TY  - JOUR
AB  - Purpose– To trace the rationale, features, development and application of the Balanced Scorecard (BSC) over the past ten years, to provide a critical review of its key problematic effects, and to suggest a future direction.Design/methodology/approach– The shift from the industrial to the innovation economy provides a background to identifying five major problem areas of the BSC which are then discussed with reference to selected case examples. An alternative systemic scorecard is then proposed.Findings– The tyranny of the BSC as a measurement “straightjacket” is beginning to jeopardize the survival of firms, hinders much‐needed business ecosystem innovation, thereby negatively affecting customer value rejuvenation, shareholders' benefits, other stakeholders as well as societal benefits in general. A more systemic alternative is proposed.Research limitations/implications– Future research might focus on further development of the systemic scorecard in different industries and organisational settings with detailed systemic measurement techniques.Practical implications– Rather than relying on the static BSC, it would be more effective to adopt a systemic perspective in measuring/managing intangible assets.Originality/value– An alternative to the BSC is proposed that involves radical change in its underlying assumptions by moving to a more systemic, dynamic framework – a systemic management system, including a systemic scorecard.
VL  - 7
IS  - 1
SN  - 1469-1930
DO  - 10.1108/14691930610639769
UR  - https://doi.org/10.1108/14691930610639769
AU  - Voelpel Sven C.
AU  - Leibold Marius
AU  - Eckhoff Robert A.
ED  - David O'Donnell
ED  - Lars Bo Henriksen
ED  - Sven C. Voelpel
PY  - 2006
Y1  - 2006/01/01
TI  - The tyranny of the Balanced Scorecard in the innovation economy
T2  - Journal of Intellectual Capital
PB  - Emerald Group Publishing Limited
SP  - 43
EP  - 60
Y2  - 2024/04/19
ER  -