Definition
The Balanced Scorecard translates strategy into objectives and KPIs across Financial, Customer, Internal Process, Learning & Growth perspectives.

Introduction
BSC prevents financial myopia by tracking the drivers of future performance alongside current results.

Explanation

Strategy map: cause-and-effect links among perspectives (e.g., training → faster cycle → better NPS → higher margin).

Objectives & KPIs: 3–5 per perspective; targets & initiatives.

Cascading: corporate → BU → team scorecards.

Governance: quarterly reviews; tie incentives; sunset stale KPIs.

Integration: connect BSC to budgeting and OKRs.

Key Takeaways

Choose few, causal KPIs; avoid KPI sprawl.

Make the strategy map explicit.

Align incentives to BSC, not just revenue.

Real-World Case
Mobil North America Marketing & Refining used BSC to pivot from volume to profitability, aligning process improvements and customer metrics with financial outcomes.