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Balanced Score Card
This is a popular approach in current management thinking which consists of a variety of indicators both financial and non-financial. The balanced scorecard concentrates on four various perspectives:
Customer Perspective:
What do existing and latest customers value from us? This perspective gives rise to target which matter to customers e.g. cost, quality, delivery, inspection of goods, and handling of goods or customers.
Internal Perspective: What processes should we excel at to attain our financial and customer objective? This perspective therefore aims at improving internal processes and decision making.
Innovation and learning:
Can we continue to enhance and produce future value? This perspective considers the business capacity to maintain its competitive position through the acquisition of new skills and development of new products. The organization must set targets which will emphasize continuous change in customer needs such as the percentage of sales derived from new products. Comparing with establish ones and the long-term investments undertaken.
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