Balanced scorecard: theoretical perspectives and public management implications

Abstract

In this study it is argued that positive agency theory is a relevant theoretical perspective in studies of the balanced scorecard in business management because agency theory addresses implementation and organizational control issues. If the balanced scorecard is to be applied also in public management, then positive agency theory should be complemented with political economy to incorporate possible implementation and organizational control issues related to political uncertainty, common agency and implementation ambiguity. It is argued that uncritical application of the balanced scorecard in public management could result in dysfunctions common in Soviet‐type, central planning. However, such dysfunctions could be reduced with certain modifications of the balanced scorecard in order to facilitate political competition to a relatively larger extent.

Citation

Johnsen, Å. (2001), "Balanced scorecard: theoretical perspectives and public management implications", Managerial Auditing Journal, Vol. 16 No. 6, pp. 319-330. https://doi.org/10.1108/02686900110395460