Question

Case Study in Balance Scorecard

Ajinomoto is a food processing company listed in Bursa Malaysia. Ajinomoto (Malaysia) Berhad started its business operations in 1961 as AJI-NO-MOTO® Monosodium Glutamate (MSG) producer. It is one of the very first Japanese companies to be set up in Malaysia. Ajinomoto (Malaysia) Berhad has since grown into a dynamic food and seasoning manufacturer marketing diverse brand name that is trusted by Malaysian for decades.
The company is committed to protect and improved the environment in all areas of the company’s operations. We also dedicated to provide a safe and healthy workplace environment to all employees and those related to our operation activities.
Due to the company’s commitment on environment and financial performance, the company decides to implement Balance Scorecard to measure both financial and non financial measurement for the year 2021.

You are required to prepare a report to the Board of Directors covering the following;

(b)You are required to link the company’s long term budget to Balance Scorecard using the information as provided in the latest financial statement in Bursa Malaysia.
      

The link must cover the following;

(i)Research into new products
(ii) Existing and future markets for current and new products.
(iii) Production processes for new products.
(iv) Resources for production such as raw materials, labour, automation machineries using artificial intelligence.
(v) Logistic resources required.
(vi) Any other existing changes can be made to improve the company’s profit and services to the local community

Answer 1

Balanced Scorecard display's organisation's performance into four dimension namely

1.Financial perspective,

2.Customer perspective,

3. Internal Business persepctive, and

4. Learning & Growth persepctive.

The four dimension acknowledge the interets of shareholders, customers and employees taking into account of both long-term and short-term goals.

Ajinomoto is a food processing company listed in Bursa Malaysia. Ajinomoto (Malaysia) Berhad is into a dynamic food and seasoning manufacturer marketing diverse brand name that is trusted by Malaysian for decades.

Ajinomoto is primarily concerned with learning and growth by research into new products, new production processes and also operational efficiency—both increasing their output and decreasing production costs by using AI. Some of the ways they can achieve these goals are by creating correctly-priced goods, ensuring their products can be easily obtained by customers, and manufacturing the right assortment of goods, among other things. Manufacturers also typically place a large emphasis on safety, and so implement many related goals and metrics.

Another Format for Balance Scorecard is

	Components
Perspective		Objectives	Measures	Targets	Initiatives
Financial
Customer
Internal Processes
Learning & Growth