IT Balanced Scorecard - Age variable

IT Balanced Scorecard - Age variable

Martinsons, Davison and Tse (1999) suggest that the four balanced scorecard perspectives might require some modification to be effective as an IT scorecard. Their reasoning is that the IT department is typically an internal rather than external service supplier and projects are commonly carried out for the benefit of both the end-users an the organization as a whole – rather than individual customers within a large market.

Their suggested four perspectives include:

1. user orientation (end-user view)
a. Mission: deliver value-adding products and services to end0users
b. Objectives: establish and maintain a good image and reputation with end-users; exploit IT opportunities, establish good relationships with the user community, satisfy end-user requirements, and be perceived as the preferred supplier of IT products and services

2. business value (management’s view)
a. Mission: contribute to the value of the business
b. Objectives: establish and maintain a good image and reputation with management, ensure that IT projects provide business value, control IT costs, sell appropriate IT products and services to third party

3. internal processes (operations-based view)
a. Mission: deliver IT products and services in an efficient and effective manner
b. Objectives: anticipate and influence requests from end-users and management, be efficient in planning and developing IT applications, be efficient in operating and maintaining IT applications, be efficient in acquiring and testing new hardware and software, provide cost-effective training that satisfied end-users

4. future readiness (innovation and learning view)
a. Mission: deliver continuous improvement and prepare for future challenges
b. Objectives: anticipate and prepare for IT problems that could arise, continuously upgrade IT skills through training and development, regularly upgrade IT applications portfolio, regularly upgrade hardware and software, conduct cost-effective research into emerging technologies and their suitability for the business

It is this last view that is of interest as one of the metrics the researchers suggests is age distribution of staff, as shown below.

 

  • IT specialist capabilities IT training and development budget as a % of overall IT budget
  • Expertise with specific technologies
  • Expertise with emerging technologies
  • Age distribution of IT staff

 

Martinsons, M. R. Davison, D. Tse. (1999, February). The balanced scorecard: a foundation for the strategic management of information systems. Decision Support Systems, 25(1), 71-88.

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