Balanced Score Card Essay Example | Topics and Well Written Essays - 500 words

Balanced Score Card - Essay Example "The aspects that the scorecard contains should be quantifiable or measurable. This is because it would be difficult to interpret something that cannot be measured in the first place." (Metrics, Scorecard, KPI's Measure Tools 2008). It could be seen that although financial parameters are seen as measuring tool of performance, there are now other aspects also which are equally critical in terms of customers, employee satisfactions, innovative methods, quality, quantum of sales, etc. The fundamental truth behind the Balance Score Card is to ensure that " that no single measure can provide a clear performance target or focus attention on all the critical areas of business, they proposed the concept of a Balanced Scorecard as a more sophisticated approach for meeting these shortcomings." (Pienaar & Penzhorn, 2000, pp.202-209). Just as financial ineptitudes could bring down a company, in the present context it is seen that even fall in sales, loss of goodwill, quality issues, etc could spell disaster for the company. at cannot be measured in the first place.