Business Model and Strategic Plan Part 3: Balanced Score Card

Business Model and Strategic Plan Part 3: Balanced Score Card
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Introduction
The balanced scorecard is a strategic tool that allows the management to implement the strategy and includes the financial, customer, process, learning and growth perspectives (Brown, 2007). An organization then seeks to increase shareholders value, improve internal processes, train and retain the talented staff. Bank of America has recently adopted intelligent portfolios, and there is a need to translate the vision and strategy and communicating the strategic objectives. Implementing the performance metrics at the bank is crucial to achieving the strategic objectives, where the staff of the new division understanding and knowing what is expected of them. Besides the vision, mission and values, the balanced scorecard influences the organizational culture and aligned with strategic objectives.
Financial perspective
The financial dimensions a strategy that focuses on growth, profitability as well as risk management from a stockholder’s perspective (Harrison & John, 2013). Earnings and returns are performance indicators associated with the financial performance of an organization. The strategic objective of revenue growth is relevant to the sustainability of the new intelligent portfolios. The expansion of the new service and product will indicate the success of the new strategy while reaching new customers. A growth rate of 5 % annually in the new customers for the next there years is a metric measure to determine the growth and mix.
Another relevant financial perspective strategic objective is productivity improvement to improve the service delivery while reducing the costs related to intelligent portfolios. Even though, the intelligent portfolio is new, there will be shared resources with the related departments/ units. This is necessary to reducing costs while improving productivity. Improving asset utilization is another objective to improve the effectiveness of the intelligent portfolios. The return on investment would indicate whether the goal of asset utilization has been met. Measures to reduce costs, increase revenue all add value while increasing asset utilization. Additionally, the time to recoup investments made indicate the sustainability of the investment strategies associated with the intelligent portfolios.
Customer perspective
The customer dimension in the balanced scorecard is a strategy that focuses on differentiation and value creation from a customer’s perspective (Harrison & John, 2013). Bank of America will use the intelligent portfolios option to differentiate the organization form competitors, with the low cost and easily accessible option making it easier for the organization to connect with the clients by retaining and improving sustainable relationships. For Bank of America to improve its competitiveness there is a need to improve customer satisfaction, the market share as well as the quality of customer services. Focus on the customer perspective helps to maintain customers while also attracting more customers and clients (Oliveira, 2014). Additionally, improving customer satisfaction is important to achieve this and to maintain a positive...