In this article as well as your reading this week the balanced score card is exp
ID: 447910 • Letter: I
Question
In this article as well as your reading this week the balanced score card is explained: http://www.tutorialspoint.com/management_concepts/the_balanced_scorecard.htm . One of the best tools a manager has is a balanced score card. Remember our bowling alley manager from week 5? Explain how the use of a balance score card could help him to measure and possibly improve his problem. How does the score card approach fit in to the control function of management? Be specific and attempt to think through the manager’s problem using the scorecard. How can it potentially fix the turn over problem he has in the branch?
(Just so you don’t have to keep going back to week five)
You are the manager of the northern branch of the Laurel City bowling alleys. The owner, Jill Espy, has 4 other bowling alleys around town. The average employee assigned to the concession stand of all the Laurel City bowling alleys lasts 3 years. However, in your branch the average employee lasts only 8 months. Jill is concerned about this huge discrepancy and wants to know your explanation for the difference and what you can do to correct the problem. Training new employees is costly to the company and this high turnover is costing her money that could be better spent elsewhere.
Explanation / Answer
Explain how the use of a balance score card could help him to measure and possibly improve his problem.
The fourth perspective of the balanced scorecard - Learning and Growth Perspective, focus over the driving factors like employee satisfaction, employee retention and knowledge management. Owner Jill Espy can deploy balanced scorecard where improving employee job satisfaction should be the primary objective of Learning and Growth Perspective. The target should be improving procedures, and providing effective supervision. Empowerment and Management support will be the initiative directed in the balanced scorecard. With the help of defined objectives, measures, targets, and initiatives Jill will succeed in reducing the high turnover rate.
How does the score card approach fit in to the control function of management?
HR Policies effect employee satisfaction, and with all the four perspective in sight, management can define the control function focusing primarily over the Learning and Growth perspective for improving employee retention rate and reducing turnover rate.
Balanced scorecard will improve the fairness of the recruitment and performance evaluation control function, which can be a potential reason of a dispute. Employee’s satisfaction is also driven by the involvement and job rotation of employee, which can be improved with the balanced scorecard approach. In order to improve the learning, job rotation can be one of the objectives of fourth perspective and the target will be reducing turnover rate.
How can it potentially fix the turn over problem he has in the branch?
Turnover rate is a financial indicator which makes it an objective of Financial Perspective and it’s also an indicator of Learning and Growth Perspective because the turnover rate also depends over culture, leadership and skill sets. With the help of balanced scorecard, management can define financial objectives to reduce the high turnover rate, and it can also measure the current turnover rate. In the fourth perspective, management can define objectives of changing work culture, or leadership (supervisors, team leaders) that will help in reaching the objective of reducing high turnover rate.
How can a manager be assured or measure work that is performed when the employee may be 5,000 miles away?
Evaluating the onsite employee’s performance is quite challenging for the HR and management teams. For better evaluation and assuring employees meet the desired standard, KPIs should be defined at the individual level. KPI defined in a quantifiable metrics will help manager in reviewing the targets achieved and it will also help in aligning employee’s goal with the KPIs for better career growth (Mind Tools, 2015).