Balance Scorecard Monitoring and Evaluation

1. Balance Scorecard
Presented by:
Aishwarya Swaroop- 22020021
Pravee Agrawal- 23093135
Vinay Chandak- 22020804
Roopam Kharbanda- 22020080

2. Introduction
The Balanced Scorecard is a strategic management framework used by organizations to
monitor and manage performance across key areas of their operations. It's essential because
it provides a comprehensive view of performance and helps align strategic objectives with
operational activities.

3. Objective of Balance Scorecard :
• Comprehensive Performance Evaluation
• Alignment of Objectives
• Strategic Focus
• Communication and Transparency
• Continuous Improvement

5. Financial Perspective:
Objective: Achieve sustainable financial growth and profitability.
 Revenue Growth Rate: Year-over-
year increase in total revenue.
 Net Profit Margin: Percentage of
revenue that translates into net profit.
 Cost-to-Revenue Ratio: Operating
expenses as a percentage of total
revenue.
Measures
 Invest in new product
development to drive revenue
growth.
 Implement cost optimization
measures across operations.
 Explore new market opportunities
to diversify revenue streams.
Initiatives
 Revenue Growth Rate: 8-10%
annually.
 Net Profit Margin: Maintain above
20%.
 Cost-to-Revenue Ratio: Below 75%.
Targets

6. Customer Perspective:
Objective: Enhance customer satisfaction and brand loyalty.
 Customer Satisfaction Score
(CSAT): Rating based on
customer feedback surveys.
 Brand Loyalty Index: Percentage
of repeat customers and brand
advocates.
 Product Quality Metrics: Defect
rates, warranty claims, and
product return rates
Measures
 CSAT: Maintain a score of
90% or higher.
 Brand Loyalty Index:
Increase by 5% annually.
 Product Quality Metrics:
Keep defect rates below
1%.
Initiatives
 CSAT: Maintain a score of 90%
or higher.
 Brand Loyalty Index: Increase by
5% annually.
 Product Quality Metrics: Keep
defect rates below 1%.
Targets

7. Internal Processes Perspective:
Objective: Improve operational efficiency and innovation.
 Research & Development (R&D)
Spending: Investment in innovation
and product development.
 Time to Market: Duration from
product conceptualization to
market launch.
 Supply Chain Performance: On-
time delivery, inventory turnover
ratio, and supplier satisfaction.
Measures
 Strengthen collaboration between
R&D and marketing teams to
streamline product development
processes.
 Implement advanced inventory
management systems to optimize
supply chain efficiency.
 Foster partnerships with suppliers
to improve supply chain resilience
and sustainability.
Initiatives
 R&D Spending: Increase by
10% annually.
 Time to Market: Reduce by
20% compared to previous
product cycles.
 Supply Chain Performance:
Achieve 95% on-time delivery
and reduce inventory turnover
time by 15%.
Targets

8. Learning and Growth Perspective:
Objective: Develop and retain a skilled, innovative workforce.
 Employee Training Hours:
Average hours of training per
employee annually.
 Innovation Index: Number of
new patents filed and employee
engagement in innovation
initiatives.
 Employee Satisfaction Index:
Score based on internal surveys
and feedback.
Measures
 Offer comprehensive training
programs to employees to enhance
skills and knowledge.
 Establish innovation labs and
forums to encourage idea
generation and collaboration.
 Implement employee wellness
programs and career development
initiatives to boost job
satisfaction.
Initiatives
 Employee Training Hours:
Increase by 15% annually.
 Innovation Index: Achieve a 20%
increase in patent filings and
innovation project participation.
 Employee Satisfaction Index:
Maintain a score of 85% or higher.
Targets

9. Implementation Process
• Establish strategic goals for every viewpoint.
• Determine the pertinent KPI’s and objectives.
• Create efforts to accomplish goals.
• Put reporting and measuring procedures in place.

10. Conclusion
• A tool for strategic management.
• Financial and non-financial metrics.
• Helps businesses in making decisions.
• Promote performance enhancements.

11. Thank You