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The Balanced Scorecard (BSC) is a strategic planning and management system used to align business activities to the vision and strategy of the organization, improve internal and external communications, and monitor organizational performance against strategic goals.

Balanced Scorecard specializes the general business objectives into specific objectives and actions appointed at the level of departments and finally at the level of personnel.

The business performance-action includes four (4) key areas:
  • Financial performance
  • Customer transactions and customer relationships
  • Effectiveness of internal organization and operation
  • Continuous improvement, evolution and learning organization
Companies adopting the balanced scorecard methodology achieve to:
  • clarify and renew their strategy.
  • transmit the strategy messages throughout the organization.
  • align the objectives of each module and individual goals with overall business strategy,
  • link strategic objectives to long-term objectives and annual budgets.
  • identify and align initiatives that are related with strategy.
  • conduct periodic performance reviews in order to learn the strategy in depth and take in time any required corrective actions so as to improve strategy.
 

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