Management Motivation for Implementing the Balanced Scorecard in Indian Banking Sector

Author: Sanjeev Kumar

Abstract:
Performance measurement and management system plays an important role in evaluating the strategic performance of the organization. Many managers agree that their measurement systems do not adequately perform this function. In the recent years, performance measurement has become a hot topic, and has witnessed continuous development and modifications by academicians and practitioners. The structural changes and emerging trends associated with the new open environment have rendered the traditional financial performance measures which concentrate only on financial performance (ignoring the non-financial aspect) ineffective. The interest in this topic is triggered by growing criticism of financial measures use in the performance measurement and management system. A shift towards Balanced Scorecard (BSC) has emerged as a managerial approach to evaluate strategic performance of the organization. The successful application of BSC does not come from vacuum; rather top management of the banks should demonstrate its commitment to the adoption of BSC.

Keywords:BSC, PMS (Performance Measurement System), Private and Public Banks

DOI:

International Journal of Trade & Commerce (Vol: 4 Issue:1)