Benefits and Advantages of the Balanced Scorecard

a.     Benefits of Balanced Scorecard

Measurement of company performance with Balanced Scorecard analysis can provide benefits to the enterprise, that is including the following:

1.     Balanced Scorecard can determine and communicate the strategy and direction will be pursued by the company.

2.      Balance Scorecard performance measurement emphasizes the combination of financial and non financial, resulting in management remains focused on internal business processes as a whole and provide assurance that the actual operating performance of the ongoing long-term strategy aligned the company and the customer desires.

3.     The existence of the company Balance Scorecard allows managers to assess how they do the creation of the division at this time while considering the interests in the future. So who is expected not only short-term planning, but also have to think long term.

4.      With the Balanced Scorecard, allows the manager to assess what they have invested in the development of human resources, systems and procedures for improving performance in the future.

b.     Excess Balanced ScorecardBalance scorecard is one of the methods of strategic planning. Compared with other methods, has the advantages of balance scorecard:

1.     Can serve as a tool to communicate the strategy among stakeholders of a organisasiyaitu management, employees, shareholders, customers and the community environment by using the balance scorecard. Stakeholders to conduct a review of strategies to achieve them.

2.      Balance scorecard enables organizations to map all of the major factors that exist within the organization whether it be physical or non physical.

3.     Enables organizations to find out strategies developed in the implementation process.

Advantage Balanced Scorecard

Balanced Scorecard as a tool to measure the performance of the company has the following advantages are:

a.     The existence of balance between the log indicator and lead indicatorsBalanced Scorecard using performance benchmarks "the past" (log indicators / outcome measures) to measure the achievement of goals and use performance benchmarks (lead indicator / measure of the trigger results) to measure the causes of achievement outcome measures.

b.     Balanced Scorecard a balance between long-term goals and short term. The balance scorecard method there is a balance between short-term goals (financial perspective) and long-term goals (customer perspective, internal business processes and learning and growth)

As said Mulyadi (2000: 14) mentions that Balance Scorecard has an advantage in two aspects:

a.     Significantly improve the quality of planning Good planning is a reflection of good management and planning of good that promise good results. Thus every creation tool that can improve the quality of planning, would improve the management, and as a result will promise to improve outcomes.

b.     Improve the quality of personnel performance management Performance management of personnel intended to increase the accountability of personnel in the use of various resources in the company's vision through the mission selection.

sumber : peneltian ilmiah "Analisis Kinerja Perusahaan dengan Menggunakan Metode Balanced Scorecard (BSC) pada PT. Bank Rakyat Indonesia. Tbk”