Implementing the Balanced Scorecard to Align It and Business Strategy

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Implementing the Balanced Scorecard to align IT and Business Strategy

Contents

1 Introduction 1
1.1 Balanced Scorecard – an overwiev 1
1.2 Course of investigation 1
2 Balanced Scorecard for a better performance 2
2.1 Three key problems 2
2.2 System of Balanced Scorecard 3
3 Components of Balanced Scorecard 4
3.1 The purpose of the implementation 4
3.2 Four Perspectives 4 3.2.1 Customer perspective 5 3.2.2 Financial and economic perspective 5 3.2.3 Internal process perspective 6 3.2.4 Learning and development perspective 6
3.3 Role allocation 7
3.4 Core elements 7
3.5 Strategy Maps 7
4 Implementing the Balanced Scorecard 9
5 Aligning IT and business strategy 9
6 Final Conclusion 10
7 References 11

Introduction
Balanced Scorecard – an overwiev
Basically, the Balanced Scorecard is a kind of specification, presentation and prosecution of organization strategies. It then translates those strategies into concrete performance indicators, targets and processes. There is a linkage of data with the causes and interactions. Balanced Scorecard is a business concept that has received in recent years so much attention like no other. Worldwide, companies of all sizes and industries deal with the implementation of this approach.

Course of investigation
First, the three basic problems are discussed, which the Balanced Scorecard tries to solve. Then, an overview of the system of the Balanced Scorecard will be presented. This is followed by a detailed explanation of each component of the Balanced Scorecard. Subsequently, the implementation process will be explained and the particularities that arise in the implementation through the alignment of IT with business strategy. Finally, there is a general conclusion.
Balanced Scorecard for a better performance
Three key problems
The Balanced Scorecard helps organizations to manage three key problems: performance measurement (the collection of financial performance

References: Becker, Brian E., Huselid, Mark A., Ulrich, David, The HR Scorecard, (Boston, Business Scholl Press, 2001) Hovráth & Partners, Balanced Scorecard umsetzten, 3 Kaplan, R.S, Norton, D.P., Balanced scorecard. Strategien erfolgreich umsetzten. (Stuttgart, dt Übersetzung von Peter Hovrath, 1997) Müller, Armin, Strategisches Management mit der Balanced Scorecard, (Stuttgart, Verlag W Niven, Paul R., Balanced Scorecard; Arbeitsbuch, 2. Auflage (Weinheim, WILEY-VCH, 2009) Niven, Paul R., Balanced Scorecard Diagnostics; Maintaining Maximum Performance (New Jersey, John Wiley & Sons, 2005) [ 3 ]. Hovráth, Balanced Scorecard umsetzen, 2004, 2 [ 4 ] [ 5 ]. Niven, Balanced Scorecard; Arbeitsbuch, 2009, 25 [ 6 ] [ 7 ]. Becker / Huselid / Ulrich, The HR Scorecard, 2001, 34 [ 8 ] [ 9 ]. Niven, Balanced Scorecard; Arbeitsbuch, 2009, 39 [ 10 ] [ 11 ]. Niven, Balanced Scorecard; Arbeitsbuch, 2009, 65 [ 12 ] [ 13 ]. Kaplan / Norton, Balanced scorecard, 1997, 63 [ 14 ] [ 15 ]. Müller, Strategisches Management mit der Balanced Scorecard, 2005, 122 [ 16 ] [ 17 ]. Müller, Strategisches Management mit der Balanced Scorecard, 2005, 123 [ 18 ] [ 19 ]. Müller, Strategisches Management mit der Balanced Scorecard, 2005, 115 [ 20 ] [ 21 ]. Müller, Strategisches Management mit der Balanced Scorecard, 2005, 104 [ 22 ] [ 23 ]. Niven, Balanced Scorecard; Arbeitsbuch, 2009, 107 [ 24 ] [ 25 ]. Müller, Strategisches Management mit der Balanced Scorecard, 2005, 85 [ 26 ] [ 27 ]. Niven, Balanced Scorecard; Arbeitsbuch, 2009, 198 [ 28 ] [ 29 ]. Kaplan / Norton, Balanced scorecard, 1997, 13 [ 30 ] [ 31 ]. Müller, Strategisches Management mit der Balanced Scorecard, 2005, 144 [ 32 ] [ 33 ]. Niven, Balanced Scorecard; Arbeitsbuch, 2009, 183 [ 34 ]