Balanced Scorecard and ICT Project Management

Balanced Scorecard

- Balanced scorecard is a strategy performance management tool.
- It is a semi standard structured report used by managers to keep track of the execution of activities by the staff within their control and to monitor the consequences arising from these actions.

- The critical characteristics of the balanced scorecard are as follows:
1. It focuses on strategic agenda of the organization.
2. It selects small number of data items to monitor.
3. It uses both financial and non-financial data items.

- It also helps in improving communication and feedback process.

- The areas of consideration of the balanced scorecard are as follows:
1. Financial perspective
2. Business process perspective
3. Customer perspective
4. Learning and growth perspective

- It creates a right balance between the components of organizational objectives and vision.

Need of Balanced Scorecard

1. Increases focus on business strategy and its outcomes.
2. Leads to improvised organizational performance.
3. Align workforce to meet organizational strategy.
4. Targets key drivers of future performance.
5. Improves level of communication.