Read the article Balanced Scorecard Basics before participating in the discussion

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Read the article Balanced Scorecard Basics before participating in the discussion. An interesting case of the balanced scorecard used in the public sector is found in the article Applying the Balanced Scorecard Methodology in the Public Sector: The Case of the Department of Defense in the United States (scroll down to read the paper). What do you see as the main aspects of the case? What are the main concerns in adopting the balanced scorecard in the public sector?

The balanced scorecard method is used within the public sector. In the case of the reading, it has been found that the method is not always successful when reviewing the metrics of the department. The main aspects of the case mentioned are the concerns of government departments following the Information Technology Reform Act and the Government Performance and Results Act. These acts require the agencies to align their programs to the overall agency mission and to report successes and failures to Congress annually. However, it has been found that agencies have not done well at aligning with their goals (Pollalis, et al., 2004). 

It is important to develop standards to measure performance. These measurements can assist with making sure changes are made to better the organization and aren't made arbitrarily. These are also beneficial for celebrating successes when performance measurements are met and for working to improve on failed metrics. The Defense Finance and Accounting Service uses the balanced scorecard method to meet the organizational goals and the laws governing metrics. They use it to meet the financial perspective of reducing costs and developing efficient processes. Improving business processes by encouraging innovation. The learning and growth of the organization are also invested in employee education and excellent benefits with access to enhanced IT systems (Pollalis, et al., 2004). 

There are concerns about adopting the scorecard as well. The public sector will want to transition to a culture of managing performance once it has been assessed. This is necessary as results can be relayed often, but if they aren't kept up or improved then there would be no point in monitoring them. Being able to anticipate changes in direction of the organization is also important and helps to keep the agency operating as smoothly as possible (Pollalis, et al., 2004).