Balanced Scorecard.docx

The Balanced Scorecard is an evaluation and communication tool that translates organizational goals into actionable initiatives. For Dragon Pearl, the four aspects of the balanced scorecard (I.e. finance, customer, internal process, and knowledge and growth is contemplated.

OBJECTIVES

GOALS

INDICATORS

INITIATIVES

FINANCIAL

To achieve longterm financial stability.

Financial Statements

CUSTOMER

Provide affordable products.

Negotiate with supplier; minimize inventory Bargain with suppliers

INTERNAL PROCESS

Provide consistently quality products at reasonable prices.

KNOWLEDGE AND GROWTH

To continually provide novel products that answer changing customer wants.

Counteract inflation rate by increasing prices. Maintain the profit margin while still providing the products in the most affordable prices. Keep the prices of the product relatively lower than competitors but keep quality at par. Come up with creative promo bundles every month.

Financial Statements

Customer Satisfaction surveys, Online Reviews

Eliminate all unnecessary costs in production and service provision.

Customer Reviews

Have a personnel assigned in creative product promotion.

Table. Illustrates the Balanced Scorecard for Dragon Pearl.

The establishment of this scorecard does not only define the goals of the organization but also simplify them to be understood in the functional level. Financially, Dragon Pearl aims to be stable on a long-term basis and one the increase in the overall

prices of goods is also posing a problem to the business. Dragon Pearl could monitor changes in the financial aspect through its financial statements so that the owner may know if they should cut inventory and/or bargain with their supplier to counteract the increase in prices. In terms of customer service, Dragon Pearl prides itself for its affordability, though the onset of the inflation proved to be a challenge in maintaining the business’ profit margin. This aspect could also be monitored using financial statements and the most effective initiative is to bargain with the business’ suppliers. It is one thing to provide products at lower costs but it is another thing to provide products at lower costs and preserve their quality. For this aspect, Dragon Pearl needs to be aware of customer reviews, not just for their business but for their competitors as well. They need to sell their product at a cost lower than competitors but keep the quality at par and this could be achieved by eliminating all unnecessary costs in production and service provision. Knowledge and growth is an important perspective because it ensures the relevance of the brand. Dragon Pearl must provide novel products to answer to customers’ changing needs and wants. In line with this, the goal is to come up with creative promos or bundles that follows a specific theme monthly. This could be assessed through customer reviews and the success of this goal can be assured by posting a personnel assigned to handle all the associated tasks.