Course Material: Dr. Raina's "What Is A Balanced Scorecard (BSC) and Why We Need to Build It?"

What is Balanced Scorecard?

A Balanced Scorecard—often abbreviated as “BSC”— is a strategy management framework that includes four perspectives of your strategy:?Financial, Customer, Internal Process, and Learning and Growth.?We'll dive deeper into examples of each perspective below. The Balanced Scorecard referred to as the BSC, is a business-performance?management tool?that is developed for strategic decisions. That’s why it’s known as well as a strategic management tool.

Dr Raina’s Balanced Scorecard Excel Template?will help you to follow up on your strategic decisions based on reasonable performance metrics and professional design.

Above all, tracking a Balanced Scorecard can help manage feedback, and the learning process, determine the target figures and provide information on the chosen strategy. Furthermore, there are numerous potential benefits of Balanced Scorecard tracking such as evaluating employees’ work performance, identifying strengths and weaknesses, and goal settings for the future.

Basically, to manage your business more professional, we’ve focused on the most used 40 metrics in 4 main groups:

We have divided the course material in 10 modules.

Module 1: Introduction to the Balanced Scorecard

1.1 Overview of the Balanced Scorecard (BSC) framework

1.2 Importance of performance measurement and management

1.3 Four perspectives of the Balanced Scorecard: Financial, Customer, Internal Process, and Learning and Growth

1.4 Objectives, measures, initiatives, and action items in the BSC framework

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Module 2: Financial Perspective

2.1 Understanding the financial perspective in the BSC

2.2 Examples of financial objectives in various industries

2.3 Key financial measures and their significance

2.4 Designing initiatives to achieve financial objectives

Financial Perspective

Examples of financial objectives in various industries:

a) Increase annual revenue by 10%

b) Achieve a 20% return on investment (ROI)

c) Improve cash flow by reducing accounts receivable days

d) Decrease operating expenses by 15%

e) Increase profit margin by 5%

Key financial measures and their significance:

a) Revenue growth rate

b) Gross profit margin

c) Return on investment (ROI)

d) Operating income

e) Cash flow from operations

Designing initiatives to achieve financial objectives:

a) Launch a new product line to generate additional revenue

b) Implement cost reduction measures in the supply chain

c) Develop and implement a pricing strategy to increase profit margin

d) Improve working capital management to enhance cash flow e) Invest in research and development to drive innovation and market growth

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Module 3: Customer Perspective

3.1 Exploring the customer perspective in the BSC

3.2 Identifying customer objectives and their importance

3.3 Measuring customer satisfaction and loyalty

3.4 Strategies to improve customer relationships and value proposition

Customer Perspective

3.1 Examples of customer objectives:

a) Increase customer satisfaction ratings by 10%

b) Achieve a net promoter score (NPS) of 9 or above

c) Improve customer retention rate by 15%

d) Enhance customer loyalty and advocacy

e) Expand market share in target customer segments

Measuring customer satisfaction and loyalty:

a) Customer satisfaction surveys

b) Net promoter score (NPS)

c) Customer retention rate

d) Customer complaints and resolution time

e) Market share growth in target segments

Strategies to improve customer relationships and value proposition:

a) Personalize customer experiences through data-driven marketing

b) Enhance customer service and responsiveness

c) Develop and launch customer loyalty programs

d) Conduct market research to understand customer needs and preferences

e) Strengthen brand reputation and differentiation

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