Wednesday, February 27, 2019
Balanced Scorecard Essay
Introduction Performance management systems atomic number 18 often designed to enable establishments to plan, throwaway and control their performance, so that decisions, resources and activities substructure be better aligned with business strategies to achieve desired results and raise sh atomic number 18holder value. The Balanced Scorecard is a performance animal exploitation pecuniary and non pecuniary measures. It provides an organization with ways to develop and evaluate strategical objectives and goals.For the past two decades, the Balanced Scorecard (BSC) has been proposed as an integrated example for the implementation of financial and nonfinancial performance measures that helps organizations align their initiatives with the organizations strategy (Kaplan Norton, 1992). The United States unwrapal Service delivers more than light to more addresses in a larger geographical ara than any other(a) post in the world. The Postal Service delivers to more than152 mil lion homes, businesses and Post Office boxes in every state, city, town and borough in this country.Everyone living in the United States and its territories has access to postal products and services and pays the same postage careless(predicate) of their location (USPS, 2014). This paper leave alone examine the final resultiveness of the implementation of the fit score card admittance. Key Issues for Discussion Explain how the Voice of the Employee concurs amend internal processes (Voice of the Business), and how the Voice of the Business supports customer satisfaction (Voice of the client).Employees strike a huge impact on their organizations financial results. When employees are empowered to make decisions they share information relating to the strategic processes and direction of that organization. When it comes to carrying aside the message and mission of the organization the voice of the employee is very crucial. Through empowerment, the employees are able to create an opportunity to show management how they will moderate the company vision to their daily task.The voice of the business relates to information derived from financial data. This data can be used to indentify weakness in authorized market areas and the status of the research and development process. In order to resettlement the organization forward or closer to its boilers suit objectives, analyst moldiness understand the relevance of the balanced scorecard process. The voice of the customer indentifies the demand of the customer which are keys to the strategy to defining which processes can be viewed as value added products or services.The customers are a continuous source of feedback both(prenominal) good and bad. Customer feedback can also provide new opportunities to identify and develop new products. Kaplan and Norton advocated a well-connected map ping that leads from an organizations main strategy to the four perspectives of the balanced scorecard Financial, Customer Sat isfaction, Internal Process, and Learning and Growth. Each element works to support the strategic objectives in a linked process.Customer satisfaction leads to the desired financial show upcome, which in the case of the Postal Service is sufficient r notwithstandingue to support the universal delivery service mission (Evans, Lindsay, 2011). succession Figure 8. 14 shows only representative measures associated with the balanced scorecard, declare almost other measures that cogency be included using your knowledge of postal operations. Based on my personal experience and knowledge of the United States Postal Service, I would suggest that the organization add some additional measures to it balanced scorecard.The organization should measure customer complaints relating to package handling and damaged goods. Damaged packages generally lead to claims brought forward by customers which is certainly a value associated with it that should be track and measured. The organization should a lso measure and analyze the effects of the employee turnover rate. Employee substitution cost can have a huge affect on the financial element. Cost associated with the orientation and training of a new employee as well as the cost associated with employee separation can have an effect on the bottom-line.Advantages and Disadvantages of Using a Balanced Scorecard Some organizations have a difficult time establishing a process that can reiterate its strategic vision into concrete goals and actions. on that point are clearly some beneficial advantages to applying the balanced scorecard approach. Some of these benefits include acquiting a comprehend organizational team that will open channels of communications. The company will have enthusiastic people who are focused on carrying out the organizations mission and commitment to property.Also, the company will gain a unique competitive advantage relating to reduce time frames, modify decisions and better solutions. Most importantly, initiatives are continually measured and evaluated against industry standards. There can be some disadvantages as well. The balanced scorecard takes a lot of planning and forethought. Defining clearly stated objectives and setting goals are crucial to the process. There can be resistance from employees or even management. Some individuals may see the implementation as a scourge or indication of a lack of performance on their part.While the balanced scorecard discontinues an extensive overview of the organizations performance, it does not give recommendations regarding how to resolve discovered problem performance areas. Conclusion The case take involving the United States Postal Service presents evidence that the balanced scorecard approach can have a positive effect on an organizations overall performance. If integrated successfully, the balance scorecard will be a tool that ensures clarity and consistency across all departments or individuals involved.Solving quality managemen t issues rely on the right approach and planning. Understanding the splendor of the linkage among all four of the balanced scorecard is crucial to its success. excess attention should be given to the proper implementation and cultivation of intangible assets relating to learning and growth. The USPS has improved its service and has increased customer satisfaction. First-class get down performance has improved to over 95 percent of overnight mail being delivered on time, with improvements in other categories of first-class mail (Evans, Lindsay, 2011).