Question

A). The board of directors of ClariMak, a manufacturing enterprise has tasked its management to develop a new mission statement that details the enterprise’s line of business, market size and niche. The new mission statement reads: “We want to continually grow through our commitment to quality and delivering quality products to our customers”. In addition, the management of ClariMak developed the following set of vision statements to complement the mission statement:

• Provide superior returns to our shareholders
• Continually improve our business processes
• Delight our customers
• Learn from our mistakes and work smarter in the future

Required:
i) Explain how the Balanced Scorecard can assist ClariMak Ltd to deliver on its new mission

statement [16 marks]

Answer 1

clarimart ltd have a new mission, lets look at how the balanced scorecard approach will help the business to achieve its objective.

balance scorecard is a top-level management metric used to identify and improve a various elements of the business which helps the business to achieve its organizational objective.the balanced scorecard focus on 4 metrics and involves measuring four main aspects of a business: learning and growth, internal business process, customer, and finance.

there are various mission statements for clarimart Ltd, lets use a balanced scorecard to evaluate this performance.

provides superior returns to shareholders.

we talked about different perspectives used in the balanced scorecard. the above mission statement comes under financial perspective in a balanced scorecard.the financial health and the return to shareholders come under this perspective.it helps the management to evaluate the financial area of business.

continually improve our business process.

the internal business perspective looks at how smoothly your business is running.efficencyt and effectiveness is an important criterion here.so, improving the business process comes under the internal perceptive of a balanced scorecard.

delight our customer

another perspective that comes under the balanced scorecard is customer perspective.and the above mission statement correlates with this perspective. this focuses on the people who actually buy the product and services .customer satisfaction is the key criterion here.

to learn from our mistakes and work smarter in the future

the mission statement above comes under learning and growth in the balanced scorecard. this perspective looks at the overall growth and corporate culture.