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Business Plans- What Consultants Don’t tell You!
Copyright 2005 Empower Business Solutions Do you have a Business Plan? Congratulations, but you are in a small minority. And if you have a plan, is it integral to your business, and instrumental to its growth? If the answer to this question is yes,...
Change May Be Your Ace in the Hole
Whether it has been thrust upon you by external market forces or it has simply bubbled up from the internal dynamics of your enterprise, change itself always presents opportunity for improvement. And in a knowledge based economy, change may be the...
Finding And Keeping Good People
As the competition for talented people picks up, forward thinking managers need to assess how they are positioned to keep their good people and attract some more.
Get the basics right
People who have choices, and good people normally do, look...
How to Develop Multiple Streams of $100,000+ Home Business Income
Got a home business? Want a six-figure income? The sure route to home business wealth is to think "multiple," as in multiple streams of income. You can easily develop new income streams if you do two things: * find new ways to get customers; *...
SELL A BUSINESS 10 STEPS TO MAXIMIZE SELLING PRICE
You started your company 20 years ago “in your garage”, worked many 80 hour weeks, bootstrapped your growth, view your company with the pride of an entrepreneur, and are now considering your exit. The purpose of this article is to help you evaluate...
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Balanced Scorecard, Strategic Planning
The Balanced Scorecard deals with effective business performance measurement and implementing strategic planning.
Balanced Scorecard approach is a well documented management approach developed by a group of people from Fortune 500 companies under the guidance of Dr. Robert S. Kaplan, the Arthur Lowes Dickinson Professor of Accounting at the Harvard Business School.
This business strategy planning or objective is mapped into performance metrics in four perspectives: customer, financial, internal processes, learning and growth. The business performance is measured based on the above perspective. The balance scorecard is one of the best key business performance measuring concepts. I come across balanced scorecard software which I would like to share with you.
Balanced Scorecard
The idea is to create metrics that will give you a holistic view of your company and that are linked to your strategy. It will make sure you measure financials (as you still do need the money, but also keep an eye on how your customers perceive you, the internal processes that are critical to your success and the knowledge and resources needed to sustain your business model.
Suppose that building relationships with your customers is the vital aspect of your industry. Then, the success of your company lies in its ability to create a competitive advantage in term of customer relationship. Does
a financial performance measure such as return-on-investment or operating profits, really tell you how good your ties to your customers are?
While managers still require financial measures to assess the overall health of the company, they also need measures that could reflect more directly their strategic performance and long-term vision. The concept of the Balance Scorecard was developed to provide managers with this tool. The Balance Scorecard is a comprehensive framework that translates the company's strategic objectives into a coherent set of performance measures. Those measures span across four different perspectives: the financial perspective is complemented with a customer perspective, an internal perspective and an innovation and learning perspective.
The vision of the company's future is at the core of the building process of the Balance Scorecard. The sets of measures developed in each of the perspectives are direct translations of the company's strategic objectives. Therefore, managers do not only have a clear picture of the company's past performance They now also have the means to evaluate where its stands in term of its strategic objectives, and how well positioned it is to face future challenges. To know more about balance scorecard
http://isds.bus.lsu.edu/cvoc/learn/bpr/cprojects/spring1998/bsm/
Source: www.isnare.com
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