Quality Management & Standardization Individual Assignment

– Journal Article Review –Lecturer: Prof. Ir. Syamsir Abduh , MM, Ph.D

BY: Yvonne Wangdra – 222141511 –

Score

95

PurposeThe purpose of this article is to;• Provide an overview of five important areas of Balanced Scorecard (BSC) research:

1. Conceptual evolution2. Adoption and diffusion3. Implementation and use4. Performance effects5. Critical perspectives

• Suggests fruitful areas for further research

“The Balanced Scorecard: A Review of Five Research Areas” Madsen, D.Ø & Stenheim, T. (2015). American Journal of Management, 15(2), 24-41.

Findings The article discusses current trends and emerging issues in the BSC literature and suggests fruitful areas for further research. The following are the findings provided in this article:1. Provide information concerning the evolution of BSC over the course of the first two decades2. Supply side actors, such as consultants and conference/seminars organizers , of the BSC Concept play an

important role. They are important drivers of the diffusion process. Supply side actors customized the BSC according to the local market preferences, and play different roles depending on the instances they work in (business media/academics).

3. Demand side of the BSC concept views BSC as an important management tool, which is used to improve performance measurement practices or strategic control.

4. BSC can be customized to fit an organization’s needs and characteristics5. BSC has interpretive space, which leads itself to different interpretations and use in practice6. A lot of critics on BSC’s conceptual and theoretical issues related to the assumptions of causality

“The Balanced Scorecard: A Review of Five Research Areas” Madsen, D.Ø & Stenheim, T. (2015). American Journal of Management, 15(2), 24-41.

Provide clear reviews on Five Typologies of BSC Use

Table 2 provide the different views stated by researchers about the use of BSC. One explanation of this inconsistency is that these articles were published at different points in time. In different situation, the needs of measurement would have been different. For instance, The study of Speckbacher et al. (2003) was carried out when strategy maps were still relatively unknown in practice.The evolution and knowledge of BSC Concept has made organisations more inclined to adopt and implement BSC. Furthermore, increase in experiences of BSC implementation has also increased organisations’ urge to implement BSC.

“The Balanced Scorecard: A Review of Five Research Areas” Madsen, D.Ø & Stenheim, T. (2015). American Journal of Management, 15(2), 24-41.

Drawbacks• Due to the lack of evidence, the paper has not clearly state a clear role the supply- and demand-sides play in

shaping adoption behavior in relation to the BSC.

Added values• Provide suggestions on fruitful areas for further research in Balanced Scorecard;

• Research on adoption and diffusion of BSC• Obtain more knowledge about the perceived benefits and problems associated with BSC use• More insight into how to successfully implement BSC

• Because most of extant research has focused on problems and failed implementations of BSC• Literature on the use of BSC in SMEs• Cross-national comparative studies of BSC use

• Examine patterns in term of adoption, diffusion, and implementation in different countries• Provide better view of BSC Concept from the perspectives of previous researchers.

Article References

Article References