Sustainability Balanced Scorecard Research Articles

ASSESSING THE USE OF SUSTAINABILITY BALANCED SCORECARD AS AN ENVIRONMENTAL MANAGEMENT ACCOUNTING TOOL BY FIRMS IN NIGERIA

There are heightened concerns from several stakeholders about businesses' economic, social, and environmental implications, with each stakeholder demanding distinct sorts of information but traditional accounting prioritised economic information. Due to increasing pressure, businesses are employing environmental management tools like the sustainability balanced scorecard (SBSC) to complement the conventional accounting system. Sustainability balanced scorecard which serves as a comprehensive framework for assessing and reporting environmental, social and financial implications of companies has recently been regarded as a vital instrument for formulating and attaining the primary goals of corporate sustainability management. However, the SBSC is still limited to use by businesses in Nigeria due absence of legal requirements. This study sampled some corporate entities, and a study was conducted to examine the extent to which the sustainability balanced scorecard is used as a management accounting tool. Data collected were analysed using the one-sample chi-square test and the results show that a sustainability balanced scorecard is still used in selected business sectors is grossly inadequate.

Evaluating the Current and Future of Corporation and Hotel Industry Performance by Analyzing CEO Messages Using the SBSC Framework Assessment

The hotel industry has faced significant challenges in both the short and long term, particularly due to the impact of COVID-19, highlighting the need for strategic adjustments to ensure sustainability and growth. This study investigates the strategic elements emphasized in CEO messages published on hotel company websites and their relationship with current and future corporate performance. Utilizing text mining techniques and the Sustainability Balanced Scorecard (SBSC) framework, this research classifies key strategies into financial, customer, internal business processes, learning and growth, social responsibility, and security and safety perspectives. Empirical analysis using the 2SLS regression model reveals several critical findings. First, strategies emphasizing financial and customer perspectives positively influence future corporate performance, though no significant impact is observed on current performance. Second, internal business processes and learning and growth perspectives show no statistically significant relationship with either current or future corporate performance. Third, social responsibility initiatives have an immediate positive effect on current performance, but their long-term impact is negligible. Finally, security and safety perspectives negatively affect both short-term and long-term corporate performance, largely due to the associated costs. However, additional network analysis demonstrates that security and safety factors are interconnected with other strategic elements, suggesting their complementary importance for overall operational stability. The study highlights the critical role of transparent information delivery through CEO messages as a tool for communicating corporate vision and strategy, offering insights into how stakeholders can utilize this information for decision-making. These findings provide valuable theoretical and managerial implications for sustainable hotel management in a post-pandemic environment.

Strategic Linkages to ESG Performance: The Role of Performance Measurement System and Psychological Empowerment

ABSTRACTSustainable development strategies (SDS) have been widely studied from both an innovation and financial perspective, as they play a critical role in balancing the environmental, social, and governance (ESG) pillars. However, the causal pathways connecting SDS to internal capabilities, such as performance measurement systems (PMS) and human resource management (HRM) practices, and their subsequent impact on both ESG performance (ESGP) and financial performance (FP) remain underexplored. This study integrates the sustainable balanced scorecard (SBSC) framework and resource orchestration theory (ROT) to examine how PMS control types (i.e., diagnostic and interactive), PMS justice (PMSJ), and psychological empowerment (PE) mediate the relationships between SDS, ESGP, and FP. Using data from China's top 500 manufacturing firms, we find that SDS positively impacts FP by enhancing ESGP. Furthermore, PMS control types, PMSJ, and PE act as sequential mediators, clarifying the internal mechanisms linking SDS to sustainable performance. These findings suggest that strategic attention to both PMS types and employee empowerment is crucial for achieving ESG as well as financial goals.

Integrating sustainability goals into the balanced scorecard: a bibliometric analysis of the sustainability balanced scorecard

Purpose This study aims to analyse international publications about the Sustainability Balanced Scorecard (SBSC) and the need to integrate Sustainable Development Goals (SDGs) into a Balanced Scorecard (BSC), identifying trends in evolution and future research opportunities. Design/methodology/approach Based on bibliometric techniques, the outputs obtained in the Web of Science (n = 65) and Scopus (n = 80) databases were analysed in the bibliometrix R package to map and systematically review the literature. After removing duplicates, this paper obtained a final output of 96 articles. Findings The interconnection between SDGs and BSC is a pertinent and emerging topic in academic and business circles. Therefore, there has been a growing number of publications on SBSC in recent years, particularly in countries such as Qatar, Taiwan, Portugal, Australia, Malaysia and Indonesia. Researchers in these countries have analysed the SBSC, Corporate Sustainability, Corporate Social Sustainability and Performance Evaluation as their main research themes. This research identifies four main research clusters: Strategy and Performance, Model Management Indicators, Balanced Scorecard Decision-Making and, finally, SBSC. Originality/value This study contributes to the literature on Sustainability, BSC and SDGs. It can be useful for researchers and organizations that intend to integrate SDGs into a BSC and design an SBSC.

Sustainable performance evaluation of pharmaceutical companies: sustainable balanced scorecard and hybrid MCDM approach.

Despite the increasing demand for sustainable development of pharmaceutical companies due to the rigorous pressure of environmental regulation, public health crisis and economic competition, there has been little research on relevant evaluation models. The COVID-19 experience has also prompted investors in pharmaceutical companies to re-examine the impact of environment and ethics on business development. Therefore, pharmaceutical companies need to focus on their performance, especially on the shift from a single financial performance to an integrated performance. This paper constructs a reticulated sustainable performance evaluation model for decision-makers based on the Sustainability Balanced Scorecard (SBSC) framework. The evaluation results are derived using Decision Making Experiment and Evaluation Laboratory (DEMATEL), Analytical Network Process (ANP) and modified VlseKriterijumska Optimizacija I Kompromisno Resenje (VIKOR). The model can help management gain a more comprehensive understanding of the company's overall situation, promote management's focus on the balance and synergies between the various dimensions and indicators of sustainability performance, clarify the relationships and the comment weights of evaluation dimensions and indicators, and provide sustainability improvement solutions, which have been neglected in previous research on the evaluation of sustainability performance of pharmaceutical companies. Based on questionnaires with experts, this paper finds that the Environment is the most important factor, followed by Internal Processes, Customers, Finance, Learning and Growth, as well as Society. The empirical results of a Chinese pharmaceutical company suggest that green transformation and customer relations are the priorities, in addition to the need for additional ways to improve the sustainability performance of pharmaceutical companies. The evaluation results provide a strategic reference for stakeholders, which helps the case company to find better strategies for sustainable development and priorities for improving their sustainability performance.

Sustainability Balance Scorecard: Literature Review and Clustering of Performance Indicator

Answering the challenges of sustainable development, companies require an integrated approach to performance management in economic, social, and environmental aspects. This approach is not only profit-oriented but also addresses the needs of human welfare, social, and environmental concern. The approach also includes the ability to link strategy with action. Therefore, it is important to apply the sustainability Balanced Scorecard (SBSC) in performance management. The research aims to study the development of SBSC studies for the last decade. A systematic literature review has been conducted to identify, evaluate, and interpret SBSC based on previous research. The results described publication map, the taxonomy of research, and meta-analysis of SBSC performance indicators.

Development Of Strategy Map And Measuring Corporate Performance With Sustainability Balanced Scorecard Approach (Case Study On Renewable Energy Consultant Services Company Pt Xyz)

This study aims to develop a Strategy Map of PT XYZ based on the company's vision, mission, strategic goals and analyze the company's performance as measured using the Sustainability Balanced Scorecard (SBSC) method. The research method used is qualitative, which involves conducting in-depth interviews and analyzing company documents. According to the research results, the PT XYZ Strategy Map consists of a vision, mission, 17 company strategic goals and 34 measurement indicators. The company performance of PT XYZ in 2021 and 2022, measured by the 5 SBSC perspectives can be indicated as sufficient performance, which obtained a total scorecard of 0. Based on 34 measurement indicators, 13 obtained a good assessment, 13 obtained a poor assessment, 3 obtained a sufficient assessment, and 5 could not be calculated because the company did not have related numerical documents. In the future, PT XYZ needs to increase its efforts to improve company performance and improve company data management so that it is easier to identify the company's achievements or performance to a measurable extent. Further, PT XYZ needs to integrate sustainability goals that become the company's vision into the company's business strategy, one of which is using SBSC as a company performance measurement tool. In addition, PT XYZ needs to integrate its vision of contributing to sustainability development into the company's business strategy, one of which is the use of SBSC as a corporate performance measurement tool.

Development Of Strategy Map And Measuring Corporate Performance With Sustainability Balanced Scorecard Approach (Case Study On Renewable Energy Consultant Services Company Pt Xyz)

Development Of Strategy Map And Measuring Corporate Performance With Sustainability Balanced Scorecard Approach (Case Study On Renewable Energy Consultant Services Company Pt Xyz)

Environmental sustainability balanced scorecard: a strategic map for joint action by municipalities

Purpose This study seeks to develop an Environmental Sustainability Balanced Scorecard (ESBSC) articulated through a strategic map for collaborative implementation by municipalities by municipalities. In addition, it aims to elucidate the architecture of this tool. Design/methodology/approach The research uses qualitative methodology, initiating with document analysis, followed by municipal-level surveys and an interview with the Norte Portugal Regional Coordination and Development Commission (CCDR-N). Findings The study constructs an ESBSC that adopts an integrative approach to sustainability, focusing on municipal joint action. The tool fosters synergies and enhances cooperation. By incorporating a strategic mix, the tool contributes to improving the environmental management performance of the participating municipalities. Practical implications This study introduces a tool designed for municipalities that aspire to incorporate environmental sustainability into their strategies. This tool facilitates the implementation and management of a long-term environmental strategy, with potential implications for organization and its culture. In addition, it highlights critical environmental factors that should serve as a starting point in future studies or applications of this tool. Social implications Involving both an academic institution and multiple municipalities, this research identifies critical environmental factors that enhance environmental awareness within municipalities and designs a tool that, when consciously adopted, can influence the culture dynamics of the population involved. Furthermore, it proposes a structured and systematic research method for creating an ESBSC for joint municipal action. Originality/value To the best of authors’ knowledge, this research constitutes the first exploratory attempt to devise an environmental strategy for joint municipal action. Although the tool emphasizes the environmental component, it promotes an integrated vision of sustainability. Despite the extensive application of balanced scorecards in various organizational contexts, their utilization in fostering environmental sustainability at a municipal level remains underexplored. This study addresses this gap by developing a tailored strategic tool that operationalizes environmental priorities within municipal governance frameworks.

Balanced Scorecards and sustainability Balanced Scorecards for corporate social responsibility strategic alignment: A systematic literature review

Balanced Scorecards and sustainability Balanced Scorecards for corporate social responsibility strategic alignment: A systematic literature review

The Effect of Green Intellectual Capital, Good Corporate Governance, and Growth Options on Sustainability Performance

Global climate change, deforestation, plastic pollution, and other environmental issues have made sustainability performance an increasingly researched topic. This study investigates the impact of green intellectual capital, good corporate governance, and growth options on the sustainability performance of primary consumer goods sector companies in Indonesia. Additionally, it examines the moderating role of public ownership. We measure sustainability performance using a composite index based on the sustainability balanced scorecard and the G4 Global Reporting Initiative's sustainability reporting disclosure framework. To our knowledge, this study is the first to employ this specific measurement method. Using a random effects estimator on 144 observations, we estimated our models. The findings indicate that good corporate governance, growth options, and public ownership positively influence sustainability performance, while green intellectual capital does not. Furthermore, the study reveals that public ownership strengthens the effects of green intellectual capital and growth options on sustainability performance. This suggests that in companies with low public ownership, green intellectual capital alone may not sufficiently enhance sustainability performance.

Sustainability performance measurement – a framework for context-specific applications

PurposeResearchers and practitioners have recently been interested in corporate sustainability performance (CSP). However, knowledge on measuring CSP is limited. Many CSP-measurements are eclectic, without guidance for contextual applications. This paper aims to develop a conceptual framework that categorizes, explains and evaluates measurements based on their accuracy and precision and provides a guideline for their context-specific application.Design/methodology/approachThe authors conducted a systematic literature review of an initial sample of 1,415 papers.FindingsThe final sample of 74 papers suggested four measurement categories: isolated indicators, indicator frameworks, Sustainability Balanced Scorecards (SBSC) and Sustainability Performance Measurement Systems (SPMS). The analysis reveals that isolated indicators are inaccurate and imprecise, limiting their application to organizations with delimited, specific measurements of parts of CSP due to the risk of a GIGO-effect (i.e. low-quality input will always produce low-quality output). CSP-indicator frameworks are imprecise but accurate, making them applicable to organizations that handle a more significant amount of CSP data. They have a risk of greensplashing, i.e. many indicators not connected to the industry, organization or strategy. In contrast, SBSCs are precise but inaccurate and valuable for organizations desiring a comprehensive strategic management tool with limited capacity to handle sustainability issues. They pose a risk of the streetlight effect, where organisations do not measure relevant indicators but what is easy to measure.Originality/valueThe ideal CSP-measurement was identified as SPMSs, which are both precise and accurate. SPMSs are useful for organizations with complex, comprehensive, connected and tailored indicators but are methodologically challenging.

Exploring the performance effects of digitalisation: a measurement tool based on the sustainability balanced scorecard framework

ABSTRACT Although recent research has confirmed the positive economic effects of digitalisation on firm performance, fewer investigations have addressed the potential non-economic effects of digitalisation on organisational performance, including sustainability performance. To address the inconclusive relationship between digitalisation and organisational sustainable performance the current research considers the mixed effects of digitalisation and proposes a practical tool for assessing those effects. An exploratory, qualitative study reveals several mixed effects of digitalisation across six performance perspectives: financial, customer, internal business processes, learning and growth, social, and environmental. The practical proposed ‘digimpact’ tool can evaluate these various impacts of digitalisation on sustainable organisational performance and thereby help managers design effective digital transformation strategies. The digimpact measurement tool also can be tested, confirmed, and revised in ongoing research to expand and improve its effectiveness.

The Model of Sustainability Balanced Scorecard and Supply Chain in Port Management for Tourism

The development of ports for the sake of tourism is one of the key strategies in developing and strengthening a solid foundation in the tourism industry. The integration of a supply chain into port management for the purposes of tourism that is sustainable balanced can be used as a model for planning sustainable port development for tourism purposes. However, there are scarcely any studies on this topic, while plenty focus on the general concepts involved. To fill this gap, this article presents a model of a Sustainability Balanced Scorecard for ports. The author proposes a new approach to planning port development and supply chain management for tourism, particularity to provide recommendations and further our understandings of the relationships involved in the Sustainable Balanced Scorecard from the stakeholder perspective, the learning and growth perspective, the internal process perspective, the financial perspective and the environmental perspective. Using these five perspectives, the literature review identifies 56 indicators of 15 factors that can be used in the model. Therefore, this research helps to enhance and develop sustainable and efficient conditions in tourism while reducing future risks. Moreover, the research enables stakeholders to gain an understanding of and knowledge about the sustainable development and management of ports and for tourism. The insights can be applied in policy and strategy development according to the sustainable development goals (SDGs) to accommodate social movement, environmental risk and economic inequality.

Management of relationships with stakeholders in healthcare companies using a sustainability balanced scorecard

In managing relationships with stakeholders within the medical services sector, it is imperative to strike a strategic balance between addressing socio-economic challenges and safeguarding the country's environment and natural resources, all while considering stakeholder needs. Consequently, it is necessary to establish a set of indicators for analyzing and managing stakeholder relationships in alignment with sustainable development objectives. The proposal entails creating a list of key indicators for each subsystem of the Sustainability Balanced Scorecard (SBCS). These indicators will serve as our compass, guiding us in assessing the degree to which strategic objectives in managing stakeholder relationships align with healthcare companies' sustainable development goals. This alignment, we believe, holds the key to a more sustainable and prosperous future for all. Causal connections between the indicators of SBCS subsystems – "Activators" – "Processes", "Processes" – "Stakeholders", "Stakeholders" – "Results" – have been established. The results of modeling the interconnections between these subsystems have allowed conclusions to be drawn regarding the existence of statistical relationships among their elements, which are pertinent to consider in developing strategies for healthcare, structuring the goals of their sustainable development, and determining the means of achieving them. Based on the analysis results, the following indicators, exhibiting the most robust mutual relations, have been identified: under the "Results" subsystem – the ratio of expenditures to revenues, cash flow coefficient, utilization level of energy-efficient resources, expenses for outfitting ecological offices and premises; within the "Stakeholders" subsystem – the percentage of satisfied patients within the total, number of executed social projects, utility expenses (electricity, water, heat) in administrative costs; within the "Processes" subsystem – the growth rate of provided medical services volume, funding ratio, proportion of non-recyclable material costs in material expenses; within the "Activators" subsystem – training and development costs per employee, coefficient of innovative growth, dynamics of eco-awareness development measures. These indicators enable the monitoring and controlling of the achievement of economic, social, and environmentally sustainable development objectives. Keywords: management, stakeholders, balanced scorecard, sustainable development, strategic objectives, strategic map.

Integrating sustainability with corporate governance: a framework to implement the corporate sustainability reporting directive through a balanced scorecard

PurposeThe growing importance of environmental, social and governance (ESG) issues, as well as related performance planning, measuring and reporting, has spurred interest in linking corporate sustainability and performance management systems (PMSs). In this context, the aim of this paper is to provide companies with a framework for implementing the requirements of the corporate sustainability reporting directive (CSRD) through a sustainability balanced scorecard (SBSC). The framework will further the integration of sustainability with corporate governance.Design/methodology/approachThe framework was grounded in the relevant literature and the CSRD requirements.FindingsThis paper provides companies with a novel framework for implementing the requirements of the CSRD through a SBSC. The framework specifies four key steps (i.e. identifying material themes, initial assessment, strategic formulation and action, and sustainability reporting) to integrate sustainability with corporate governance.Practical implicationsThe framework supports managers’ decision-making processes in linking sustainability with strategy and providing a basis for integrating sustainability with corporate governance in organizations. The paper provides a way to practically address the CSRD requirements.Originality/valueThis is the first study integrating the emerging CSRD requirements with corporate governance. The paper advances discussion and debate by management scholars on how a SBSC can be practically implemented, providing details on how this may be achieved.

Sustainable development performance in the semiconductor industry: A data-driven practical guide to strategic roadmapping

Sustainable development performance in the semiconductor industry: A data-driven practical guide to strategic roadmapping

Sustainability in project management: A comprehensive review

This comprehensive review paper delves into the integration of sustainability principles within the realm of project management. The primary objective is to analyze how sustainability is being incorporated into project management practices and to identify the emerging trends and challenges in this integration. The methodology involves a systematic review of existing literature, encompassing academic journals, industry reports, and case studies, to provide a holistic view of the current state of sustainability in project management. Key findings reveal that sustainability in project management is increasingly gaining attention, driven by the growing recognition of environmental, social, and economic impacts. The study identifies three core dimensions of sustainability in project management: environmental responsibility, social equity, and economic viability. It highlights the evolving role of project managers in embedding these dimensions into project life cycles, from initiation to closure. The review also uncovers a range of tools and frameworks being employed to facilitate sustainable project management, such as life cycle assessment, stakeholder engagement strategies, and sustainability balanced scorecards. However, challenges persist, including a lack of standardized guidelines, difficulties in measuring sustainability outcomes, and resistance to change in traditional project management practices. The paper concludes that while strides have been made in integrating sustainability into project management, there is a need for more robust frameworks and educational efforts to enhance the adoption and effectiveness of sustainable practices. Future research directions are suggested, focusing on the development of standardized sustainability metrics and the exploration of the role of technology in enhancing sustainable project management practices.

Executing the sustainability agenda using sustainability balanced scorecard

Executing the sustainability agenda using sustainability balanced scorecard

A comprehensive evaluation of a company performance using sustainability balanced scorecard based on picture fuzzy AHP

A comprehensive evaluation of a company performance using sustainability balanced scorecard based on picture fuzzy AHP