Balanced scorecard is a strategic management tool used by organizations to communicate their priorities, strategy to accomplish goals and how they will measure and monitor progress.
A balanced scorecard has four components. They are Financial, Customer, Internal Process and Learning and Growth.
1. Financial: In this view organizations specify their financial goals and how they plan to accomplish those goals.
2. Customer: It views organization’s performance from the perspective of the target market to whom the business is supposed to serve.
3. Internal Process: It measures the efficiency and quality standards of the product that a business offers to its target audience.
4. Learning and Development: This view includes the various opportunities that the organization provides to employees in the form of training to help them in career progression as well as personal development.