Making Balanced Scorecard Work to Implement Business Strategies at Magic Technology Case Study Solution


The Balanced Scorecard (BSC) has emerged as a critical management tool for aligning organizational strategies with performance measurement. This essay delves into the case of Magic Technology, exploring how they have attempted to implement the BSC framework to drive their business strategies effectively.

Case Issue

Magic Technology, like many other companies, faces the challenge of translating their strategic goals into actionable initiatives. The primary case issue revolves around whether Magic Technology has been successful in making the Balanced Scorecard work as a practical instrument for implementing their business strategies.

Case Analysis

Understanding the Balanced Scorecard

Provide an overview of the Balanced Scorecard framework and its significance in strategy execution.
Discuss the four key perspectives of BSC: Financial, Customer, Internal Processes, and Learning & Growth.
Magic Technology’s Strategic Goals

Examine Magic Technology’s stated strategic objectives and goals.
Analyze how these goals align with the BSC perspectives and whether they are specific, measurable, achievable, relevant, and time-bound (SMART).
Implementation Challenges

Identify the challenges Magic Technology faced during the BSC implementation process.
Explore any resistance from employees, resource constraints, or cultural barriers that hindered effective implementation.
Performance Measurement

Evaluate the performance metrics chosen by Magic Technology within each BSC perspective.
Discuss the relevance of these metrics in tracking progress toward strategic goals.
Communication and Buy-In

Examine how Magic Technology communicated the BSC framework to employees at all levels.
Discuss the importance of obtaining buy-in from employees to make the BSC a success.


The case of Magic Technology’s implementation of the Balanced Scorecard reflects the company’s commitment to improving strategic execution. However, the success of such an endeavor requires more than just adopting the framework. It necessitates a cultural shift, effective communication, and continuous evaluation.

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Employee Engagement: Encourage greater involvement of employees in the BSC process. Employees should not only understand but also actively contribute to defining relevant metrics and goals.

Training and Development: Invest in training programs that equip employees with the necessary skills to contribute to strategic initiatives and understand the BSC framework.

Frequent Review and Adaptation: Recognize that strategies and markets evolve. Magic Technology should regularly review and adapt its BSC metrics and objectives to stay aligned with changing circumstances.

Leadership Commitment: Ensure that top leadership is fully committed to the BSC framework and leads by example in its implementation.

Transparency and Accountability: Foster a culture of transparency in performance measurement and hold individuals and teams accountable for achieving BSC targets.

Continuous Improvement: Emphasize the importance of a continuous improvement mindset, where lessons learned from BSC implementation are used to refine and enhance future strategies.

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