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Chapter 13 - The balanced scorecard and business value of information technology. After reading this chapter, you should be able to: Describe the Balanced Scorecard framework, explain the purpose of strategy maps, describe different types of IT and why IT initiatives can be difficult to evaluate, define the Balanced Scorecard management process. | Chapter 13 The Balanced Scorecard and Business Value of Information Technology Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 1 Learning Objectives 13-2 LO#1 Describe the balanced scorecard framework LO#2 Explain the purpose of strategy maps LO#3 Describe different types of IT and why IT initiatives can be difficult to evaluate LO#4 Define the balanced scorecard management process LO#5 Describe how an AIS system contributes to a balanced scorecard management process The Balanced Scorecard A strategic planning and management system Used extensively in business and industry, government, and nonprofit organizations worldwide Aligns business activities to the vision and strategy of the organization, Improves internal and external communications Monitors organization performance against strategic goals 13-3 LO# 1 Four Perspectives 13-4 LO# 1 Learning & Growth Perspective Describes the firm’s objectives for improvements in tangible and intangible infrastructure Human Capital – investment in people Ensuring the right people with the right skills are available Information Capital – investment in information Ensuring required access to information and the ability to communicate Organization Capital – investment in creating a unique corporate identity and culture Ensuring that employees know and are aligned with the organization’s strategic objectives 13-5 LO# 1 Process Perspective Operations management processes, such as supply, production, distribution, and risk management. Customer management processes, such as those involved with the selection, acquisition, and retention of customers, and growth of the firm’s market. Innovation processes, such as identifying opportunities, research and development, product design and development, and product launch. Regulatory and social processes, such as financial reporting, accounting, and those that manage environmental, . | Chapter 13 The Balanced Scorecard and Business Value of Information Technology Copyright © 2014 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 1 Learning Objectives 13-2 LO#1 Describe the balanced scorecard framework LO#2 Explain the purpose of strategy maps LO#3 Describe different types of IT and why IT initiatives can be difficult to evaluate LO#4 Define the balanced scorecard management process LO#5 Describe how an AIS system contributes to a balanced scorecard management process The Balanced Scorecard A strategic planning and management system Used extensively in business and industry, government, and nonprofit organizations worldwide Aligns business activities to the vision and strategy of the organization, Improves internal and external communications Monitors organization performance against strategic goals 13-3 LO# 1 Four Perspectives 13-4 LO# 1 Learning & Growth Perspective Describes
