Why Dynamic Balanced Scorecards?Member News
Here I would like to shed light on the importance of using a dynamic balanced scorecard in lean industry 4.0 environment. In many organisations measuring and improving strategic performances is a challenge. In order to improve strategic performance, we can use the Coputerised Balanced Scorecard (CBSC) technique. Computerised balanced scorecards help organisations to digitally visualise business key performance indicators such as safety, quality, delivery, cost, inventory, people productivity and many more.
It is a conceptual framework for translating an organisation’s strategic objectives into a set of performance indicators distributed among four perspectives: Financial, Customer, Internal Business Processes, and Learning and Growth. Some indicators are maintained to measure an organisation’s progress toward achieving its vision; other indicators are maintained to measure the long term drivers of success. Through the balanced scorecard, an organisation monitors both its current performance (finance, customer satisfaction, business process results) its efforts to improve processes, motivate, educate employees, and enhance information systems—its ability to learn and improve.Scorecard can be used in product strategies and competitive environments require different scorecards. Business units devise customised scorecards to fit their mission, strategy, technology, and culture. In fac a critical test of a score- card's success is its transparency. The scorecard measures, an observer should be able to see through to the business unit's competitive strategy.