Balanced Scorecard Indicators Dashboard

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Balanced Scorecard Indicators Dashboard – Balanced scorecard was developed to steer the business towards its desired direction. This method of business management was created by Robert Kaplan and David Norton in the early 1990s. They pointed out that businesses at that time based its rate of success only through the financial aspects. They are able to evaluate whether the business is at a profit or loss but there wasn’t a tool used to maintain stability or to guide it towards increased growth. The balanced scorecard is a business management tool used to maneuver business operations towards its goals.

A business’s profit or loss data is an important tool in managing future growth. This information is used in generating a balanced scorecard. For example, if a service oriented company experienced a break-even for the quarter with 60% customer satisfaction on one of its quarterly data, perhaps targeting 90% customer satisfaction on its balanced scorecard will yield more profit. Well this is just a plain example of how this method works. Target scores that result to increased profit are based on the aspects of the business that affects its financial growth the most.

Business organizations can have a holistic benchmark that is applicable to its entirety. However, in order to achieve this benchmark, all departments have to work together towards each desired target. A balanced scorecard keeps these departments or business aspects in check. It’s a set goal for each department and compared against their actual performance. This way, concerned parties are always aware whether or not they are meeting the goals, or if they need daily improvement and how much improvement is needed. This method of business management is a tool that helps unite the whole organization towards cohesive efforts.

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