A balanced scorecard approach for R&D: Evidence from a case study

Abstract

Purpose - The aim of this paper is to develop a balanced scorecard (BSC) model delimited for research and development (R&D) performance measurement. Design/methodology/approach - A research methodology that is a combination of literature analysis, Delphi technique and case study-based research was adopted. Specifically, starting from the analysis of the literature about performance measurement and metrics in general, and applied to R&D environment in particular, the relevant indicators (both financial and non-financial) suitable to be used for the R&D activities were identified. These indicators were then submitted to a panel of experts, which, following the Delphi technique, determined the final list of indicators and the final BSC model. Finally, in order to validate the BSC model obtained, it was tested on a company operating in the automotive industry. Findings - The preliminary result obtained from this case study, that is a BSC model suitable for R&D, helps in the development of a general BSC model to be tested on a wide sample of firms that actively operate in the R&D field. Research limitations/implications - The research methodology adopted has, on the one hand, the advantage that allows the study in depth of a specific issue (the BSC) and, on the other, the results presented are not suitable to be generalized or extended to other contexts, although some extrapolations can be made. Originality/value - The paper provides a structured performance measurement system designed for R&D that may be used as a reference for companies where R&D activities are the core activities, to establish applicable performance appraisal indicators. © Emerald Group Publishing Limited.