The AEO status as a source of competitive advantage

2018 ◽  
Vol 30 (5) ◽  
pp. 591-606 ◽  
Author(s):  
Thierry Houé ◽  
Eileen Murphy
Keyword(s):  
Competitive Advantage ◽  
Balanced Scorecard ◽  
Decision Support Tool ◽  
Theoretical Background ◽  
Content Type ◽  
Support Tool ◽  
The Balanced Scorecard ◽  
Global Logistics ◽  
The Creation ◽  
Freight Forwarder

Purpose Faced with increasing competition, the ability to secure and optimise global logistics operations should be regarded as a competitive advantage. In the context of the hitherto little explored field of security and safety programmes, the purpose of this paper is to examine how an Authorised Economic Operator (AEO) certificate may affect the creation of a competitive edge for a freight forwarder. Design/methodology/approach By using the resource-based view as a theoretical background and a qualitative analysis using an interview grid inspired by the balanced scorecard, this research identifies resources and capabilities linked to the AEO certification. Findings The findings show two specific groups of resources that contribute to the creation of a competitive advantage. The first category is a process-type resource obtained through the AEO certification, which leads to more formalised and better-executed processes. The second relates to the freight forwarder’s knowledge, know-how and relational skills. Research limitations/implications This research is developed in a logistics service provider context. It should be equally applied in other contexts and with other methods to provide generalisability. Practical implications Considering its contribution to an area of study currently under research, the findings may be useful to practitioners as a decision support tool to assess the value of the AEO certification. Originality/value This paper comes in the context of a yet little explored field, despite practitioners’ questions about custom certifications.

The fate of the balanced scorecard: alternative problematization and competing networks

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tharusha N. Gooneratne ◽  
Zahirul Hoque
Keyword(s):  
Control Systems ◽  
Balanced Scorecard ◽  
Actor Network Theory ◽  
Management Control ◽  
Sri Lankan ◽  
Specific System ◽  
Content Type ◽  
The Balanced Scorecard ◽  
Study Approach ◽  
System Data

Purpose This paper aims to report on an empirical investigation of the fate of the balanced scorecard (BSC) approach in an organization. Design/methodology/approach Building on actor-network theory and using a qualitative case study approach, this study analyses how across time certain actors attempted to build a competing network in the organization to gain support for their underlying rationales for replacing the BSC with a budgeting system. Data were collected using interviews, observations and archival data from a Sri Lankan commercial bank. Findings This paper finds that despite the enthusiastic journey with all its potentials to be a sustainable accounting innovation, the attraction towards the BSC innovation by the organization appeared to be temporary because the BSC knowledge claims that were advanced by its promoters had not been widely accepted by those involved in the practice. Such a consequence of innovation diffusion appeared to be the result of the failure of the innovation promoters in coordinating the heterogeneous interests of various actors involved in the practice. This study concludes that the BSC failed to be sustained, amid varying ideologies and interests of powerful actors across time and opponent actors’ perceived deficiencies in its adapted design attributes. Research limitations/implications Although the findings relate to a Sri Lankan case, they offer important insight into how parallel, competing networks advocating different control systems may exist in an organization, and that the sustainability of a specific system may depend upon the efforts and the relative power of the advocators of that system. Practical implications This paper sheds useful insights for practitioners on the effective implementation of accounting innovations and managing management control systems in organizations amid tensions associated with competing networks. Originality/value The outcomes enhance the knowledge of how multiple networks operating in an organization could compete with one another, with the result that one network may fall apart while another network gains prominence in the corporate landscape across time, amid varying interests of key actors, their actions and interessement devices used.

Institutional contradiction and BSC implementation: comparative organizational analysis

2019 ◽  
Vol 27 (3) ◽  
pp. 414-440 ◽  
Author(s):  
Nizar Mohammad Alsharari ◽  
Riyad Eid ◽  
Ali Assiri
Keyword(s):  
Balanced Scorecard ◽  
Relevant Literature ◽  
Implementation Process ◽  
Successful Implementation ◽  
Organizational Analysis ◽  
Accounting Systems ◽  
Content Type ◽  
The Balanced Scorecard ◽  
Exploratory Investigation ◽  
Dialectical Perspective

Purpose This paper aims to explain institutional contradictions in the balanced scorecard (BSC) implementation process between organizations, which successfully implemented BSC. The purpose of this paper is to identify a comprehensive set of potential determinants influencing the successful implementation of BSC. Design/methodology/approach This study is an exploratory investigation into the BSC implementation based on a dialectical perspective. It uses the triangulation of data collection including interviews, documents and surveys. This also includes a comprehensive scrutiny of the relevant literature; a comprehensive analysis of case studies of BSC implementations in four organizations; and interviews and documents evidences that have already implemented or are in the process of implementing BSC. Findings The BSC was successfully implemented in the organizations, when the accounting systems introduced in these organization had already been institutionalized, that is, accepted and used on day-to-day basis. The dialectical perspective postulates that for change to become institutionalized in the organization, it needs to overcome the problem of embedded agency. This process of change is possible due to the accumulation of institutional contradiction that enables human praxis to introduce change (Seo and Creed, 2002). Research limitations/implications There is a need to empirically test and refine the proposed factors and explore relationships among the various variables by collecting data from organizations that have already implemented BSC. Practical implications The findings of this study are important and relevant to all the different-sized organizations in the different sectors and industries. This study also makes a significant contribution to society in general. Originality/value This paper contributes to the literature on organizational and accounting change that emphasis the crucial role that institutional contradiction plays in the process of BSC implementation. The findings of this study will help management in making crucial decisions and in resource allocations that are required to make the BSC implementation a success.

scholarly journals IMPLANTAÇÃO DO BALANCED SCORECARD EM UMA INDÚSTRIA DE CERÂMICA VERMELHA

2018 ◽  
Vol 7 (2) ◽  
pp. 72
Author(s):  
Célio Gomes de Lima Júnior ◽  
Julianne das Chagas Gomes ◽  
José Guilherme Said Pierre Carneiro ◽  
José Sarto Freire Castelo
Keyword(s):  
Strategic Management ◽  
Balanced Scorecard ◽  
Management Tool ◽  
Management Model ◽  
Managerial Control ◽  
Management Tools ◽  
The Balanced Scorecard ◽  
The Creation ◽  
Ceramics Industry ◽  
Red Ceramics

A implantação de ferramentas de gestão, como o Balanced Scorecard (BSC), envolve mudanças no controle gerencial de uma empresa em diversos aspectos, pois enfatiza a comunicação de estratégias e a criação de uma nova metodologia para o controle de desempenho. O objetivo deste estudo é realizar uma análise crítica sobre a aplicação do Balanced Scorecard em uma indústria de cerâmica vermelha, a partir da construção e da implementação dessa ferramenta de gestão em uma cerâmica localizada no município de Russas, Ceará. O estudo de caso revelou a necessidade de rever a gestão estratégica da empresa, em virtude da criação de mecanismos eficientes de alimentação dos indicadores pertencentes ao mapa estratégico, de modo a refletir sobre a situação da mesma, e por fim, garantiu que os gestores e funcionários estivessem alinhados com o modelo de gestão estratégica recém-implantado, a fim de que seja possível obter as vantagens propiciadas por este modelo de gestão. IMPLEMENTATION OF BALANCED SCORECARD IN A RED CERAMICS INDUSTRY ABSTRACT The implementation of management tools such as the Balanced Scorecard (BSC) involves changes in the managerial control of a company in several aspects, as it emphasizes the communication of strategies and the creation of a new methodology for performance control. The objective of this study is to perform a critical analysis on the application of the Balanced Scorecard in a red ceramics industry from the construction and the implementation of this management tool in a ceramics located in the municipality of Russas, Ceará. The case study revealed the need to review the strategic management of the company due to the creation of efficient mechanisms to feed the indicators belonging to the strategic map, in order to reflect on the situation of the company, and finally ensured that managers and employees were aligned with the newly implemented strategic management model, in order to obtain the advantages provided by this management model.

Use balanced scorecard for measuring competitive advantage of infrastructure assets of state-owned ports in Indonesia

2018 ◽  
Vol 37 (2) ◽  
pp. 114-126 ◽  
Author(s):  
Nurdjannah Hamid
Keyword(s):  
Data Collection ◽  
Competitive Advantage ◽  
Balanced Scorecard ◽  
Asset Management ◽  
Mediation Effect ◽  
Structured Interviews ◽  
Average Growth ◽  
Content Type ◽  
Holistic Understanding ◽  
The Relationship

Purpose The purpose of this paper is to analyze the balanced scorecard (BSC) for measuring the competitive advantage of infrastructure assets of state-owned port in Indonesia: Pelindo IV, Makassar, Indonesia. Design/methodology/approach This investigation adopts an explanatory and exploratory qualitative case study method to analyze the effectiveness of the BSC over the strategy management processes. For data collection, the researchers used semi-structured interviews, direct observation and document collection. Data collection was made for a six-month period, which allowed deep knowledge to be gained of the culture and management methods used in Pelindo IV Makassar Branch. Other data collected refer to the company’s documentation and reporting of online media publications. Detailed interview data were the main data sources, allowing the authors to obtain a detailed and holistic understanding of the experience, opinions, and attitudes of the interviewees. Interviews focus on asset management to determine the relationship between various factors. This study adopts an ideal BSC principle (four perspectives) in order to develop a strategic map for infrastructure assets of Pelindo IV. Findings The results showed that the management performance of Pelindo IV in the financial sector over the next five years was expected to increase by 3.5 times with the business profit reaching an amount of Rp.1.64 trillium in 2017. In the next five years, the target of the customer’s perspective set was zero complaints and zero claim with waiting time meeting the ideal standard, which is a maximum of one-hour service, and the number of containers were expected to witness an average growth of 30 percent per year; the growth ship traffic visit history showed that the flow of goods increased by 4 percent and the number of passengers was targeted to grow up to 30 percent. A historical growth rate of 6 percent was also expected both for the human resources and personnel scout. Originality/value In this paper, the Sobel test was used to test the significance of a mediation effect and balanced scorecard was used for measuring competitive advantage of infrastructure assets of state-owned ports in Indonesia. Previously, no research has been undertaken to examine the relationship between the location of the study and competitive advantage of infrastructure assets in the context of PELINDO IV, Makassar branch, Indonesia.

Factor analysis for balanced scorecard as measuring competitive advantage of infrastructure assets of owned state ports in Indonesia

2018 ◽  
Vol 60 (2) ◽  
pp. 386-401
Author(s):  
Nurdjanah Hamid
Keyword(s):  
Factor Analysis ◽  
Competitive Advantage ◽  
Balanced Scorecard ◽  
The Other ◽  
Competitive Advantages ◽  
Content Type ◽  
Internal Process ◽  
Financial Perspective ◽  
Customer Perspective ◽  
Process Perspective

Purpose This paper aims to investigate the factor analysis for balanced scorecard (BSC) as measuring competitive advantage of infrastructure assets of owned state ports in Indonesia: Pelindo IV, Makassar, Indonesia. Design/methodology/approach This investigation adopts an explanatory and an exploratory qualitative case study method to analyze the effectiveness of BSC over the strategy management processes. For data collection, the researchers have used semi-structured interviews, direct observation and document collection. Data collection was made during a six-month period, which allowed gaining of deep knowledge on the culture and management methods used in alpha. Other data collected refer to the company’s documentation and reporting of online media publications. Detailed interview data are the main data sources, which allow obtaining of a detailed and holistic understanding of the experience, opinions and attitudes of the interviewees. Interviews focus on asset management to determine the relationship between various factors. This study adopts ideal BSC principle (four perspectives) to develop strategic map for infrastructure asset of Pelindo IV. Analysis tools using factor analysis for the indicators (financial, customer, learning-growth and internal process) measure the competitive advantages. The data for factor analysis from the perception of each stakeholder using questionnaire are collected. Findings The competitive advantages of Pelindo IV depend on 81.2 per cent from financial perspective, customer perspective, internal process perspective and learning perspective, and 18.2 per cent from the other factor. The result of measurement model of competitive advantage in Figure 2 is significantly (p-value < 0.05) measured by financial perspective performance, customer perspective performance, internal process perspective performance and learning perspective performance. On the basis of the highest coefficient loading factor, it can be shown that the most powerful competitive advantages are measured by learning perspective. The high value of competitive advantage of Pelindo IV, Makassar, Indonesia, is especially seen from the learning perspective performance. The order result of BSC for measuring the competitive advantages is as follows: learning perspective performance, financial perspective performance, customer perspective performance and internal process perspective performance. Originality/value Originality of this study looks at the following three points: first, the measurement competitive advantages. Previous studies used measurements of cost leadership strategy, differential strategy and focus strategy as competitive advantages measuring (Porter, 1985; Warf and Stutz, 2007; Clulow et al., 2003). This study uses BSCs with four indicators (financial perspective result, customer perspective result, internal process perspective result and learning perspective). Second, on the other hand, several studies have investigated the BSCs as performance measurement (Ozturk and Coskun, 2014; Malgwi and Dahiru, 2014; Binden et al., 2014). Third, this study uses the factor analysis to measure the competitive advantage by BSCs, which is different from the previous study analysis.

Sustainable recovery for digital entrepreneurs with shared resources: enablers, challenges and solutions

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ajay Jha ◽  
Rohit Sindhwani ◽  
Ashish Dwivedi ◽  
Venkataramanaiah Saddikuti
Keyword(s):  
Decision Support Tool ◽  
Emerging Economy ◽  
Sharing Economy ◽  
Shared Resources ◽  
Content Type ◽  
Support Tool ◽  
Study Approach ◽  
Criteria Weights ◽  
Topsis Technique ◽  
Sustainable Recovery

Purpose The purpose of this study is to identify important criteria for sustainable recovery of digital entrepreneurship from distress situation using shared resources. During pandemic disruption, the importance of sharing economy in managing business efficiency is reflected through this research. Design/methodology/approach The present study advances the knowledge on shared resources in business by integrating case study approach with multi criteria decision-making (MCDM) model. A fuzzy analytic hierarchy process approach is adopted to compute criteria weights, and a fuzzy technique for order performance by similarity to ideal solution (TOPSIS) technique is used to rank the sharing economy entrepreneurial ventures during COVID-19 pandemic in the context of emerging economy. Findings The present study identified five most important enablers (technological innovation, technology expertise, convergence of virtual and physical spaces, collaboration rather than competition, and benefits to underserved groups through transparency) for sustainable recovery of sharing economy ventures in emerging economy. For example, the study highlights online tutoring through shared intellect as the most sought after sharing economy venture during pandemic disruption, which fulfills the identified enablers. Practical implications The proposed framework provides an accurate decision support tool to rank the various identified potential enablers of sharing economy during disruptions. Further, the approach is practically relevant to sharing economy entrepreneurs in selecting the best approach to recover sustainability during pandemic. Originality/value The study is unique in addressing the need of sustainability for digital ventures via sharing economy approach in emerging economy (India). To develop a conceptual framework, the present study incorporates a case based approach together with the hybrid MCDM model. Further, the extant literature on disruptions is enhanced by prioritizing the enablers for sharing economy during pandemic.

Sustainable Competitive Advantage With the Balanced Scorecard Approach

2019 ◽  
pp. 1415-1428
Author(s):  
Jorge Gomes ◽  
Mário José Batista Romão
Keyword(s):  
Strategic Management ◽  
Competitive Advantage ◽  
Organizational Performance ◽  
Balanced Scorecard ◽  
External Factors ◽  
Sustainable Competitive Advantage ◽  
The Balanced Scorecard ◽  
Fundamental Goal ◽  
The Subject ◽  
Internal Sources

Why are some firms more successful than others? This question has been intensely debated by strategic management researchers over the last 30 years. Competitive advantage is recognized as being the major cause for explaining top organizational performance and is a fundamental goal of academic strategic management studies. Recently, there has been an increasing amount of empirical research on the subject of competitive advantage and about distinguishing competitive advantage from organizational performance. The relevance of competitive advantage is not simply determined by external factors, but also by those internal sources that have been considered critical for successful organizations.

scholarly journals Performance measurement for supply chains in the Industry 4.0 era: a balanced scorecard approach

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Guilherme Francisco Frederico ◽  
Jose Arturo Garza-Reyes ◽  
Anil Kumar ◽  
Vikas Kumar
Keyword(s):  
Supply Chain ◽  
Performance Measurement ◽  
Supply Chains ◽  
Balanced Scorecard ◽  
Industry 4.0 ◽  
Theoretical Perspective ◽  
Performance Measurement System ◽  
Content Type ◽  
The Balanced Scorecard ◽  
Performance Measurement Systems

PurposeThe purpose of this paper is to present a theoretical approach based on the balanced scorecard (BSC) with regard to performance measurement – PM in supply chains for the Industry 4.0 era.Design/methodology/approachThis paper combines the literature of PM and specifically the BSC with the literature related to the dimensions of supply chain in the context of Industry 4.0.FindingsDimensions extracted from the literature based on supply chains within the context of Industry 4.0 showed a strong alignment with the four perspectives of the BSC, which make it suitable to be considered as a performance measurement system (PMS) for supply chains in this new context.Research limitations/implicationsFrom theoretical perspective, this study contributes to the limited literature on PM for supply chains in Industry 4.0 era. The study proposes a supply chain 4.0 Scorecard and strongly support researchers to conduct future empirical researches in order to get a deeper understanding about PM in supply chains in the Industry 4.0 era. As limitations, the theoretical framework proposed needs further empirical research in other to validate it and obtain new insights over the investigation conducted and presented into this paper.Practical implicationsPractitioners can use this study as a guide to develop more effective performance measurement systems – PMSs in their organizations.Originality/valueThis research is unique as it addresses a significant knowledge gap related to PM in supply chains in the Industry 4.0 era. It brings a significant contribution in terms of understanding how to measure performance in supply chains in this new era.

Exploring integrated reporting in the banking industry: the multiple capitals approach

2019 ◽  
Vol 20 (1) ◽  
pp. 165-188 ◽  
Author(s):  
Federica Doni ◽  
Mikkel Larsen ◽  
Silvio Bianchi Martini ◽  
Antonio Corvino
Keyword(s):  
Balanced Scorecard ◽  
Banking Industry ◽  
Natural Capital ◽  
Balance Sheet ◽  
Innovative Approach ◽  
Structured Interviews ◽  
Integrated Reporting ◽  
Content Type ◽  
The Balanced Scorecard ◽  
Trade Offs

Purpose The purpose of this paper is to investigate the engagement with integrated reporting (IR) of the Development Bank of Singapore (DBS), as one of the banks that pioneered IR. Banking industry members face critical sector-specific issues regarding the use of capitals, especially the disclosure of relational and natural capital-related information, and reporting of the outcomes of capitals. This study examines an innovative approach to accounting for multiple capitals adopted by DBS during its journey toward IR. Design/methodology/approach This empirical research follows the case study method, using semi-structured interviews with DBS’s managers, and analyzing reports and other documentation. Findings The authors find that DBS re-conceptualizes, re-categorizes and measures multiple capitals as a form of non-financial value using the balance sheet approach to make visible the interactions and potential tensions (trade-offs) among capitals. Research limitations/implications Case studies are best used to understand a specific context, so the findings of this study cannot be generalized statistically. However, the study does provide insights into the banking industry that may be applicable to other organizations. Practical implications The categorization and reporting of multiple capitals using the balance sheet approach and the integration of the balanced scorecard are innovative operationalizations of the International <IR> Framework. Originality/value This study provides an innovative approach to the categorization and measurement of multiple capitals. It represents a step toward reducing the gap between research and practice on IR.

Strategy maps: the essential link between the balanced scorecard and action

2015 ◽  
Vol 36 (2) ◽  
pp. 34-40 ◽  
Author(s):  
Rainer Lueg
Keyword(s):  
Balanced Scorecard ◽  
Strategy Execution ◽  
Content Type ◽  
Strategy Maps ◽  
The Balanced Scorecard ◽  
Top Managers ◽  
Action Strategy ◽  
Recent Developments ◽  
Balanced Scorecards ◽  
Strategy Map

Purpose – The purpose of this paper is to show how the use of Strategy Maps substantially improves the implementation success of balanced scorecards (BSC). The BSC is supposed to translate strategy into action. Strategy maps support this by showing cause-and-effect chains. But what does this mean for strategy execution in practice? To achieve better BSC implementations, the author uncovers pitfalls and names the remedies. Design/methodology/approach – The author summarizes the most important findings from initially over 1,000 studies that have dealt with the BSC from 1992 to 2012. Findings – BSC implementations that use a sophisticated Strategy Map appear to be successful. Strategy maps foster a better understanding of the BSC among employees, create greater commitment and less resistance and are superior to the BSC itself in communicating how to achieve strategic goals. Also, strategy maps facilitate managers’ evaluation of the relevant environment. Nevertheless, the common measure bias is a usual pitfall: top managers have a tendency to use their own strategic targets as a yardstick for lower-level employees. Originality/value – This paper helps managers understand the most recent developments on strategy maps. In particular, the author highlights that causalities do not exist in organizations in the same way as there are “laws” in physics. Instead, organizations need to customize their BSC to their way of doing business.

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