Both the Genesis Energy and Sensible Essentials teams believ

Both the Genesis Energy and Sensible Essentials teams believe that the client engagement was very successful. All the critical learning tools were fully explored. However, the operations management team believes there were several topics that were not covered but are important to their respective disciplines. These topics centered primarily on selecting/developing meaningful and rational measurements of performance as they relate to measuring the success of the company’s expansion strategy. The financial indicators are important, but the team is also concerned about more forward-looking measures that might reflect product quality, customer satisfaction, internal process efficiency, performance, and perhaps, other strategic indicators.

Based on your understanding of the concepts covered in this course, address the following:

Develop and describe a strategic measurement “scorecard” that incorporates the financial measures applied in this course. Consider the prospect of new equity owners and explain why this is important.

Describe the non-financial measures that should be considered and are important to the success of an organization. Explain why these measures should also be considered in the strategic initiatives of the organization.

Solution

As a management approach, ensured implementation of strategy, translating the company’s mission and strategy into tangible objectives and measures of performance.  In course of time, innovative companies used BSC not only to communicate, clarify and implement strategy but also to manage strategy, as a strategic management system.  The Balance score card provides a clear prescription of what companies ought to measure in order to balance the financial measures.

Financial Measures:

The key measures of financial  performance which are relevant for strategic management .

Balanced score card

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Non financial measures consumer perspective, Internal Business process perspective, Learning and Growth perspective.

Non financial measures may be said convey the knowledge, skills, and systems that employees need (their learning and growth) to innovate and build strategic capabilities and efficiency (the internal process) that may deliver specific value to the market customers) which may eventually lead to high share holders value.