Question

Using examples from published news sources to illustrate your answer, describe how balanced scorecards and benchmarking are used to effectively control organisational processes. 250 words or less

Answer 1

A balanced scorecard is a tool for strategy performance management that helps managers to track the execution of activities by the workforce and to monitor the consequences of performing these activities through a semi-standard structured report. The process of Benchmarking is the practice of comparing the performance metrics of one company against the bests of other companies.

These two tools help in effectively controlling organizational processes by providing a strong framework by building and communicating an effective strategy with all stakeholders. They facilitate the identification of performance outcomes and key drivers to create a complete picture of the strategy. They also help in improving the alignment of projects and initiatives by mapping them to focus on achieving strategic objectives. They also facilitate better management information and improve performance reporting and management reporting. The use of balanced scorecard has shown that the organizations using it tend to report higher quality and are better at making decisions. The use of benchmarking can prove to be successful because it shows how and why certain companies have a competitive advantage in the market and force the organization to be in such a stage where it itself improves and gains competitive advantage and dominates the market to achieve market supremacy.