History of Balanced Score Card Examples
Balanced score card examples serve many purposes, the main function of which is to have the strategy and vision of the company or organization aligned with the activities of the same. In addition to this, this system of management and strategic planning also serves to improve communications internally and externally and have the strategic goals monitored against the performance of the organization. To know more about the history and the origins of this management system, read the information below.
While the concept of basic score card examples was first introduced in the 1990s by Drs. David Norton and Robert Kaplan of Harvard School of Business, where in they aimed to give the executives and managers of the organization a view of the company’s performance that is more balanced by adding performance measures on strategic non-performance to the financial metrics that are traditional, the roots of the same goes back to 1950s. The origin of this kind of approach includes the pioneer work on the reporting of performance measurement by General Electric. Such also includes the 20th century work of process engineers from France. From then on, such concept started to evolve to what it is now. It is no longer a simple framework for performance measurement but a full management system and strategic planning. From being passive, the strategic plans of the organization are transformed into marching orders with the help of basic score card examples. With this, the managers and executive of the company are helped in determining what should be measured and done, enabling the true strategic execution. They are now provided with a prescription that is very clear as to what should be measured so that the financial perspective is more balanced.
The balanced score card examples are indeed very useful tools for system management. It does not only help the organization in clarifying their strategies and vision, it also helps them to have such translated into action.