Showing pages 1 to 3 of 7 pages
IntroductionA small and medium sized enterprise known as Sheffield Surgical Ltdwho are dealing in manufacturing of surgical instruments. Sheffield SurgicalLtd started to manufacture this kind of high quality stainless steel surgicalinstruments from the year 1967. Sheffield Surgical Ltd initially started tomanufacture surgical instruments for the National Health Service for thepeople of United Kingdom. However, Sheffield Surgical Ltd expanded theirbusiness after moving their business idea into high quality stainless dentaland veterinary surgical instruments. In the last ten years having a highreputation for manufacturing of tremendous quality of surgical instruments thecompany has expanded into the modern operating environment of supplyinghigh quality of stainless steel surgical instruments. They have emerged as aglobal supplier within the last ten years of their operation. But, the last twoyears, the company has stagnant sales while the operating costs areincreasing day by day. In this study, it will enable the reader about thebalance score needed to promote the sales of the company and to emerge asthe global supplier of surgical instruments. An interview was conducted inorder to recruit and implement new ideas to discuss so that the currentcondition of the company improves.Concept of balance scorecardBalance scorecard is defined as a tool of measuring performancemetric unitin formulation of strategic management so that the malfunctioncanbe identified within the organization. This identification would improve theexisting condition of the organizations internal functions of the businessenvironment which will result in the outcomes of the external factors of thecompany. Balance score cards provide the organization with a measuring toolto measure the works of the organization and provide a strong feedback(Almohtaseb, Almahameed, and Shaheen, 2017). The amount of datacollected is of qualitative in nature. This data’sare being interpreted bymanagers and various other executives who will help them to take betterdecisions to promote the growth of the organization.
Balance score card was first introduced in the year 1992. It wasintroduced to reinforce a favorable working condition within the organizationby analyzing four important areasin an organization. Balance scorecard ismainly used to attain objectives and to initiate the objectives of attaining thegoal of the organization. Balance scorecard gives indication of the factorswhich leads to hindrances in the growth of the organization and will help inoutlining the strategic changes needed. Balance scorecard mainly helps theorganization in development of the strategic dynamism and the strategicobjectives (Boscia, and McAfee, 2014).How can balance scorecard be introduced in SSL?In today’s world there is a need for the measurement of theperformance appraisal. There is a need of effective measurement ofperformance which acts as an integral part of the management process. Thesales Sheffield Surgical Ltd has been grounded to a halt. Adopting the use ofBalance score card will enable the management system to find out the laggingareas of the company. The Balance score card will help the company toprovide the improvement in areas of product, process, customers, anddeveloping market conditions to increase their sales. Balance score card willprovide the managers of SSL with a four different perspectives to measure.Balancescore cards provide complementary traditional financial indicatorswhich help in measuring the active participation of the customers in theirproducts (Nørreklit, and Mitchell, 2014). The amount of information that isgathered through the help of Balance score card will help SSL to create abalance between the external measures of the company. This measurementwill help the managers of SSL to reveal the trade-offs which managers uses tomeasure the performance and this score cards would encourage them toachieve their future goals. Introduction of balance score card will provide abenchmark against which all the new projects are being evaluated.Benefits of introducingSheffield Surgical Ltd (SSL)being a significantSMEin the fields ofhighstandardstainless-steel and titaniumsurgical instruments manufacturer, the
introduction ofbalance score cardis quite significant and important. Theorganization is already struggling with its performance. The manufacturingand operating units are struggling to perform properly (Shafieeet al.2014).This is the right time to introduce thebalancescore card.It is one of the beststrategic performanceandmanagementmonitoringframework thatcan bedesignedand engineeredto helpthe SSL group tomonitor itsownperformance. This tool can help to supervisethe execution of itspolicies andstrategies. Infact, as per the study thismanagement toolisfound to be thesixth mostacceptedandused management tool across theworld (Singh andSohani, 2014).The successful implementation of this balanced score card willincrease the performance in overall and havethe highest satisfaction ratings.It enables the SSL group to enhance theperformance monitoring intothefourinterrelated perspectives. They are primarily theFinancialPerspective,CustomerDeliverables, Internal Processes andMutualGrowth.ItsFinancial Perspectivehelps to rectify thefinancial objectives ofSSL Group.Itallows managers to track financialimprovements,success andvalues of theshareholders. The clearCustomer Perspectivetakes care of thecustomerrequirements and objectivesso thatcustomerrequirements,satisfaction,market sharesand business targetsas well as productsand serviceperformances (Sreelakshmi and Rao, 2017).On the other hand, theInternalProcess Perspectivehelps the management to monitor the internaloperational targets.Drawbacks of introducingIt is always not advisable to follow the balance score card tools blindly withoutunderstanding the perspectives of its different utilities. The various features ofthe tools need to be understood thoroughly to avoid improper utilization. Themost important aspects in this regard are Cost and Time. It is accepted byseveral business professionals that the BSC quite costly and highly timeconsuming tool. The proper utilization of the tool requires a clearunderstanding of the whole process. It is quite time consuming in nature. Theaffair become very costly as it involves all the important resources. The