Balanced Scorecard and its Application

Balanced Scorecard (BSC) is a useful tool for both manufacturing and service organizations. Many organizations in insurance sector of Pakistan were using BSC but without having any delegated staff and unit on its implementation. If organizations set and educate specified unit and staff on its implementation, BSC will help in improving performance because it ensures customers and employees satisfaction which is the key for survival and success. BSC is a long term performance and profit maximization tool as it focuses simultaneously on all of the four perspectives such as financial, customers, business processes and employees. In insurance sector of Pakistan the most important factor highlighted by respondents was customer satisfaction. Financial performance, business processes and learning and growth of employees were ranked second third and fourth respectively. An important finding of this thesis was that the term BSC was new for old aged employees in insurance companies because it was not a part of their curriculum during degree courses. But now BSC is being emphasized in academics as a part of curriculum and research problem to business students.