Editing Balanced scorecard (section)

== History ==
Organizations have used systems consisting of a mix of financial and non-financial measures to track progress for quite some time.<ref name=Epstein_Manzoni_1997>{{cite journal|last=Epstein|first=Marc|author2=Manzoni, J. |title=The balanced scorecard and tableau de bord: Translating strategy into action|journal=Management Accounting|year=1997|volume=79|issue=2|pages=28–36}}</ref> One such system, the Analog Devices Balanced Scorecard, was created by Art Schneiderman in 1987 at [[Analog Devices]], a mid-sized semi-conductor company.<ref name=Schneiderman/> Schneiderman's design was similar to what is now recognised as a "First Generation" balanced scorecard design.<ref name=Lawrie_Cobbold_2004 />

In 1990, Schneiderman participated in an unrelated research study led by [[Robert S. Kaplan]] in conjunction with US management consultancy Nolan-Norton,<ref>{{cite web|url=http://www.nolannorton.com/|title=nolannorton.com|website=www.nolannorton.com}}</ref> and during this study described his work on performance measurement.<ref name=Schneiderman/> Subsequently, Kaplan and [[David P. Norton]] included anonymous details of this balanced scorecard design in a 1992 article.<ref name=Kaplan_Norton_1992/> Although Kaplan and Norton's article was not the only paper on the topic published in early 1992,<ref name=Maisel_1992>{{cite journal|last=Maisel|first=L. S.|title=Performance measurement: the Balanced Scorecard approach|journal=Journal of Cost Management|year=1992|volume=6|issue=2|pages=47–52}}</ref> it was a popular success, and was quickly followed by a second in 1993.<ref name=Kaplan_Norton_1993>{{cite journal|last=Kaplan|first=Robert S.|author2=Norton, D. P. |title=Putting the Balanced Scorecard to Work|journal=Harvard Business Review|year=1993}}</ref> In 1996, the two authors published ''The Balanced Scorecard''.<ref name=Kaplan_Norton_Book_1996>{{cite book|last=Kaplan|first=Robert S.|title=The Balanced Scorecard: Translating Strategy into Action|year=1996|publisher=Harvard Business School Press|location=Boston, MA.|isbn=978-0-87584-651-4|author2=Norton, D. P.|url=https://archive.org/details/balancedscorecar00kapl}}</ref> These articles and the first book spread knowledge of the concept of balanced scorecards, leading to Kaplan and Norton being seen as the creators of the concept.

While the "corporate scorecard" terminology was coined by Schneiderman, the roots of performance management as an activity run deep in management literature and practice. Management historians such as [[Alfred D. Chandler Jr.|Alfred Chandler]] suggest the origins of performance management can be seen in the emergence of the complex organization – most notably during the 19th century in the US.<ref name=Chandler_1962>{{cite book|last=Chandler|first=Alfred D.|title=Strategy and Structure: Chapters in the History of the American Enterprise|url=https://archive.org/details/strategystructur0000chan_o8c5|url-access=registration|year=1962|publisher=The MIT Press|location=Boston, MA.|isbn=978-1-61427-508-4}}</ref> Other influences may include the pioneering work of [[General Electric]] on performance measurement reporting in the 1950s and the work of French process engineers (who created the ''tableau de bord'' – literally, a "dashboard" of performance measures) in the early part of the 20th century.<ref name=Epstein_Manzoni_1997 /> The tool also draws strongly on the ideas of the 'resource based view of the firm'<ref name=Penrose_1959>{{cite book|last=Penrose|first=Edith|title=The Theory of the Growth of the Firm|year=1959|publisher=John Wiley and Sons|location=New York|isbn=978-0-19-828977-7}}</ref> proposed by [[Edith Penrose]]. None of these influences is explicitly linked to in the original descriptions of balanced scorecard by Schneiderman, Maisel, or Kaplan & Norton.

Kaplan and Norton's first book<ref name=Kaplan_Norton_Book_1996 /> remains their most popular. The book reflects the earliest incarnations of balanced scorecards – effectively restating the concept as described in the second Harvard Business Review article.<ref name=Kaplan_Norton_1993 /> Their second book, ''The Strategy Focused Organization'',<ref name=Kaplan_Norton_Book_2000>{{cite book|last=Kaplan|first=Robert S.|title=The Strategy-Focused Organization: How Balanced Scorecard Companies Thrive in the New Business Environment|date=1 October 2000|publisher=Harvard Business School Press|location=Boston, MA|isbn=978-1-57851-250-8|author2=Norton, D. P.|url=https://archive.org/details/strategyfocusedo00kapl_0}}</ref> echoed work by others (particularly a book published the year before by Olve et al. in Scandinavia<ref name=Olve_1999>{{cite book|last=Olve|first=Nils-Göran|title=Performance Drivers: A practical guide to using the Balanced Scorecard|date=25 Feb 1999|publisher=John Wiley and Sons|location=New York|isbn=978-0-471-98623-2|author2=Roy, J.|author3=Wetter, M.|url=https://archive.org/details/performancedrive00olve}}</ref>) on the value of visually documenting the links between measures by proposing the "Strategic Linkage Model" or [[strategy map]].

As the title of Kaplan and Norton's second book<ref name=Kaplan_Norton_Book_2000 /> highlights, even by 2000 the focus of attention among thought-leaders was moving from the design of balanced scorecards themselves, towards the use of the balanced scorecard as a focal point within a more comprehensive strategic management system. Subsequent writing on the balanced scorecard by Kaplan & Norton has focused on its uses, rather than its design (e.g. ''The Execution Premium'' in 2008,<ref name=Kaplan_Norton_Book_2008>{{cite book|last=Kaplan|first=Robert S.|title=The Execution Premium: Linking Strategy to Operations|date=1 July 2008|publisher=Harvard Business School Press|location=Boston, MA.|isbn=978-1-4221-2116-0|author2=Norton, D. P.|url=https://archive.org/details/executionpremium00kapl}}</ref> "Intelligent Design of Inclusive Growth Strategies" in 2019<ref>{{Cite journal|last1=Kaplan|first1=Robert S.|last2=Serafeim|first2=George|last3=Tugendhat|first3=Eduardo|date=2019-10-30|title=Intelligent Design of Inclusive Growth Strategies|language=en|location=Rochester, NY|doi=10.2139/ssrn.3478190 |ssrn=3478190|s2cid=209057620 |url=https://dash.harvard.edu/bitstream/1/41711870/1/20-050.pdf }}</ref>); many others also continue to refine the device itself (e.g. Abernethy et al.<ref name=abernethy_2005>{{cite journal|last1=Abernethy|first1=Margret A.|last2=Horne |first2=M. |last3=Lillis |first3=A. M. |last4=Malina |first4=M. A. |last5=Selto |first5=F. H.|title=A multi-method approach to building causal performance maps from expert knowledge|journal=Management Accounting Research|year=2005|volume=16|issue=2|pages=135–155|doi=10.1016/j.mar.2005.03.003}}</ref>).