1. Balance Scorecard methodology (BSC)
2. Oracle Balance Scorecard implementation (OBSC)
3. Benefits and Business Impact
Balance Scorcard methodology
The Balances Scorecard methodology measures performance using four perspectives:
• Financial Perspective
• Customer Perspective
• Internal Business Process Perspective
• Learning and Growth Perspective
The Balanced Scorecard methodology assumes that the financial perspective includes lagging indicators, and that management’s attention should be focused on the underlying factors that drive those indicators. In the Balanced Scorecard methodology, the customer, internal business processes, and learning and growth perspectives all combine to drive financial performance. It is important to understand how the financial perspective is related to the other Balanced Scorecard perspectives. The customer perspective drives the financial perspective because customers buy a company’s products and services, and they are, ultimately responsible for the company’s financial success. The internal business process perspective supports the customer perspective because the company must be well run in order to satisfy its customers. The learning and growth perspective impacts the internal process perspective because the employees must continually re-educate themselves and learn the best processes to run the company. Together, the four Balanced Scorecard perspectives represent a typical conceptual grouping of measures, however, measures can also be grouped by objective, organizational unit, or function. Additional perspectives can be added depending on the organization’s environment and strategic goals; or the names of perspectives can be changed to better reflect the organization and its values.
Oracle Balance Scorecard
Oracle Balanced Scorecard is a strategic management application that is based on the Balanced Scorecard methodology. It enables companies to measure performance by representing their strategy in scorecards that are supported by objectives and KPIs. Conceptually, each strategy can be broken down into one or more scorecards. Each scorecard contains a set of objectives that you can use to judge the performance of the scorecard. In turn, each objective can be supported by several KPIs. Within Oracle Balanced Scorecard, each scorecard can be represented by several views. Each view lists the objectives that belong to the scorecard. You can drill on each objective to view an objective report which provides detailed information about the objective and the KPIs that support the objective. If you drill from the Custom View you can also drill to other views, applications, or URLs.
Benefits and Business Impact: measurement, control, leading activities, translated strategy to objectives, leaded HRM, Peformance management, sustanaibility, time management.