Title: STRATEGIC BALANCED SCORECARD IMPLEMENTATION IN CONTROLLING BIAS AND CONFLICT

Authors: Jesica Handoko, SE., M.Si., Ak. 1,2 , Tineke Wehartaty, SE., MM 2

Affiliations: 1. Airlangga University Surabaya; 2. Widya Mandala Catholic University Surabaya

Publisher: POLISH JOURNAL OF MANAGEMENT STUDIES

Abstract

Balanced Scorecard (BSc) is one of five management tools that are most widely used in the business world. Recently, BSc research has developed significantly, not just considering it as a performance measurement tool but also as a strategic management system. This research was adopted from Tayler (2010) with the aim of proving whether the involvement of management in the selection of strategic initiatives and selection of BSc measures will be able to control motivated reasoning and/or conflict. A 2x2x2 betweensubject design experiment was conducted and one hundred and thirty-two undergraduate and graduate students from Business Faculty in Surabaya participated in this research. There are three factors being manipulated in this research: BSc framing, BSc involvement and management role. Consistent with Tayler (2010), the results of my study show that there were statistically significant results to prove the existence of motivated reasoning bias in strategic balanced scorecard implementation, but the type of BSc framing could not significantly reduce the bias. Adding to Tayler (2010) results, my study found the effectiveness of lower manager involvement in selecting strategic initiatives and BSc measures, which is increasing lower manager responsibility. Nonetheless, the effectiveness of the strategic BSc implementation is still being recognized if the lower management is involved in selecting strategic initiatives and BSc measures. Conflict controlling by enhancing management responsibility is the main contribution of this experiment, including when considering causal chain framing.

Keywords: BSc framing, BSc involvement, management role, motivated reasoning bias, conflict

Sources: https://pjms.zim.pcz.pl/resources/html/article/details?id=156618