Question

What are the four perspectives of the balanced scorecard? Briefly describe each.

Short answer

• How are we seen by our shareholders?
• What do consumers think about us?
• Which business process must we excel at in order to meet our customers' and financial goals?
• How can we maintain our progress and add value?

Step-by-step solution

Meaning Balanced Scorecard

Companies use a balanced scorecard as a vital arranging system to arrange their activities, merchandise, and administrations, communicate around their destinations, and plan their ordinary operations.

Four perspectives of the balanced scorecard

There are four approaches to the Balancing Scorecard: commerce, financial, customer, and internal learning and development.

1. The financial perspective helps managers decide how they appear to their shareholders.
2. Managers can evaluate how customers view us using the customer's perspective.
3. The theme of "Which commerce process must exceed expectations to achieve customer and financial goals" is from an inside company perspective.
4. "How can we move forward to create and strive for value?" The issue of assessment is designed from the point of view of learning and development.