Using the balanced scorecard: Both common and unique measures are informative

Abstract

The balanced scorecard (BSC), developed by Kaplan and Norton (1992), allows an organization to translate its strategy and objectives into a series of performance measures. A recent study by Lipe and Salterio (2000) found that subjects use common scorecard measures in performance evaluation but disregard unique measures. This study finds that both common and unique scorecard measures are used in performance evaluation.