This can be ascribed to the fact that it is in alignment with many common performance improvement initiatives undertaken by firms such as customer-vendor partnerships, constant improvement, customer satisfaction, etc. It also complements these initiatives by helping the managers understand the interdependencies among different business units of the firm. It also helps identify the tradeoffs and decisions that need to be made to succeed in today’s highly competitive environment. However, like with any other performance measurement concept, the BSC approach has its set of advantages and disadvantages. In this paper, we dive deeper into the pros and cons of this approach which could help the managers understand the trade-offs, benefits and limitations they need to account for prior to buying in on the BSC
Walgreens is a substantial affluence in the United States, as it is one of the leading drugstore chains in the market. Recently, we have looked into bringing the company to Canada in hopes of attaining the same or greater level of success. Walgreens in Canada could be the perfect fit, as the 24 hour availability along with the “one stop shop” experience and convenient prices would be beneficial to the many people living there. The drugstore and pharmaceutical market, location, and culture are all taken into consideration in order to establish if the company would be successful in Canada. The pharmaceutical market size in Canada is $33 billion, with a growth rate of 0.4%.
This approach improves company cost control system by setting standard for each type of cost incurred and then highlighting exceptions or variances. In that case it act as a warning system by alerting potential problem for management. As a result, it allows management to prepare accurate budgets and estimating costs for bidding on jobs and simultaneously a better planning and decision making . Marginal costing provides a clearer picture of the cost over benefit for both consumer and the manufacturer for the greater good in order to help costing saving for consumer and improve company profit maximizing. This approach are appreciate by many company with its simplicity of how it operate and it can combined with other approaches such as budgetary and standard costing without much difficulty.
1. Sales managers are responsible for directing and leading the sales teams. By understanding the personal selling functions we will be an overall better sales force. Sales teams must be able to identify and relate to the roles of the business and sales functions at all times. By correctly managing your sales team you will boost profits and create a more profitable atmosphere.
BPM can be used in the human resources sector to help with vacation and training requests as well as hiring and termination as well as employee performance. By adding BPM into HR actions, business processes can be controlled and organised fast and more efficiently. BPM also ensures that the management has complete access to information needed to make important choices within the business. Another sector where BPM is useful is the finance and purchasing sector. A company 's aim is to maximise profit and ensure appropriate management of financial assets.
Improving customer service will aid in understanding the customer’s needs, therefore, increasing the sales conversion rates. Gogotech will also plan for effective implementation of initiatives. Implementing new initiatives can be a complex and challenging process, but will prove to be beneficial to the company. The following table illustrates the business process perspective of Gogotech’s Balanced Scorecard. Objectives Measures Targets Initiatives FY01 FY02 FY03 Develop New Services % Revenue Growth 6% 8% 12% Custom design services Understand Customer Needs % Profit Growth 4% 6% 8% Improve Customer Service Effective Implementation of Initiatives % of initiatives delivered on time 80% 85% 90% Initiative delivered on
Additional areas the company needs to look at is customer satisfaction, asset utilization, Increase net revenues, Minimizing store production costs, Decrease in unit cost, Increase operating cash flow over prior year , And ultimately to achieve financial sustainability. The way to measure the above objectives is to monitor revenue growth, Operating costs, Earnings per share, Return on capital, Return on interest, and number of returned items in a way that will help management to direct the c... ... middle of paper ... ... & Growth Perspective Strategic Objectives • Recruit and retain a highly skilled workforce • Increase employee satisfaction and retention • Improve organizational trust & teamwork • Improve Use of Technology Performance Measures • Ensure proper organizational learning based on data, outcomes & experience • Proper monitoring, training, and employee happiness • Customer satisfaction • Decrease in employee turnover rate Targets • 100% involvement from all employees Initiatives • Staffing Optimization Analysis • Online Billing Upgrade • Service Training References Wikipedia (May 2009) Balanced scorecard. Retrieved from URL: http://en.wikipedia.org/wiki/Balanced_scorecard Balanced Scorecard Institute (2009) Balanced Scorecard Basics. Retrieved from URL: http://www.balancedscorecard.org/BSCResources/AbouttheBalancedScorecard/tabid/55/Default.aspx
Further, firms will improve its overall profit and competitive by well performing of the profitability analysis of current and future customers, the implementation of customer profitability analysis will be as follow (Wilson & Gilligan, 2005): a. To distinguish the need between customer groups with different value. b. To distinguish the factors that causes difference in the costs
Business Improvement Architect's annual research of project managers at ProjectWorld 2005 in Toronto, Canada indicated that âTraining of Project Sponsors' fifty-eight percent (58%) as something that would benefit them most to improve their ability to manage a project. As well they said they would benefit from 'Communication Skills' (42%) and âLeadership Skills' (36%). These knowledge areas have increased in importance over previous years. (Figure 1) Migrating from Crisis to Controlled environment is the need of this Era and it can be achieved by Synergistic Project Management. Several research studies indicate that organizations are in a crisis with respect to how projects are managed.