The Balanced Scorecard is a management tool that can be used to help keep track of the overall performance of an organization. It allows managers to see where they stand in terms of achieving their objective by tracking a suite of metrics or key performance indicators (KPIs) and can also help them identify ways to improve organizational performance. By tracking key performance indicators like revenue, cost savings, and customer satisfaction, managers can ensure that they are making progress toward their objectives.

The Balanced Scorecard is designed around four perspectives; Financial, Customer, Internal Processes and Learning & Growth. Within each perspective, an organization defines their strategic objectives and links those objectives in a cause and effect relationship which tells the strategic story of the objective. For each objective, a series of key performance indicators are define to track progress towards achieving the objective along with a series of tasks to complete in the achievement of the objective.

Since its creation in 1991 by Robert Kaplan and David Norton, it has been one of the most widely used tools in business today and when used effectively, it can be an incredibly powerful tool for decision-making and alignment across the organization.

For many firms, the implementation of the Balanced Scorecard is