Entrepreneurs Use a Balanced Scorecard to Translate Strategy into Performance Measures
Although 50 percent of Fortune 1000 companies currently use a balanced scorecard (BSC), few small businesses are using a BSC. A review of the literature finds no BSC papers in leading small business/entrepreneurship journals. This article begins with a discussion of the BSC and why a small business should use it. Three small to medium-sized enterprise (SME) case studies are presented, with a copy of their BSC, to illustrate how Hyde Park Electronics, Futura Industries, and Southern Gardens Citrus use a BSC to set strategy and align operations to achieve breakthrough results. Implications are, that like large businesses, SMEs can also benefit from using a BSC. Entrepreneurs of SMEs can use the case studies to develop their own BSC to improve performance. Implications for practice and research are discussed.
Gumbus, A., Lussier, R. R. (2006). Entrepreneurs use a balanced scorecard to translate strategy into performance measures. Journal of Small Business Management, 44(3), 407-425. DOI: 10.1111/j.1540-627X.2006.00179.x
(Contributions to Practice)