Getting the idea ready to travel -a multiple case study of how the balanced scorecard is packed

Abstract

Background and problem: Several new management ideas have emerged since the late twentieth century and some of them have become dominant and widely accepted organizational models, one example being the balanced scorecard (BSC). Today the BSC is perceived as being a legitimate way of managing an organization. But in order for the BSC to increase organizational legitimacy it needs to be interpreted and translated by senders, for example consultants, and their clients, i.e. it needs to be packed to fit the receiving organization. Studies applying a sender perspective to the packing process of the BSC have been scarce and as a consequence we believe it is important to further investigate this subject by asking: How is the BSC packed with the intent of ensuring a travel of the idea from sender to receiver? Purpose: The purpose of this thesis is to describe how consultants collaborate with their clients to interpret and package the BSC into an object that can travel to the receiving organization. By providing authentic examples of how packing of the BSC has been done in five cases we hope to contribute to the existing research on translation and the process of packing and to establish a stronger link between these concepts and the BSC. Method: The thesis is based on a multiple case study of different types of organizations who adapted the BSC. Data was collected by conducting semi-­‐structured interviews with three consultants at Balanced Scorecard Collaborative. Results and conclusions: Our findings indicate that the most important output resulting from the process of interpreting and developing a BSC is not the strategy maps or performance indicators, but the fact that an understanding of strategic issues and knowledge about the management concept has been built up within the organizations. The cases also highlight the need to interpret and customize the BSC in order to increase legitimacy. Hence packing, the phase during which consultants and the receiving organization work closely together in order to customize the BSC and translate the idea into an object, is crucial for being able to transfer the idea to the client and arrive at a concept that can increase legitimacy. The consultants packed the BSC with help of rhetorical elements, such as storytelling, and face-­‐to-­‐face contact played an important role in trying to create an understanding of the BSC. Due to the fact that the BSC is to a large extent customized our findings indicate that the packing process rather results in tailor-­‐made scorecards than a standardised model that is forced upon the organization.