Balance Scorecard for Fatura
Business organizations operate with the sole objective of effectively utilizing the input factors in order to maximize on the output. For this case, output is measured in terms of performance, which, essentially relates to the profits or customer satisfaction. In the industrial age, most managers relied heavily on conventional financial metrics as the only strategic measure to align the activities of the organization to the goals and objectives of the same organization. However, this perspective has gradually shifted in the information age. Balanced scorecard is the most recent strategic tool that most organizations currently use in their planning and management activities. It is crucial as far as the alignment of the business activities to the objectives of the firm, boost both internal and external communications, and assess the organization performance relative to strategic goals. BSC is classified into four quadrants that include customer, financial, internal business processes, and learning and growth (Kaplan, & Norton, 2004). In this paper, Futura Industries is used as the case study. The study explores reasons that made Susan Johnson, Futura president to prefer the learning and growth dimension to the other dimensions present in the balanced scorecard.
Analysis:
It is notable that Futura Company performed exemplary well between the years 1996 and 1999. Unlike most other companies that focus on operational and financial metrics aspects of BSC, Futura went a notch higher to concentrate also on the learning, innovation, and growth dimensions. Evidently, Susan Johnson understood the value of the intangible capital in transforming the fortunes of any organizations. The conventional means of strategizing for organization performance were based on the financial...
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