Understanding the potential of the balanced scorecard to drive a high performance culture in a New Zealand information technology organization: An exploratory study

Abstract

This research is an exploratory study into the transformation of a low performance business unit, in a large information technology service organization within New Zealand, into a high performance team by means of the balanced scorecard approach. A phenomenological approach to the research was undertaken in order to get an insight into the drivers of low business performance, as well as understand the transformation process.

The research concludes that the balanced scorecard works well in the context of an environment in which there is good leadership and management; in which employees have a right attitude and are engaged in their work; in which there are processes which measure progress and propel employees towards the desired business objectives.

It also concludes that a complex approach to the implementation of the balanced scorecard approach will almost certainly result in failure, that a manager who is unable to motivate and engage employees is unlikely to succeed long-term, as will one who is unable to manage process.

The research recommends that managers should focus more on the soft factors of people management and on the required system processes if they are to succeed in the implementation of the balanced scorecard. Good people management takes effort and time, and few managers appear prepared to make the investment.