Corporate Performance Management (2cr)

Evaluation scale

1-5

Objective

Objectives
The students are enabled…
• to perceive Performance Measurement Systems (PMS) and in particular the Balanced Scorecard (BSC) as neutral and universal management and controlling instruments
• to understand and appraise the heterogeneity of the topic and its application
• to systematically derive BSC perspective related strategies, objectives and measures from superordinate enterprise units
• to choose, develop and explain well-defined indicators and targets
• to discuss and solve trade-offs between constructed model and real-life business function
• to assess the goodnes-of-fit of their model in their particular business ecosystem

Content

Contents
The main contents of the course are lectures and supervised workshops on:
• Building knowledge on PMS and the different generations of the BSC model
• The concepts of visions, strategies, objectives, goals, measures, indicators, and targets and their cybernetic models
• Seeing the business world from a BSC’s perspective but as well as from a departmental view
• Building a Strategy Map to back up and ensure the coherence of the specific views to the entire enterprise strategy
• Designing and choosing of indicators that explain enterprise performance in the given environment
• Considering various attributes and properties of indicators to ensure their comprehensiveness
• Adaption of strategies and alternative indicators for collective problem views
• Declaration of the goodness-of-fit for the chosen model and set of indicators
• Formulation of recommended actions for the enterprise according to the findings

Materials

Objectives
The students are enabled…
• to perceive Performance Measurement Systems (PMS) and in particular the Balanced Scorecard (BSC) as neutral and universal management and controlling instruments
• to understand and appraise the heterogeneity of the topic and its application
• to systematically derive BSC perspective related strategies, objectives and measures from superordinate enterprise units
• to choose, develop and explain well-defined indicators and targets
• to discuss and solve trade-offs between constructed model and real-life business function
• to assess the goodnes-of-fit of their model in their particular business ecosystem

Methodological competences
• Students learn to design a BSC for a virtual enterprise
• They train their abililty to defend and align their particular objectives and views to the entire business and performance model
• Learning assets consist of self-reading and lecture parts, group role play and self-conducted problem focussed workshops in student peer grops
• The models are built using standard software, i.e. MS Word and Excel

Professional competences
The session is conducted in English. Students train their ability to communicate
• using the English terminology
• Workshop results will regularly be presented and discussed in plenary sessions. Thus the students’ ability to give presentations will be improved
• The student’s ability to debate and defend their functional views in a competitive company environment will be trained

Social competences
All parts of the session are conducted in small groups of international students.
Thus the following skills are trained:
• Team work, problem solving approaches in formal, functional peer groups
• Intercultural communication and cooperation despite language drawbacks
• Diversity as an opportunity to use different, but synergetic approaches
• Recognizing and understanding different cultural mindsets that drive decisions
• Discussion and debating culture, esp. in conflict situations

Teaching methods

Module
Corporate Performance Management

Responsible
Prof. Dr. Tim Pidun, MBA

Contents
The main contents of the course are lectures and supervised workshops on:
• Building knowledge on PMS and the different generations of the BSC model
• The concepts of visions, strategies, objectives, goals, measures, indicators, and targets and their cybernetic models
• Seeing the business world from a BSC’s perspective but as well as from a departmental view
• Building a Strategy Map to back up and ensure the coherence of the specific views to the entire enterprise strategy
• Designing and choosing of indicators that explain enterprise performance in the given environment
• Considering various attributes and properties of indicators to ensure their comprehensiveness
• Adaption of strategies and alternative indicators for collective problem views
• Declaration of the goodness-of-fit for the chosen model and set of indicators
• Formulation of recommended actions for the enterprise according to the findings

Student Requirements
• Basics of economics or economics related studies preferrable
• Acquaintance with MS Word and Excel
• Computers for student workgroups (approx. 4 persons each) for the workshops
• Theroretical knowledge of Performance Management and the concept of the Balanced Scorecard which can alternatively be obtained by pre-reading sessions
• Thus students should have access to a library or scientific literature databases

Teaching Requirements
• Blackboards, Whiteboards, Projector (VGA/HDMI) for lectures and workshops
• Access to desktop printer or copier for paperwork

Assessment criteria, approved/failed

Passed: Approved, written reports pertaining to the workshops.

Qualifications

Pre-Reading Literature
What is a Performance Measurement System?
• Franco-Santos, M., Kennerley, M., Micheli, P., Martinez, V., Mason, S., Marr, B. (2007). Towards a definition of a business performance measurement system. International Journal of Operations & Production Management, 27(8), 784–801
• Nudurupati, S., Bititci, U., Kumar, V., & Chan, F. (2011). State of the art literature review on performance measurement. Computers & Industrial Engineering, 60(2), 279–290. doi:10.1016/j.cie.2010.11.010

What is a Balanced Scorecard?
• Kaplan, R., & Norton, D. (1992). The Balanced Scorecard - Measures That Drive Performance. Harvard Business Review, (January-February 1992), 71-79
• Kaplan, R., & Norton, D. (2008). Mastering the Management System. Harvard Business Review, (January 2008), 1–17