What is the balanced scorecard approach in BSG?

The balanced scorecard approach in the Business Strategy Game (BSG) is primarily a performance management tool that helps align various business activities to the overall strategic objectives of the organization. This framework integrates financial and non-financial performance measures to give a more comprehensive view of business performance.

By evaluating performance from multiple perspectives—such as financial, customer, internal business processes, and learning and growth—the balanced scorecard facilitates a more holistic understanding of how well the organization is performing against its strategic goals. This alignment ensures that all employees and departments understand their roles in achieving the company's objectives and encourages coordination among different functional areas.

In contrast, options like a method for measuring employee satisfaction or a financial forecasting technique do not capture the broader application of the balanced scorecard. Additionally, a strategy for supply chain optimization focuses solely on operational efficiency rather than the overall performance management aspect that the balanced scorecard encompasses. This comprehensive approach is what makes the balanced scorecard particularly valuable in strategic management within the BSG framework.