Determinants of Effective Implementation of Balanced Scored Card

Back ground of the study

A balanced score card is a tool that translates an organization's mission and strategy into a comprehensive set of show measures that provides the framework for a strategic size and management system (Kaplan and Norton, 1992). The common point between the two lists is Kaplan and Norton’s Balanced Scorecard (Kaplan & Norton, 2015).

A Balanced scorecard is a format for describing the activities of an organization through a number of measures for each of four perspectives (Nils-Goran and et.

al, 2003).

According to Niven (2008) “Balanced Scorecard is a carefully selected set of quantifiable measures derived from an organization’s strategy. The measures selected for the scorecard characterize a tool for leaders to use in communicating to workers and external stakeholders the outcomes and performance drivers by which the organization will achieve its mission and strategic objectives in the eyes of financial, customer, internal process and learning and growth perspective”.

BSC was first introduced by Kaplan and Norton posted in the Harvard Business Review Article in 1992.

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At that time, it was new approach to strategic management. Kaplan & Norton recognize some of the fault and uncertainty of earlier performance management approaches. They were demonstrated that balanced scorecard enables organizations to translate their visions and strategies into full objectives and important set of implementation measures. Thus BSC provides education sector view of firm’s on the whole implementation by integrating financial measures with other key performance indicators around customer perspectives, internal business processes and learning and innovation (Kaplan and Norton, 1996).

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Among the sub programs activities of the civil service reform: educating the governance of human resource management /HRM/that is the determinants of effective implementation of BSC is the target area of this research. The balanced scorecard (BSC) performance management system that is tool for change and strategic management system was been implemented in many public sector organizations in Ethiopia (The Ministry of Capacity Building, 2013).

To meet the demand from the education sector and align themselves with the goal of producing knowledgeable and adequate workers, Education sector were have to commonly check that their operation are well managed and constantly transform themselves to meet the requirement of the active world.

In light of these, like all other public sectors, education sector in Ethiopia were be embarking on several reform packages. In the past ten years, several reform agenda was be at work including Result Oriented Performance Management, BPR, BSC and Kaizen. Although these reform tools were be implemented and worked well in education sector, it is also practical to academic sector in Ethiopia for the last some years.

Therefore, this study was be conducting to evaluate determinants of effective implementation of BSC in the case of South Gondar zone Education office.

Statement of Problem

Balanced Scorecard (BSC) is used to plan, implement, monitor and measure the determinants of all factors involved in the effective implementation of the goals and objectives of the sector. It is an incorporated approach to strategic plan, implement, and measure the implementation of all determinant involved. Because of its strategic approach, balanced set of actions and strategic perceptive, BSC was been taken as the most important tool to be implemented in almost all government sector in the country (Civil Service Ministry, 2013).

The need for a changed and healthy business set ups and management was vital for effective of every sector. The public sector are no different for achieving effective and quality through ensuring constant and to date board system service.

The effective implementing reforms at sector level was controlled by several factors both internal and external. Therefore effectiveness and failures in reform request earlier look and understanding by all stakeholders. Some studies were tried to look how BSC has been implemented in government sector particularly education office for relatively shorter time span.

Although its worldwide status and its agreement as a great strategic management tool, a significant number of sectors were encountered different problems when trying to began the Balanced Scorecard in their sector. A majority of sector were have either implemented the BSC without achieving any significant performance improvement, or have neglected it at the implementation stage (Pujas, 2010).

Each woreda needs to identify specific key effective determinant in order to be most important in accordance with its vision. In the implementation of the strategy, education office often encounter obstacles that generally come from the worker. Such gap include resistance to change, lack of commitment, lack of proper communication or the fear of accountability pressures (Sudirman, 2012).

In spite of the several hard work, still the findings on what determinant effective and failure in reform implementation is unclear and mixed. It seems that it has been difficult to generalize on the determinants causing the effective and the failure described in different case studies.

To the best of the researcher’s knowledge and the literatures reviewed, there is no broad empirical study conducted in Ethiopian South Gondar zone four woredas Education offices particularly to investigate the determinant of effective implementation of BSC in strength.

Hence this study tries to fill the gap in this area. The study investigates BSC effective implementation in South Gondar zone four woredas Education offices with special emphasis on determinants of effective implementation of BSC considering from 2003E.C since BSC implemented in Ethiopian public sector.

Objectives of the study

 General objective

The general objective of the study was:

  • To investigate the determinants of effective implementation of BSC in south Gondar zone Education office.

Specific objective

The Study was address the following specific objective :

  1. To investigate the role of top management commitment on effective implementation of BSC.
  2. To examine how proper communication determines effective implementation of BSC .
  3. To examine how team work determines the effective implementation of BSC.
  4. To investigate the impact of change resistance on the effective implementation of BSC
  5. To examine how lack of BSC knowledge determines the effective implementation of BSC.
  6. To examine how performance rewired linkage determines effective implementation of BSC.

The Research Hypothesis

On the basis of the related theoretical literature and empirical findings of determinants of the effective implementation of BSC the following hypotheses has been developed.

  1. Top management commitment has significant determinants of the effective implementation of BSC.
  2. Proper communication has significant determinants of the effective implementation of BSC.
  3. Team work has significant impact on the effective implementation of BSC.
  4. Change resistance has a significant relationship with effective implementation of BSC
  5. Lack of BSC knowledge has significant determinant on BSC implementation.
  6. Performance rewired linkage has significant relationship with effective implementation of BSC.

Significance of the Study

This study was be helpful for the following reasons: BSC has become one of the most important reform implementation tools in the Ethiopian public sector. The objective of BSC was to realize the sect oral vision and objectives; so the finding of this paper has tried to show the relevance of BSC in public sector in general and South Gondar zone Education office in particular. A good understanding of the challenges has helped implementers to better prepare for the effective implementation of BSC. Furthermore, it was added to the existing volume of knowledge regarding BSC implementation, determinants and ways to overcome. Finally the findings might also help to motivate the Education offices to evaluate their getting /work periodically and take corrective action for their deficiencies.

Scope of the study

The study is delimited to investigate determinants determining effective implementation of BSC in the case of Debre Tabor city,Laygaint, Zone and Farta wereda Education offices.This research is limited to a four offices since it is too large and impractical to conduct research more than these offices. Even if all Education offices began implement BSC in their offices but they did not fully implement in their daily activities and this also led to choosing Educational offices among the few that has been started implementing the new philosophy BSC management in South Gondar Zone Education Offices. Furthermore, this study is limited on the most determinants determining of BSC concepts such as, proper communication,top management commitment, teamwork, change resistance and lack of BSC knowledge of the workforce. Since BSC philosophy is being broad and large to be studied in one study as a result a few issues could be selected for this study.

Limitation of the research

To conduct this study there were some limitations. The first limitation was occurrence of coved -19 to gather data from various respondents and different areas of South Gondar Education offices. The second limitation was shortage of time to distribute and to collect quesionare from the selected weredas.

Organization of the research

This study have five chapters. The first chapter deals about background of the study, statement of the problem, objectives, hypothesis, significance of the research, scope of the research, and organization of the paper. The second chapter is pointed overview of theoretical literature, review of empirical evidence and conceptual framework. The third chapter consist the research strategy, Sampling design, sample size, data collection procedure, and data analysis method. The fourth chapter deals about data analysis and discussion of the results. The fifth chapter focuses on the research findings, conclusion and recommendation.

Operational Definition

  • BSC means the shortest form of Balanced score card which means equally measure for efficiently perform activities.
  • Proper communication is a process of sharing information, ideas, thoughts, feelings and emotions through speech, signals, writing, or behavior among employees of a certain organization.
  • Team work- it is grouping method and the process to modify attitude, knowledge, skills or behavior through learning practice to accomplish effective performance.
  • Top management commitment -it is the process of mangers give guidance, leadership, motivation, formulation of policy and any necessary supports to workers.
  • Change resistance– is the contradiction of new activities.
  • Performance reward linkage is regarded as the specific performance of work and effectively accomplish the given task that employees wants to motivation, inicietives, recognition etc
Updated: Oct 11, 2021
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Determinants of Effective Implementation of Balanced Scored Card. (2021, Oct 11). Retrieved from https://studymoose.com/determinants-of-effective-implementation-of-balanced-scored-card-essay

Determinants of Effective Implementation of Balanced Scored Card essay
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