BALANCED SCORECARD 2
Supply Chain Discussion Reply
Randy, your discussion post on the trends in supply chain management was very well-
written and informative. Supply chain management can be very complex as it involves several
links in the chain that can span4many organizations in various countries. Integrating information
technology (IT) into supply chain management practices has contributed to a double impact on
profits by increasing value and reducing costs (Meredith & Shafer, 2023).
Supply Chain Digitalization is an advancement in which several tools, such as big data,
advanced analytics, and automation, are integrated into the supply chain to optimize its
performance4(Zhao et al., 2023). Digitalization refers to the collection of data across the supply
chain. Advanced analytics combines the levels of analytics, including statistics, machine
learning, and optimization. Zhao et al. (2023) found that in addition to reducing costs and
increasing value, supply chain digitalization also significantly accelerates the growth of resilient
supply chains.
According to Shakibaei et al. (2023), humanitarian supply chains have significantly
benefited from digitalization. Humanitarian supply chains must be able to function during natural
disasters and face additional challenges that commercial supply chains would not have to
address. Using aggregate data and advanced analytics allows organizations to better prepare for
various natural disasters. For example, machine learning models and artificial intelligence (AI)
can be programmed to develop possible solutions depending on whether the natural disaster is a
fire, flood, or earthquake. These models can assist managers in making more effective decisions
to minimize travel distance, time, and4cost, determine staffing requirements, and ultimately save
lives (Shakibaei et al., 2023).
BALANCED SCORECARD 4
Annotated Bibliography
Boehme, T., Aitken, J., Turner, N., & Handfield, R. (2021). Covid-19 response of an additive
manufacturing cluster in Australia.Supply Chain Management,26(6), 767-
784.4https://doi.org/10.1108/SCM-07-2020-0350
Hegazy, M., Hegazy, K., & Eldeeb, M. (2022). The balanced scorecard: Measures that drive
performance evaluation in auditing firms.Journal of Accounting, Auditing &
Finance,37(4), 902-927.4https://doi.org/10.1177/0148558X20962915
Humphreys, K. A. (2023). The balanced scorecard: Do managers need a strategy map when
evaluating performance?Accounting and Finance (Parkville),63(4), 4357–
4373.4https://doi.org/10.1111/acfi.13097
Jassem, S., Zakaria, Z., & Che Azmi, A. (2022). Sustainability balanced scorecard architecture
and environmental performance outcomes: A systematic review.International Journal of
Productivity and Performance Management,71(5), 1728-
1760.4https://doi.org/10.1108/IJPPM-12-2019-0582
Meredith, J. R., Shafer, S. M. (2023). Operations and Supply Chain Management for MBAs,
8th Edition. [[VitalSource Bookshelf version]]. Retrieved from vbk://9781119898641
Mio, C., Costantini, A., & Panfilo, S. (2022). Performance measurement tools for sustainable
business: A systematic literature review on the sustainability balanced scorecard
use.Corporate Social-Responsibility and Environmental Management,29(2), 367-
384.4https://doi.org/10.1002/csr.2206
New International Version Bible. (2024). Https://Biblegateway.com. (Original work published
1978)
BALANCED SCORECARD 5
Rahman, H. U., Raza, M., Afsar, P., Khan, H. U., & Nazir, S. (2020). Analyzing factors that
influence offshore outsourcing decision of application maintenance.IEEE Access,8, 1-1.
https://doi.org/10.1109/ACCESS.2020.3029501
Tawse, A., & Tabesh, P. (2023). Thirty years with the balanced scorecard: What we have
learned.Business Horizons,66(1), 123-132.4https://doi.org/10.1016/j.bushor.2022.03.005
The author explores whether the inclusion of strategic information and maps can enhance
organizational managers' ability to utilize the BSC effectively. The effect of managerial
understanding of strategic causal relationships in measures is discussed. The author
identifies a bias when measuring performance with the BSC. Managers tend to give more
importance to performance metrics measured across divisions; this downplays measures
exclusive to individual divisions. However, introducing strategy maps and strategic
information has mitigated this bias4in their performance evaluations. One of the most
significant findings of the research was that adding strategy maps can play an essential
role in enhancing strategic comprehension for better decision-making.
The authors discuss sustainability, the SBSC, and how it evolved from the legacy BSC. The
SBSC was based on the traditional BSC but integrates additional components related to
sustainability like environmental, social, and governance (ESG). The study discusses
some of the determinants of implementing an SBSC, including sustainability strategy,
stakeholder influence, organizational culture, size, and structure. The authors found that
using an SBSC improves sustainability reporting, enhances stakeholder engagement,
addresses their concerns, and improves transparency. Studies also found that
organizations that use an SBSC tend to perform better in resource efficiency, cost
BALANCED SCORECARD 6
reduction, and social responsibility. The SBSC provides a broader view of
performance4and short-term financial4and long-term sustainability goals.
The authors discuss the development of the BSC framework4specific to auditing firms. The BSC
was developed using five measures: learning and growth, internal business, clients,
processes, finance, and audit-related perspectives of corporate ethics. The study was
conducted using a combination of surveys, descriptive analytics, and confirmatory
analysis. The goal of the new BSC was to improve the firm’s performance under
regulatory auditing standards. Because auditing firms observe performance rather than
the quality of outputs, the BSC was developed to address those key factors. The study
found that using the proposed SBC would improve performance and develop a better
understanding of performance drivers and strategies that could give them a significant
competitive advantage.
The authors discuss the history of the BSC as a strategic tool for managing and implementing
organizational strategies. The BSC is a critical framework for aligning organizational
activities with its vision and strategy by measuring performance beyond legacy financial
measures. The authors discuss the origin and evolution of the BSC, its impact on
business, its adaptability, and its future potential. The BSC has proven adaptable to
various types of organizations, contributing to its widespread adoption. Government
agencies, private companies, and non-profit organizations have globally adopted the
BSC. The BSC has also contributed to the strategic alignment across organizations by
linking objectives, goals, and key performance indicators.
The researchers discuss the sustainability balanced scorecard (SBSC) and how it relates to
environmental outcomes and performance. They found that SBSC is used in the main
BALANCED SCORECARD 7
configurations SBSC - 4 and SBSC - 5. The first configuration integrates sustainability
into the existing four components of the BSC. The second configuration measures
sustainability as a fifth standalone measurement. The SBSC was born out of a need to
satisfy stakeholders, governments, and public opinion. As people become more aware of
environmental challenges, more pressure is put on organizations to operate sustainably.
Many organizations are now giving sustainability as much importance as other measures,
as it can indicate short-term success and4long-term survival and growth.
Powered by TCPDF (www.tcpdf.org)
