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10 Lessons for Every "Shoestring" Entrepreneur
Starting a business requires adequate capital. However, many entrepreneurs are finding that capital alone is not a guarantee for success. Some businesses start out with millions in the coffers, yet end up in the dumps. While a few businesses with...
10 Tips For Managing Your Time
10 Tips For Managing Your Time
By Mark Wardell
1. Plan the following day at the end of each day. This is the
time your mind is most clear. If you try to plan your day in the
morning, you become distracted by your e-mail, your...
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...
Small Business Q & A: The Business Autopsy: A Fact Of Life
Last week we discussed the importance of performing an autopsy on a dead business. No, I haven't been watching too many of those wonderfully graphic, TV forensic investigation shows. The reason I recommend you do a business autopsy is to uncover the...
Your 7 Minute MBA
I wish you a Happy & Prosperous New Year!
This PVT is short, with a few links to help you launch your new year.
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Can you answer these 10 questions to help you build your business dream?
Listen...
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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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