Performance measurement system implementation using Balanced Scorecard and statistical methods

摘要

Purpose - The purpose of this study is twofold: first, to design and implement a performance management system using third-generation Balanced Scorecard (BSC) and statistical methods in an Iranian black carbon producer (Company A) to achieve its main strategy and vision; and second, to compare and evaluate some strategic measures of the company against those of a leading company in this industry in Iran (Company B) and those of a Thai company (Company C) to identify any possible gaps, so that the management of Company A can move toward filling such gaps. Design/methodology/approach - The strategic objectives of the company as well as the measures of each perspective of the BSC were determined. In addition to studying all related documents of the company and conducting interviews, two self-administered questionnaires were designed and distributed amongst a total of 24 managers or experts in the company. Statistical methods were used to select strategic objectives and measures. Findings - This paper illustrates how the use of a combined approach of statistical methods and BSC could help organisations to design and implement a sound performance measurement system. Also the result of the comparison with the two companies previously mentioned revealed that the case company is lagging in most of the measures, necessitating the execution of necessary initiatives on these measures to fill the existing gaps. Practical implications - The paper establishes the basis for integrating and using statistical methods for selection of strategic objectives and measures of BSC and paving the way for implementation of a performance management system, particularly the third-generation BSC. Originality/value - This study integrates statistical methods and third-generation BSC techniques to design and implement a performance measurement system in an Iranian black carbon production company.