Frieda’s Fizz Balanced Scorecard Analysis

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Frieda’s Fizz Balanced Scorecard Analysis
Brenau University

Abstract
A balanced scorecard is a tool to provide management a way to bridge the gap between the organization’s strategy and vision and the operational processes used to do business. It enables the company to look at more than just the financial targets, but to include nonfinancial measures such as customer service, internal business processes and more. These intangible measures provide better focus on the organization’s long-term strategies. This paper is an attempt to analyze Frieda Fizz decision to utilize a balanced scorecard as they expand into new geographic areas. The strengths and weaknesses of each perspective are discussed along with the pros and cons of using such an approach. It is recommended that Frieda Fizz use this tool through its expansion phase, keeping in mind that whether such an approach succeeds or not depends on organizational support and continual review of its objectives and measures.

Frieda’s Fizz Balanced Scorecard Analysis
Introduction
A balanced scorecard is a tool to provide management a way to bridge the gap between the organization’s strategy and vision and the operational processes used to do business. It enables the company to look at more than just the financial targets, but to include nonfinancial measures such as customer service, internal business processes and more. These intangible measures provide better focus on the organization’s long-term strategies.
Background
The vision of Frieda’s Fizz is “To proudly produce and sell extraordinarily smooth, rich, and delicious soft drinks to satisfy kids of all ages” (Eldenburg & Wolcott, 2011, p. 660). The company has chosen to implement a balanced scorecard to help with their plan of geographic expansion. They have chosen the following scorecard measures:
Financial Perspective
Breakdown of manufacturing cost per case: ingredients, direct labor, packaging materials, and overhead
Operating profit per



References: Eldenburg, L., & Wolcott, S. K. (2011). Cost management: Measuring, monitoring, and motivating performance (2nd ed.).Hoboken, NJ: John Wiley.

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