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This paper aims to focus on the development of a “dynamic Balanced Scorecard” and to demonstrate that matching the traditional Balanced Scorecard (BSC) architecture with system dynamics principles offers better support for strategic management decisions.

The paper is based on a case study related to a service‐based business. The maps, the mathematical model and the BSC developed according to system dynamics modelling principles are discussed.

A system dynamics‐based BSC, particularly if embedded into a management flight simulator, would allow exploration and understanding of features of complexity and dynamics, consideration of feedback loops rather than unidirectional causality, the use of mapping tools for a more comprehensive design of the strategy maps, the facilitation of a process of organisational learning; and support for policy design and strategic analysis performed by managers.

The value of this paper is two‐fold: first, it shows that by using system dynamics modelling principles it is possible to overcome positively some limitations of the original BSC framework; second, the paper provides information and suggestions that are helpful for companies that are interested in developing strategic management systems based on both BSC architecture and on system dynamics principles and simulation tools (e.g. the management flight simulator).

Social enterprises (SEs), part of the third sector, are hybrid organizations combining the pursuit of social scopes with commercial business solutions. In seeking for social value, they pair for-profit and non-profit features, thereby compensating for shortcomings of both the public sector and the commercial market. Therefore, the performance management of such organizations assumes a crucial relevance. Among the available tools, the balanced scorecard (BSC) aims to capture performance multidimensionality, at the same time fostering legitimacy towards stakeholders.

In general terms, the BSC has the limit to follow a linear and static logic of construction and functioning. For this reason, scholars combine it with system dynamics (SD) to create dynamic balanced scorecards (DBSCs). However, literature seems to devote scarce attention to the adoption of such analytic tools in the third sector, particularly in SEs. This chapter wants to contribute to bridging this gap by proposing a tailored application in the context of a social cooperative, active in the clothing recycle and in the re-integration of disadvantaged social categories. By referring to previous literature about DBSC, two modelling strategies are identified: the BSC-driven and the SD-driven. The latter, based on inductive reasoning, is the one privileged for the study because of its wider flexibility. The modelling outputs consider different perspectives than the ones within traditional BSCs, contain elements of circular causality and show how financial and non-financial performances interplay and co-determine each other. Insights from the proposed model can be useful to support both decision-making and stakeholder engagement.

The purpose of this response is to refute Voelpel et al.'s five proposed explanations about why the Balanced Scorecard fails to support innovation and employee empowerment.

Provides quotes from published articles and books by Kaplan‐Norton that directly contradict the positions taken by Voelpel et al.

Voelpel et al. failed to read or systematically ignored the relevant literature before writing their article.

This response confirms that enterprise leaders can continue to adapt and use the Balanced Scorecard to facilitate the implementation of their new, innovative strategies.

Points out that traditional financial systems used for internal reporting are limited in several ways. Describes how a company implemented a philosophy of dynamic management reporting (DMR) that provided for a highly flexible performance reporting system. DMR can serve as a catalyst for organizational change, introduce new reporting concepts, incorporate a wide variety of performance measures, and encourage cross‐ functional understanding and co‐ordination.

This paper aims to (1) identify the different performance drivers (lead indicators) and outcome measures (lag indicators) investigated in the literature concerning the four balanced scorecard (BSC) perspectives in operations management (OM) contexts and (2) understand how performance drivers and outcome measures (and substantiated perspectives) are related.

We undertake a systematic literature review of the BSC literature in OM journals. From the final sample of 40 articles, performance drivers and outcome measures have been identified, and the relationships amongst them have been synthesised according to the system dynamics approach.

Findings show (1) the most relevant performance drivers and outcome measures within each BSC perspective, (2) their relationships, (3) how the perspectives are linked through the performance drivers and outcome measures and (4) how the different measures relate systemically. Accordingly, four causal loops amongst identified measures have been built, which – jointly considered – allowed for the creation of a dynamic strategy map for OM.

This study is the first one that provides a comprehensive and holistic view of how the different performance drivers and outcome measures within and between the four BSC perspectives in OM relate systemically, increasing the knowledge and understanding of scholars and practitioners.

In recent years, the balanced scorecard (BSC) has received considerable interest among practitioners for managing their organization’s performance. Unfortunately existing BSC frameworks, particularly for humanitarian supply chains, lack causal relationships among performance indicators, actions, and outcomes. They are not able to provide a dynamic perspective of the organization with factors that drive the organization’s behavior toward its mission. Lack of conceptual references seems to hinder the development of a performance measurement system toward this direction. The paper aims to discuss these issues.

The authors formulate the interdependencies among key performance indicators (KPIs) in terms of cause-and-effect relationships based on published case studies reported in international journals from 1996 to 2017.

This paper aims to identify the conceptual interdependencies among KPIs and represent them in the form of a conceptual model.

The study was solely based on relevant existing literature. Therefore further practical research is needed to validate the interdependencies of performance indicators in the strategy map.

The proposed conceptual model provides the structure of a dynamic balanced scorecard (DBSC) in the humanitarian supply chain and should serve as a starting reference for the development of a practical DBSC model. The conceptual framework proposed in this paper aims to facilitate further research in developing a DBSC for humanitarian organizations (HOs).

Existing BSC frameworks do not provide a dynamic perspective of the organization. The proposed conceptual framework is a useful reference for further work in developing a DBSC for HOs.

This paper aims to propose a dynamic model for measurement supply chain performance (SCP) based on a dynamic balanced scorecard (DBSC). Balanced scorecard (BSC) can be defined as a popular performance measurement method that can translate the strategy into a set of performance indicators and manage the status of implementing the various strategies. However, BSC is unable to simulate the complicated environment and the dynamic behavior of performance metrics. Therefore, the author combines BSC with system dynamics (SD) to explore a more efficient tool for measurement SCP.

A dynamic causal model is proposed based on the causal hypotheses. The developed DBSC enables managers to evaluate and measure the SCP in a much-balanced way. Using DBSC makes it possible that different SCP metrics to be reviewed and distributed into the four above-mentioned perspectives. It also enables supply chain (SC) managers to evaluate different strategies to improve SCP.

investigates two strategies to improve SCP as follows: (1) competitive strategy and (2) harvesting big data and using data mining techniques to determine the customer's expectations and then compares the results of these two strategies based on the four perspectives of DBSC and introduce the best strategy. Finally, harvesting big data and data mining is selected as the best strategy.

This study proposes a novel strategic management tool for measurement SCP and simulation of the complicated environment and the dynamic behavior of performance metrics. The proposed DBSC model enables managers to compare different strategies and select the best strategy.

Successful future has inspired organizations to measure long-term and non-financial measurements and key performance indicators (KPIs). Kaplan and Norton proposed balanced scorecard (BSC) for this issue and have extended it to one of the most preferred strategic management system’s tools. However, available planning tools like BSC have some limitations, like dependency to the developer, weakness in showing time delays, and also mathematical relationships between lead and lag indicators. In this paper, the authors would present a new methodology for developing BSCs, which would be able to overcome these limitations. Therefore, the purpose of this paper is to develop an integrated framework for developing BSC with system dynamics approach (a dynamic BSC (DBSC)) which has lower limitation in compare with traditional BSC. The other purpose of this paper is developing a DBSC for an Iranian public transportation company.

Based on this purpose, related literature was thoroughly reviewed and the proposed methodology designed using the system dynamics and BSC concepts. This methodology is a composition of original BSC development methodology and system dynamics principles. An assumed organization has been used for showing methodology’s capability and procedure. Furthermore, a case study has been accomplished in this paper. This case study is a DBSC which has been developed for an Iranian public transportation company. The purpose of this case study is to ensure about proposed methodology implication in action.

The authors proposed a methodology which can be applied for developing BSCs. This methodology consists of six different steps which are: developing a system for organization, selecting stakeholders’ most important objectives and target, identifying organization’s objectives and their KPIs for different BSC aspects, developing strategy map, targeting, and selecting initiatives. In the proceeding of this paper, the proposed methodology and its steps would be explained in detail.

The system dynamic approach has precedents in business studies; however, this research makes this approach operational in BSC designing and analysis. BSCs, which developed by this methodology can show time delays between an organization’s objectives, its KPIs’ relationship and also planning for it. Selecting achievable and rational vision and objectives’ targets, change management, scenario planning and policy analysis are other values which can be achieved by DBSC deployment which need further researches. In summary, this research has shown an integrated framework for developing DBSC and then applies it to an Iranian public transportation company. Therefore, another contribution of this paper is the application of this method for an Iranian public transportation company.

Knowledge workers labor to meet their business goals with the support of practical information technology (IT) tools. IT advances can be organizational enablers, when aligned with business goals, and when selectively applied. Workplace leaders and their workers often experience a productivity paradox. This paradox forms an operational limit for current knowledge workers and organizational success. Performance management steps within a Balanced Scorecard (BSC) framework can help overcome workplace productivity paradoxes. The BSC frames and tabulates lagging and leading indicators of IT tools’ usage and soft skill engagements. These adaptive measures dashboard workplace progress and success for organizations of all sizes and in public and private sectors. Lessons can be learned from BSC deployment successes in several business sectors. Valued practices exist to pick / monitor / adapt organizational capability objectives, measures and HR initiatives. Can right IT tool(s) or application(s) help achieve aligned business goals? Yes. Certain IT applications can favorably frame learning and development (L&D) efforts and metrics for knowledge workers as most valuable players, or MVPs.How do knowledge workers and their business leaders manage and leverage these IT applications for employee L&D to improve organizational capabilities? How do they address and adapt to complex and chaotic business conditions, and manage disruptive technologies: a. Artificial Intelligence (AI), b. The Internet of Things (IoT), and c. Data Analytics? Prudent managers and workers can accommodate these conditions and disruptions with agile, productive BSC approaches to generate productivity-ware and to attain their aligned business goals.

The purpose of this paper is to explore the way in which system dynamics (SD) can enhance some key success factors of the balanced scorecard (BSC) model and support decision-makers, specifically in analyzing and evaluating the results of hypothetical scenarios. Moreover, the paper aims to emphasize the role played by statistics not only in validating the SD-based BSC, but also in increasing managers’ confidence in the model reliability.

The paper presents a case study, developed according to an action research perspective, in which a three-step approach to the BSC implementation was followed. Specifically, the first step requires the development and implementation of a “traditional” BSC, which is refined and transformed into a simulation SD model in the second step. Last, the SD-based BSC is combined with statistics to develop policy making and scenario analysis.

The integration of BSC and SD modeling enables the development of a comprehensive approach to strategy formulation and implementation and, more importantly, provides a more reliable basis upon which to build and test sound cause-and-effect relationships, within a specific BSC. This paper exemplifies how an SD-based BSC can be used – and perceived reliable – to evaluate different scenarios and mutually exclusive policy effects in a multidimensional approach. In particular, this study illustrates how to forecast and depict trends for financial and non-financial indicators over the simulation period, with reference to three different scenarios.

This paper contributes to the ongoing debate on the BSC by exploring whether a combination of SD and statistics may enhance the BSC system’s advantages and facilitate its implementation process and use for decision-making and scenario analysis.