Yunnans Lucky Airs Balanced Scorecard Case Study

Yunnans well-to-do give vents Balanced Scorecard - Case occupy ExampleFurthermore technology is also changing the manner in which commercial enterprisees operate. For example, technological developments have light-emitting diode to the development of e-commerce which enables companies to sell products through online channels using internet communication. Organisations must also respond to the necessitate of multiple stakeholders such as environmental protection agencies that require companies to reduce the amount of CO2 emissions. eyepatch shareholder value maximisation remains the main objective of every company, companies must first accomplish the needs of other stakeholders to be able to properly maximise shareholder value.To determine whether it is performing well, that is clashing the needs of its different stakeholders, a company must use a inflexible of achievement measures to label its performance against pre-determined targets and against the performance of its co mpetitors.Until recently, the main focus of many companies had been on the use of financial performance measures. These measures think only on the financial performance of the company. While financial performance measures remain an integral agency of performance measurement, they are not the only measures of organisational success. Recent developments suggest that non-financial performance measures also have an essential role to play in determining organisational success or failure. One of the most commonly employ performance measurement tools that incorporate both financial and non-financial performance measures is the balanced poster. There are a number of reasons why an organisation should adopt a balanced scorecard. These are detailed in the garner to the Chief executive Officer of golden Air Below.From The Chief Financial OfferTo The Chief Executive Officer of Lucky AirRe Adoption of the Balanced Scorecard by Yunnan Lucky AirDear Sir,I am writing to express concerns to t he current performance measures employed by Lucky Air. I believe that these measures are not in line with todays globalised, technologically driven, and customer focused business environment. Lucky Air continues to measure performance from the shareholder performance whereas there a are a host of interested groups of stakeholders that require information on how their needs are being met by Lucky Air. Given these issues, I will like Lucky Air to implement the balanced scorecard. The balanced scorecard is a performance report that is based on a broad set of financial and non-financial performance measures. The balanced scorecard is made up of four main perspectives (Kaplan and Northon, 1996, 2000 Malina and Selto, 2001 Blocher et al., 2005). These include Financial, Customer, internal business processes, and the discipline and growth perspectives (Malina and Selto, 2001). I believe that adopting the balanced scorecard will enable Lucky Air to amend the manner in which it performs it s services to multiple stakeholders as this will enable Lucky Air to set realisable targets and work towards achieving those targets. For example, the internal business perspectives will enable Lucky Air to improve on character of service, productivity and safety (Libby et al., 2002). From the foregoing, I believe that adopting the Balanced scorecard will tremendously improve the modal value Lucky Air is measuring performance and thus determine how Lucky Air is performing compared to the manufacturing as a whole. Best Regards,Chief Financial Officer.2. Gap Analysis of Lucky Airinside four years of its incorporation, Yunnan Lucky Airs revenues had grown to a US$104.3 million which corroborates that it has