The Balanced Scorecard: Translating Strategy Into ActionHere is the book - by the recognized architects of the Balanced Scorecard - that shows how managers can use this revolutionary tool to mobilize their people to fulfill the company's mission. More than just a measurement system, the Balanced Scorecard is a management system that can channel the energies, abilities, and specific knowledge held by people throughout the organization toward achieving long-term strategic goals. Kaplan and Norton demonstrate how senior executives in industries such as banking, oil, insurance, and retailing are using the Balanced Scorecard both to guide current performance and to target future performance. They show how to use measures in four categories - financial performance, customer knowledge, internal business processes, and learning and growth - to align individual, organizational, and cross-departmental initiatives and to identify entirely new processes for meeting customer and shareholder objectives. The authors also reveal how to use the Balanced Scorecard as a robust learning system for testing, gaining feedback on, and updating the organization's strategy. Finally, they walk through the steps that managers in any company can use to build their own Balanced Scorecard. The Balanced Scorecard provides the management system for companies to invest in the long term - in customers, in employees, in new product development, and in systems - rather than managing the bottom line to pump up short-term earnings. It will change the way you measure and manage your business. |
Contents
Measurement and Management in the Information Age | 1 |
Why Does Business Need a Balanced Scorecard? | 21 |
MEASURING BUSINESS STRATEGY | 43 |
Financial Perspective | 47 |
Customer Perspective | 63 |
InternalBusinessProcess Perspective | 92 |
Learning and Growth Perspective | 126 |
Linking Balanced Scorecard Measures to Your Strategy | 147 |
MANAGING BUSINESS STRATEGY | 191 |
Achieving Strategic Alignment From Top to Bottom | 199 |
Targets Resource Allocation Initiatives and Budgets | 224 |
Feedback and the Strategic Learning Process | 250 |
Implementing a Balanced Scorecard Management Program | 272 |
Building a Balanced Scorecard | 294 |
313 | |
About the Authors | |
Other editions - View all
The Balanced Scorecard: Translating Strategy into Action Robert S. Kaplan,David P. Norton Limited preview - 1996 |
Common terms and phrases
achieve activity-based cost alignment Analog Devices assets Balanced Scorecard budgeting business processes business unit business unit's strategy C. K. Prahalad capabilities communicate companies competitive corporate-level cost customer perspective customer satisfaction customer segments Customer Value Proposition cycle deliver delivery employees enable example executive team feedback Figure financial measures financial objectives financial performance financial perspective focus goals Harvard Business Review Harvard Business School identify implementation improvement innovation internal processes internal-business-process perspective investments Kenyon Stores learning and growth linkages linked long-term management processes market segments ment metric Metro Bank objectives and measures organization organization's organizational outcome measures percentage performance drivers performance measurement products and services profitability programs reskilling Rockwater scorecard measures senior executives short-term specific strategic business units strategic initiatives strategic learning strategic management system strategic objectives stretch targets supplier targeted customers tion tives translate underwriting value chain value propositions vision and strategy