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.

Sustainable Competitive Advantage With the Balanced Scorecard Approach

2018 ◽  
pp. 5714-5725 ◽  
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 thirty years. Competitive advantage is recognised 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 (Ray et al., 2004; Newbert, 2008) and about distinguishing competitive advantage from organisational performance (Powell, 2001). 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 organisations.

How the Balanced Scorecard Helps Improve Business Performance and Gain Sustainable Competitive Advantage

2017 ◽  
Vol 7 (2) ◽  
pp. 44-61 ◽  
Author(s):  
Jorge Gomes ◽  
Mário Romão
Keyword(s):  
Strategic Management ◽  
Competitive Advantage ◽  
Organizational Performance ◽  
Economic Performance ◽  
Balanced Scorecard ◽  
Business Performance ◽  
Sustainable Competitive Advantage ◽  
Research Focus ◽  
The Balanced Scorecard ◽  
Fundamental Goal

When a firm sustains profits that exceed the average for its industry, the firm is said to possess a competitive advantage over its rivals. So, why do some companies outperform others? This question has been intensely debated by strategic management researchers over the last decades. Several authors point out three broad explanations: (1) the mistakes made by some firms create advantages to others; (2) firms that exploit market power gain advantages over others; (3) firms with special capabilities gain advantages over others. Competitive advantage is recognised as being the major cause for explaining top organizational performance and is a fundamental goal of academic strategic management studies. More recently, the research focus goes to an expanded view of the concept, the sustainable competitive advantage (SCA), highlighting the idea that some forms of competitive advantage are very difficult to imitate and can therefore lead to persistent superior economic performance. This article aims to show how a Balanced Scorecard (BSC) can contribute to achieve SCA. It also collects a set of useful information related to several areas that have used this framework as a support to improve the performance of their organizations. Researchers, managers and practitioners recognize the virtues and potentialities of the BSC concept, although some critiques are also referenced.

Gaining Sustainable Competitive Advantage

2018 ◽  
Vol 3 (1) ◽  
pp. 13-26
Author(s):  
Jorge Gomes ◽  
Mário Romão
Keyword(s):  
Competitive Advantage ◽  
Organizational Performance ◽  
Balanced Scorecard ◽  
Customer Value ◽  
Competitive Advantages ◽  
Sustainable Competitive Advantage ◽  
Resource Based View ◽  
The Balanced Scorecard ◽  
Fundamental Goal ◽  
Academic Management

Competitive advantage (CA) arises from a firm's attributes that allow one firm to create better customer value than others. Organizations of all sectors of the economy believe that sustainability is a way to achieve a differential advantage. CA is recognised as being the major cause for explaining top organizational performance and is a fundamental goal of academic management studies. There are two main views about obtaining a stable competitive position in the marketplace; The theory of industrial organization, re-introduced by Porter in the 1980s arguing that competitive advantage is caused by environmental opportunities. The resource-based view, which argues that every company creates its own competencies and capabilities can result in competitive advantages. The article shows how the balanced scorecard (BSC) can assist organizations in obtaining sustainable competitive advantage (SCA). The BSC development is a response to the criticism of traditional forms of accounting assessment. Academics and practitioners recognize the benefits of adopting the BSC concept.

scholarly journals AN INVESTIGATIVE STUDY ON SUSTAINABLE COMPETITIVE ADVANTAGE OF MANUFACTURE COMPANIES IN INDONESIA

2020 ◽  
Vol 21 (2) ◽  
pp. 633-642
Author(s):  
Edi Purwanto ◽  
Agnes Debora Bernice Purwanto
Keyword(s):  
Data Analysis ◽  
Environmental Factors ◽  
Competitive Advantage ◽  
Organizational Performance ◽  
Corporate Performance ◽  
Stock Exchange ◽  
External Factors ◽  
Sustainable Competitive Advantage ◽  
Manufacturing Companies ◽  
Internal Factors

The purpose of the research is to investigate the effect of external and internal factors on corporate performance and sustainable competitive advantage. The samples of the study are ten manufacturing companies in the pharmaceutical, cosmetic, and household utility sectors listed on the Indonesia Stock Exchange (IDX). The data analysis use PLS-SEM. The result shows that corporate performance is influenced by leverage and liquidity (internal factors) significantly but is not influenced by external factors significantly as well as organizational performance doesn’t impact the sustainable competitive advantage significantly. The results of this study can be a concern for companies that corporate performance is not the ultimate goal of a business. Still, it must be followed by a sustainable competitive advantage if the company wants the return is not temporary, but sustainable. The originality of the paper is the results of this study show that the competitive advantage of an industry or company can not only rely on one factor, from external or internal environmental factors.

scholarly journals The Effect of Strategic Management on the Organizational Performance Using the Balance Scorecards Approach to Measure Performance: A Case Study in the Nursing Department at Al-Khalidi Hospital and Medical Center

2018 ◽  
Vol 13 (4) ◽  
pp. 259
Author(s):  
Dina Mohamed Said Qarah Qarashay ◽  
Feras Ali Alzubi
Keyword(s):  
Strategic Management ◽  
Organizational Performance ◽  
Balanced Scorecard ◽  
Positive Impact ◽  
Medical Center ◽  
Balanced Score Card ◽  
The Balanced Scorecard ◽  
Score Card ◽  
The Balanced Score Card ◽  
The Impact

Organizations nowadays are increasingly impracing in using strategic management to improve their performance, this study has mainly focused on the impact of the strategic management on the performance of Al Khalidi Hospital and Medical Center (KHMC), based on the using of the Balanced Scorecard as a measuring tool, regression analysis results Indicates the existence of a strong positive impact of strategic management on performance.The main findings in this study that the internal process perspective is the most affected perspective in the strategic management, and that the strategic management have a positive impact on the performance in (KHMC). The four perspective of the balanced score card is an effective tool to measure the performance by objective achievement.

Balanced Scorecard in the strategic planning of a construction company

2018 ◽  
Vol 1 (1) ◽  
pp. 1
Author(s):  
Roberth Frias ◽  
Maria Medina
Keyword(s):  
Strategic Planning ◽  
Strategic Management ◽  
Balanced Scorecard ◽  
Organization Theory ◽  
Management Control ◽  
Management Tool ◽  
The Balanced Scorecard ◽  
Construction Company ◽  
Construction Companies ◽  
The Impact

This research focused on the strategic management tool Balanced Scorecard and strategic planning, as a guide to guide the management of companies, allowing communication and the functionality of the strategy using KPIs that allow to identify, maintain control and increase efficiency and the achievement of optimal results. For the deductive hypothetical analysis, the specific factors that affect business management performance were grouped into two variables: Balanced Scorecard and Strategic Planning. The objective of the work was to demonstrate the impact of the Balanced Scorecard in the strategic planning of a construction company. In order to support the research, the following theories were approached: the Financial Theory, the Economic Theory of the Company, the Transaction Costs, the Network Theory, the Organization Theory, the Dependence on Resources, the Strategic Management Theory and the Business Diagnosis Theory. The result obtained confirms the hypothesis that there is a significant incidence of the Balanced Scorecard in the strategic planning of construction companies. In conclusion, the construction company has obtained significant improvements in the results in each of the indicators evaluated with the implementation of the Balanced Scorecard, demonstrating improvements in their management results, affirming that there is better performance and management control allowing them to achieve the organizational objectives set.

Performance Measurement using Balance Score Card and its Applications: A Review

2015 ◽  
Vol 4 (3) ◽  
Author(s):  
Shradha Gawankar ◽  
Sachin S. Kamble ◽  
Rakesh Raut
Keyword(s):  
Performance Measurement ◽  
Organizational Performance ◽  
Performance Management ◽  
Balanced Scorecard ◽  
Strategic Change ◽  
The Balanced Scorecard ◽  
Balance Score Card ◽  
Measurement Framework ◽  
Score Card ◽  
And Performance

This paper aims to propose the idea of briefly explaining the balance scorecard by highlighting its use, application in depth. A critical enabler in achieving desired performance goals is the ability to measure performance. Despite the importance of accurately measuring organizational performance in most areas of academic research, there have been very few studies that have directly addressed the question of how overall organizational performance is or should be measured. Perhaps more importantly, none of these studies seems to have significantly influenced how overall organizational performance is actually measured in most of the empirical research that uses this construct as a dependent measure. The most popular of the performance measurement framework has been the balanced scorecard abbreviated as BSC. The BSC is widely acknowledged to have moved beyond the original ideology. It has now become a strategic change management and performance management process. The approach used in this paper is the combination of literature review on evolution of balance score card and its applications in various sectors/organizations/ areas. This paper identify that the balanced scorecard is a powerful but simple strategic tool and the simplicity of the scorecard is in its design. By encompassing four primary perspectives, the tool allows an organization to turn its attention to external concerns, such as the financial outcomes and its customers expectations, and internal areas, which include its internal processes to meet external requirements and its integration of learning and growth, to successfully meet its strategic expectations. This paper provides a comprehensive overview of the balanced scorecard combined with application and strategy, which are now in a better position to begin to recognize managements expectations and to discover new ways to build value for workplace learning and performance within organization.

The Balanced Scorecard

2017 ◽  
Vol 5 (2) ◽  
pp. 1-15
Author(s):  
Jorge Gomes ◽  
Mário Romão
Keyword(s):  
Organizational Performance ◽  
Balanced Scorecard ◽  
New Developments ◽  
Organizational Skills ◽  
The Balanced Scorecard ◽  
Customer Preferences ◽  
Innovation Activities ◽  
Measurement Tools ◽  
Physical Assets ◽  
And Performance

Organizations are challenged to develop new organizational skills such as flexibility or expertise in order to quickly respond to changes in technology, competition and customer preferences. Companies cannot be competitive or successful if their business and information systems and technology (IS/IT) strategies are not strategic aligned. Nowadays, the importance of intangible assets is higher than traditional physical assets and performance measurement tools need to capture this new reality. Measuring organizational performance is a continuous challenge for both managers and researchers. Balanced scorecard (BSC) is a powerful tool that gives to managers a fast, but comprehensive view of the business including operational measures on customer satisfaction, organization's innovation, activities improvement, as well as financial measurements. In this paper the authors address the BSC and promote the discussion about the strengths and the limitations and pointing out new developments to overcome the today´s business trends.

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