Ostensibly, less than 10 per cent of UK organisations accomplish successful lean implementations. A refined system to the one offered by the balanced scorecard is needed. The purpose of this paper is to propose a robust system that not only focuses on the intangible and intellectual assets but also embraces various time horizons and the interests of multiple stakeholders.
The dynamic multi‐dimensional performance (DMP) framework has been adapted which enables organisations to successfully gauge, in a holistic approach, whether lean has in fact proven successful in their respective organisations.
The DMP framework embracing five dimension proves to be more robust than its predecessors and stresses the need to utilise a smaller set of multidimensional metrics which are closely aligned to an organisation's strategies.
Intangible assets have become the major source for competitive advantage. Tangible assets accounted for a book value of less than 20 per cent of companies' market values in 2000. Organisations need to promote a portfolio of measures directed at both the internal and external environments.
Despite the popularity of the balanced scorecard, it has recently proven inadequate in certain circumstances. The proposal enables managers to bridge the gap between the real and aspired performance.
The DMP model presented in this paper has generic appeal and can be applied to quite disparate organisations. It provides a good barometer for multiple time horizons and facilitates the examination of a wider view of organisational success.
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