As people are the most important and valuable assets a company has, the human resource management (HRM) has a strategic role to play. However, not always this importance of HRM is seen and human resources (HR) as an organization have in some companies a minor standing.
In order to measure the contribution of HRM to the corporate results a measurement system has to be established. This measurement system, the balanced scorecard (BSC), breaks down the corporate strategy to each level of a company and describes measures accordingly which finally makes the HRM role measureable.
This assignment provides some background information about the balanced scorecard approach in general and for human resource management in particular. The information covers the different perspectives of a BSC as well as some possible measures.
Further on, the performance measurement in HRM is described dealing with an explanation why it is not straight forward and were difficulties are. The chapter deals also with the benefits and how to measure them. As a summary the ad-vantages and limitations in using a balanced scorecard in the HRM are given. The work is closing with the ITM checklist providing a holistic overview of using the BSC approach inside a company and in HRM.
Table of Contents
- Executive Summary
- List of Abbreviations
- List of Figures
- The Balanced Scorecard
- The Concept of a Balanced Scorecard
- The Benefits of a Balanced Scorecard
- The Balanced Scorecard as Measurement based Management Instrument
- The Balanced Scorecard for Human Resource Management
- HR-BSC - Financial perspectives
- HR-BSC - Business perspective
- HR-BSC - Customer perspective
- HR-BSC - Learning & Growth perspective
- The Measuring Challenge in Human Resource Management
- Human Resource Performance Management
- How to Measuring Performance in Human Resource Management
- Benefits of Human Resource Performance Management
- Advantages and Limitations using a Balanced Scorecard in Human Resource Performance Management
- ITM Checklist
- Bibliography
Objectives and Key Themes
This paper aims to provide a comprehensive overview of the Balanced Scorecard (BSC) approach, particularly in the context of Human Resource Management (HRM). It explores the BSC's application in measuring the contribution of HRM to a company's overall success.- The concept and benefits of the Balanced Scorecard
- Applying the Balanced Scorecard to Human Resource Management
- The challenges and methods for measuring performance in HRM
- Advantages and limitations of using a Balanced Scorecard in HRM
- The ITM Checklist as a framework for implementing the BSC approach
Chapter Summaries
The first chapter introduces the concept of the Balanced Scorecard (BSC), outlining its benefits as a measurement-based management instrument. It emphasizes the BSC's ability to translate strategic goals into actionable measures across different organizational levels.Chapter 2 focuses specifically on the application of the BSC in Human Resource Management (HRM), exploring its various perspectives. It delves into the financial, business, customer, and learning & growth perspectives of the HR-BSC.
Chapter 3 addresses the complexities of performance measurement within HRM. It discusses the challenges and strategies involved in evaluating HR performance, highlighting the need for a comprehensive approach that considers various perspectives.
Chapter 4 examines the advantages and limitations of employing a Balanced Scorecard in Human Resource Performance Management. It provides insights into the potential benefits and drawbacks of this approach.
The ITM Checklist, a comprehensive guide for implementing the BSC approach within a company, is presented as a concluding element, offering a holistic framework for effective application.
Keywords
The key topics explored in this work include human resource management, balanced scorecard, performance measurement, strategic management, human resource performance management, and the ITM checklist. It investigates the application of the BSC as a framework for measuring the contribution of human resources to organizational success.- Quote paper
- Matthias Beer (Author), 2011, Balanced Scorecard. The Challenge of Measurement in Human Resource Management, Munich, GRIN Verlag, https://www.grin.com/document/233248
