model for measuring R&D centers' performance. The population consisted of all R&D employees in a company that has been working in auto industry, along with all its 12 subsidiaries which had R&D centers. Then three out of 12 companies were selected by cluster sampling from which 90 people were chosen to complete the questionnaires. The results showed a significant positive correlation between KM and the performance of R&D centers as well as three aspects of BSC, i.e. customer, internal processes and innovation. For the other aspects, the findings did not show any significant correlations.

Adopting of Balanced Scorecard by Manufacturing Firms in Bahrain: An Empirical Study

Performance measurements play an important role in understanding the determinants of successful performance of firms. The balanced scorecard is one of the integrated performance measurement systems that has wide acceptance in several countries. The prior studies investigated different aspects of balanced scorecard in the developed countries, but this study contributes to the performance measurement literature by collecting evidence about the extent of adoption the balanced scorecard in one of the developing countries such as Bahrain. Also, this study statistically examined the effect of a firm's size on adopting balance scorecard. The main instrument in surveying the Bahrain firms is a questionnaire. The findings rejected the null hypotheses. It is found statistically that there are differences between Bahraini manufacturing firms in adopting the balanced scorecard. Also the study found that there is effect of the firm's size with the growing use of non-financial measures by the BSC adopters.

COMPREHENSIVE PERFORMANCE EVALUATION USING FAHP-FVIKOR APPROACH BASED ON BALANCED SCORECARD (BSC): A CASE OF YAZD'S CERAMIC AND TILE INDUSTRY

The comprehensive assessment model considers the financial and non-financial aspects as balanced scorecard. Also, for more comprehensive results of the investigation, four aspects of the balanced scorecard were used and then by using fuzzy Delphi technique and experts' opinions, the standard aspects of each were achieved in two stages. To determine the importance of each aspect of BSC, the process of fuzzy hierarchical analysis was employed. The results showed that among the four aspects of balanced scorecard, the financial index has the greatest significance, the customer index is in second place, and the third place belongs to growth and learning, and internal processes are in fourth place. In the next stage, the companies studied in the previous level were ranked by fuzzy VIKOR technique according to the indices. The results reveal that company A has the best performance among the ten companies from the perspective of four indices.

Transcribing the balanced scorecard into system dynamics: from idea to design

The purpose of this paper is to show how a system dynamics modelling approach can be integrated into the balanced scorecard (BSC) for a case company with special focus on the handling of causality in a dynamic perspective. The BSC model includes five perspectives and a number of financial and non-financial measures. The overall idea of BSC is to make the strategy operational, as proposed by Kaplan and Norton (2007) and to use the strategy for simulation. Our results indicate that a company may gain great insight from simulation studies. The hypothesised model may be used as the first step in quantifying the cause-and-effect relationships of an integrated BSC model. Including dynamic aspects of BSCs into the discussion is only in its infancy, so the aim of our work is also to contribute to both scholars’ and practitioners’ general understanding of how such delayed dynamic effects propagate through system and time.

Implementation and performance evaluation using the fuzzy network balanced scorecard

The balanced scorecard (BSC) is a multi-criteria evaluation concept that highlights the importance of performance measurement. However, although there is an abundance of literature on the BSC framework, there is a scarcity of literature regarding how the framework with dependence and interactive relationships should be properly implemented in uncertainty. This study proposes a hybrid approach: the analytic network process (ANP) is used to analyze the dependence aspects, the decision-making trial and evaluation laboratory (DEMATEL) is used to deal with the interactive criteria, and the fuzzy set theory is used to evaluate the uncertainty. The four BSC aspects and 22 criteria are evaluated for a private university of science and technology in Taiwan. The results show that student acquisition is the most influential and weighty criterion, and the annual growth in revenue is the most effective criterion. Managerial implications are also discussed, and concluding remarks are made.

System dynamics modelling for a balanced scorecard

Purpose – This paper seeks to construct a dynamic model/framework inspired by a case study based on an international company. As described by the theory, one of the main difficulties of balanced scorecard (BSC) is to foresee the time lag dimension of different types of indicators and their combined dynamic effects. Design/methodology/approach – A case study model is used to develop time or dynamic dimensions by using a system dynamics modelling approach. The model includes five perspectives and a number of financial and non‐financial measures. All indicators are defined and related to a coherent number of different cause‐and‐effect relationships based on knowledge and experience. Through three different scenarios we demonstrate the effects of different drivers on the profit and on Return on Capital Employed are demonstrated. Findings – The results show that a minimal change in one of the base variables (skills, customer base or work in process) may have a major influence on other indicators and profit and may be impossible to predict without using a dynamic model. Practical implications – The model may be used as the first step in quantifying the cause‐and‐effect relationships of an integrated BSC model. Using the system dynamics model provides added insight in the BSC and may also serve as a teaching exercise of BSC. Originality/value – Work on dynamic aspects of BSCs is just in an early state, so the aim of any work is to contribute to both scholars' and practitioners' basic understanding of how such delayed dynamics propagate through systems and time.

Integrating Financial And Non-Financial Performance Measures: The State Of The Art And Research Opportunities

This paper aims to provide a literature review of the need for integrating financial and non-financial performance measures. More specifically, it aims to provide a framework for the adoption of the balanced scorecard (BSC) at strategic business unit level (SBUs). Different aspects of BSC are identified. They include: integrating financial and non-financial performance measures; allocating the financial and non-financial performance measures to the four perspectives (BSC usage); examining the relative weight placed to the four perspectives; questioning the purpose of using BSC. In addition, the management accounting literature provides many contingent variables influencing the different aspects of BSC. They include: the role of consulting firms; organisation size; perceived environmental uncertainty; business unit strategy; product life-cycle; management style; other factors including national and organisational culture. Following the ideas of the contingency theory relating to the proper fit between contingent variables, aspects of BSC and the effectiveness of BSC, several measures of effectiveness are presented. Drawing off the literature and the suggested framework of the adoption of BSC, several areas for future research are identified. The first is to develop an overall measure that includes the different aspects of BSC. The second is to examine the direct and indirect relationship between the contingent variables and the aspects of BSC. The third is to explain why subjective and objective measures of effectiveness of BSC may agree or disagree. The final area is to examine the relationship between BSC for a given business unit with other BSCs of other business units and that of higher organisational level.