Balanced Scorecard

Topics: Leadership, Management, Strategic management Pages: 7 (2409 words) Published: April 16, 2013
Success of the Balanced Scorecard
The change can be described as a success when the BSC is working well, this can occur when certain goals and conditions are met. Those conditions will be described in this section. Once a project aligned with goals and strategies of the organization is chosen, project members selected, and proper communication of goals has been provided to the project team, it is possible to develop a balanced scorecard to monitor the project (Devine et al., 2010). According to Barglas et al. (2004) the most effective scorecards have six characteristics in common: focus, balance, scope, audience, technology, and implementation. First, focus refers to day-to-day tools to guide executive actions. Second, balance includes a mix of leading and lagging indicators that are keyed to internal and external financial and operating metrics. Third, scope is about providing a limited number of balanced metrics at the top. Fourth, audience because scorecards are used for all employees. Fifth, technology is matched to the need for timeliness in reporting and analysis. Sixth, implementation is important. Less than 20% that use scorecards have mature implementations that are creating value (Barglas et al., 2004).

Research of De Geuser et al. (2009) demonstrates that the BSC contributes positively to organizational performance. Their study provides empirical evidence that the BSC contribution depends to a large extent of three conditions of the Kaplan and Norton SFO model; better translation of strategy into operational terms, strategizing becomes a continuous process, and the alignment of various processes.

It can be argued that the following variables will contribute to the success of the Balanced Scorecard; clear vision and goals, right members selected, proper communication, focus, balance, scope, audience, technology, phases of implementation, tasks transferred properly, culture, handle resistance, acceptance of advice and leadership. Leadership is an important variable with respect to the success; the leader ensures support, motivation, and involvement. He also ought to properly deal with resistance and cultural preservation. Besides this, working with the BSC should not be seen as a metrics project, but as a change project. The success of the Balanced Scorecard depends on a number of variables. The most important variables which could affect are leadership, culture, resistance, and acceptance of advice. Those variables will be described with respect to the dependent variable; the relationship of the variables mutually will also be explained in the following paragraphs. 2.3 Leadership

“Leadership is the art of someone to get things done what you want because he wants to” Dwight Eisenhouwer
An aspect that could possibly interface with organizational culture, which is the next variable, and could influence change of the department clinical pharmacy at the Antonius hospital Sneek, is leadership. The leadership style is an important indicator of change. The department clinical pharmacy has one manager, the head of the department. He is supported by team leaders and hospital pharmacists. This manager is responsible for the persons that work within this department. Together those persons form the management team. But there is a difference between leadership and management. According to Robbins and Judge (2012), Management is about coping with complexity. Good management brings about order and consistency. Leadership, in contrast, is about coping with change. Leaders establish direction by developing a vision of the future. This study will focus on the leadership style within the department clinical pharmacy. Many organizations are now confronted with an environment whose needs change rapidly, so organizations need flexible leadership (Bass et al, 2003). This form of leadership by Bass (1985) is described as transformational leadership. He also described another form of leadership, namely the transactional...
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