Strategic management systems: the balanced scorecard and strategic forecasting

Seadat Mamuti

Student thesis: Master thesis

Abstract

The current paradigms of proximate corporate strategy approaches like the balanced scorecard that are taught in business schools contradict the increasing prominence of strategic forecasting in business markets. The main aim of this thesis was to examine a proposed integration of strategic forecasting (SF) into the management system of the third generation balanced scorecard(BSC)by; conducting a literature review of their compatibility to identify points of merger, filling the research gap of practical knowledge in strategic forecasting activities, and proposing a normative approach for merging SF into the management system of the BSC. The systems view provided a methodology for examining the synergies that could be achieved by merging these concepts. The general gap in practical knowledge of strategic forecasting activities was explored in-­depth through interviews of six Danish experts in upper managerial positions, who are occupied with strategic forecasting and corporate strategy in different sectors of the Danish economy. A normative approach was developed that met the criteria of the research aim by establishing a model for applying strategic forecasting as the starting point of Kaplan & Norton’s (2010)management system, in a “synthesized destination statement”. The main findings demonstrate that the improved management system can; instill a culture of change by adding the element of time to the BSC, increase agility by operationalizing a planned learning process and leverage all of an organization’s human resources to communicate strategic forecasting information to the proper stakeholders for adapting it to local knowledge.

EducationsMSc in Finance and Strategic Management, (Graduate Programme) Final Thesis
LanguageEnglish
Publication date2014
Number of pages99