BSC
The Heathrow Terminal 5 project illustrates how the balanced scorecard approach can be applied to a number of projects and organizations. In this case, the airport authorities wanted to derive a comprehensive vision for what the Terminal project should be, and they were able to execute on that for the most part. The system that they designed was heavy on evaluation metrics and this was critical to the overall success of the project.
The balanced scorecard is an approach that has a lot of intuitive wisdom. The approach suggests that if one satisfies the needs of different stakeholders, that it will enjoy success in the long run. The Terminal 5 project focused on this, because the project is essentially a not-for-profit venture, so success was dependent on meeting other aspects of the scorecard. It was easier for management to focus on the scorecard as a methodology because of this.
The case of Heathrow Terminal 5 does not provide much evidence as such that the scorecard is useful for all organizations. While I personally believe that the balanced scorecard is useful for just about any organization, the anecdotal evidence of one single organization is not what I would call scientific proof that the methodology is universally applicable. One organization just is not a statistically significant sample. However, the balanced scorecard is actually useful for most organizations because all of the different elements are important. For example, there is the question of the financial perspective in an organization that is not operating of a for-profit basis. In this case, that does not matter -- there are always financial motivations that can be taken into consideration. So Terminal 5 might have sought to keep the project on budget, but otherwise another company might have been more oriented towards the earning of profit.
One of the things that the BAA approach invoked was that it was different from the traditional approach. It was necessary to understand that every organization can and should implement the balanced scorecard differently. In this situation,...
BSC Customer One of the aspects of the balanced scorecard framework is the customer service perspective. This perspective is based on the idea that there is "an increasing realization of the importance of customer focus and customer satisfaction in any business" (BSI, 2013). The general idea is that there is a strong link between pleasing the customer and achieving the desired financial results in particular. If nothing else, it is critical
Balanced Scorecards (BSC) are designed to provide insights into which customer-centric strategies are the most profitable and scalable over the long-term (Glykas, Valiris, 2011). Often customer-centric measures of satisfaction, sales and repurchase rates hide the real issues of customer profitability, lifetime customer value and cost to serve the most loyal customers (Kaplan, 2005). A balanced scorecard must take into account the entire value chain of a business if it is
Heathrow T5 Theories are just theories into they are actually put to the test and an experiment is conducted. This is the basis for the scientific approach. Basu, Little & Millard (2009) article applied the Balance Scorecard Theory by Kaplan and Norton to a real time project in London's Heathrow Airport. The purpose of this essay is to explore how this project adopted the Balanced Scorecard Theory and incorporated it, much
Oxford Brookes University BSc (Hons) in Applied Accounting Research and Analysis Project An Analysis of the Business and Financial Performance of StarHub Group from 2008 to 2010 Topic chosen and for the reason For the basis of my Oxford Brookes University degree research and analysis project (RAP) is project, the topic selected was number 8, "The business and financial performance of organisation over the three years period." This selection is due in large part
Customer centricity then can also have a significant impact on the perspective an organization has of its market and the opportunities inherent within it and other, tangential and territory market areas as well. This aspect of blue ocean strategies being driven by customer's perspectives, preferences, unmet needs and wants further underscores its inherent value and also its usefulness from a strategy perspective. The ability to find uncontested markets, which
Balanced scorecard approach typically focuses on the organization finding links and balances between its mission and vision and four perspectives -- the financial, learning & growth, internal operations and customer (Kaplan & Norton, 2013). This approach is contrasted with a modified version that was used in the construction of Heathrow Airport Terminal 5 (Basu, Little & Millard, 2009). The Heathrow Terminal 5 project began with a number of objectives relating to
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now