Question

We are all familiar with fast food operations. Research how balanced scorecard is used in the fast food operation or other chosen industries. Your posting should be a discussion of balanced scorecards considering any or all the question below:

• Discuss how the implementation of the Balanced Scorecard changed the way organizations focused on different measures.
• Why was the process to create measures for the scorecard “painful”?
• What were the challenges with selecting measurements for a balance Scorecard?
• How would an organization use Balanced Scorecard and save time in developing one for itself?

If you have worked for an organization that adopted the balanced scorecard concepts, share your personal experiences with us.

Answer 1

Since I am asked to discuss how balanced scorecard is used in fast food operation or other chosen industries considering any of the questions below, I chose the first question.

The balanced scorecard originated in the business world as a tool to measure performance.It is a way to measure the performance of the business and to see whether goals are achieved.Traditionally business were concerned only on earning profits and on cost efficiencies.So the single focused approach to measure performance was replaced by the balanced scorecard which measured performance from all perspectives ie financial, customer and internal . So focussing on these measures from all perspectives is known as balanced scorecard.The basic perspectives of the balanced score card are mission level perspective,customer perspective,internal process perspective,learning and growth perspective.

Example-Fast food restaurant --Burger King---balanced scorecard.

BurgerKing's overall goal--its mission is to sell maximun number of burgers.By measuring only this in the traditional way, Burger King could asses business only from the mission level perspective.

The next is the customer level perspective and decide what would sell more burgers .So customer demand should be catered.

Next is internal process perspective which says that servers must deliver food efficiently with a smile.

Last is learning and growth perspective where servers are trained in latest techniques.

All these factors work together to achieve the missin of Burger King. So the business gets a clear picture of where improvement is needed to achieve its goal.