Applying Balance Scorecard To Manager In Saudi Organizations Accounting Essay

Score card rating brings out an integrative attack to the public presentation rating of organisations by the human resource directors. Human resource section, merely as any other concern subdivision or concern unit, have to be good incorporated into the corporation assembly of the organisation in commissariats of scheme, mission and values. Therefore, merely as any signifier of concern piece human resource direction has besides to travel through some frequent rating so as to measure HR efficiency of the concern and consistence of human resource direction with the company scheme. This signifier of rating are really of import as it is a normally viewed that HR ends and processs have non anything to make with the company scheme. Chairman of HR section may sometimes construe strategic ends of the organisation utilizing his ain manner while regular employees may hold besides their ain constructs of company scheme. Therefore, the Balanced Scorecard can convey into line human resource policy by agencies of a scheme of the company, to boot to pass oning strategic and operational direction, therefore positioning scheme into action.

Purpose of the survey

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The chief motive to this survey is to understand the footing of the BSC in measuring human resource direction, and how it is linked to the organisation direction, this will assist in to understand how BSC is being applied as portion of the strategic direction of this organisations in the Saudi, this will convey out the competencies that the human resource directions require in order to be operational.

Research inquiries

This survey will look into the BSC rating on the human resource direction in Saudi. In this survey, the purpose is to understand if the balanced scorecard is said to be strategic be aftering system every bit good as direction system that can be used at length in concern and organisations internationally so as to ally concern actions to the vision and scheme of the organisation, heighten internal every bit good as external communications, and supervise organisation public presentation in resistance to strategic ends.

This survey aim is to analyze the usage of BSC in rating of the human resource direction, in organisations in Saudi Arabia state. The inquiries that guide this enquiry are ; ( A ) how is the balanced scorecard applicable to private-sector companies? ( B ) What are the benefits that come with the balanced scorecard attack? ( C ) Is balanced scorecards really disputing when seeking to develop and deploy it? ( D ) Should the enlisting of the new employee by the human resource directors be done utilizing BSC? ( E ) Can BSC be used to mensurate instruction and preparation indexs for the human resource? ( F ) Can BSC besides be used in the rating of wages and keeping indexs to the employee? ( G ) Are personal development and subject indexs besides measured utilizing BSC?

Purposes and aims

The chief purpose and aim of the survey will be to use the balance scorecard to measure HR director in Saudi organisations. Additionally, specific purposes and aims of the survey shall be to:

Distribution mark by equal balance

It will give a existent consequence for HR director

To demo the strength and failings for employees

To assist HR director to do determination and schemes

Literature reappraisal

In a article that was written by Kaplan and Norton ( 1992 ) , they discussed the BSC that can drive the public presentation of an organisation, in their article they liken BSC as a dials in a cockpit of an aeroplane in which the directors gets complex information at a glimpse. They besides stated that BSC links public presentation steps in four chief positions: Namely ; client position, internal position, invention and larning position and fiscal position kiplang and Norton ( 1996 ) further retaliates that BSC introduces four other direction processes that links the long term strategic aims with short term actions, they include: interlingual rendition of the vision, pass oning and associating, the concern planning and eventually the feedback and acquisition.

Many of the greatest organisations in the universe views the balance scorecard techniques as it can give them and inch in objectively quantifying and step in concern public presentation ( 2000 ) . Harmonizing to Kiplang and Norton ( 1996 ) , balance mark card is non merely another concern direction tools ( Amaratunga and Sarshar, 2001 ) . Such consideration as organisation clime and, employee satisfaction, besides trueness to the organisation and tonss of others can non be represented with fiscal indexs ( Atkinson, Young, 2004 ) .Effectiveness of the BSC for organisations are legion, with assorted findings ( Earnst & A ; Young 1998 ) . The surveies done by ittner and larcker ( 2003 ) , Evans and Jack ( 2003 ) and Davuis and Albright ( 2004 ) , they found out that proper use of BSC can take to improved fiscal public presentation ( Figg, 2000 ) . On the other manus surveies done by Dumond ( 1994 ) , and Forza and Slavador ( 2000 ) noted the use of the BSC as advancing positive effects to the employee satisfaction and apprehension of the concern. Furthermore, theoretical analysis of Noreklit ( 2000 ) every bit good as that of Marr and Adams ( 2004 ) questioned the chief rule s behind BSC. Harmonizing to Kaplan and Norton ( 1992 ) , most of the fluctuations that appers in the BSC appears to be portion of its development on its constructs, in response to the dissatisfaction with traditional, a figure of public presentation systems have late been developed ( Fisher ; 1992 ; Hronec, 1993 ) .

The writers Sharma & A ; Haque ( 2001 ) conducted a instance survey on the execution of Balanced Scorecard ( BSC ) in the authorities lodging authorization of Fiji to supply low-cost shelter and mortgage funding for middle-income earners and found that BSC was indispensable to the execution of the new for profit-orientation of the Fiji Housing Authority ( HA ) . Hilton Corporation implemented balanced scorecard during 1995-1998 and achieved the undermentioned consequences ( Fisher, 1992 ) . Evaluation of human resource public presentation is an first-class manner to set up capturing the corporation to innovative degree so as to stand resilient competition in the market and get competitory advantage ( Harris and McCaffer 1995 ) .it should by no agencies be forgotten that concerns and organisations are managed by people, and accordingly human factor is a favorite success factor ( Vitale, Mavrinac, & A ; Hauser, 1994 ) .

Research methodological analysis

There are two methodological analysiss for transporting out research ; qualitative and quantitative methodological analysiss. In this instance, the research worker will use the quantitative methodological analysis ( Porter, 1986 ) . The research worker will besides use both primary and secondary methods of informations aggregation. First, the primary methods will be based on information gathered from several concern organisations utilizing study where questionnaires will be utilized ( Morrow, 1992 ) . Their responses will be collected and to the full incorporated throughout the research procedure.Questionnaires are traveling to play a important function in guaranting that those critical persons, who could non be reached easy, are able to take part in the research enterprise ( Hiromto,1991 ) . Postage of questionnaires will be postpaid to guarantee more respondents. The research inquiries to be used will be based on an in-depth rating of the research aims and targeted group whereby random trying method will be greatly employed owing to its effectivity in extinguishing biasness and that it offers a better representation of the population ( Sharma, Jahirul, 2001 ) . The research worker will use secondary informations like diaries, books, written articles and magazines in the procedure of roll uping informations as secondary beginnings ( Kaplan and Norton, 1993 ) .


The undermentioned process will be utilized when transporting out research: First, Collection of informations both from primary and secondary beginnings. Phase two will cover with analysing the collected information which is expected to take much longer clip. In phase three researches commences after which the research worker will urge and reason the research ( Bromwich and Bhimani, 1991 ) .


The research inquiries to be used will be based on an in-depth rating of the research aims and targeted organisations. Whereby random trying method will be greatly employed owing to its effectivity in extinguishing biasness and that it offers a better representation of the population. In this consequence, the questionnaires sent to employees and clients will be distributed to them indiscriminately. To farther addendum these questionnaires, the research worker will use other on-line diaries, books, written articles and magazines in the procedure of roll uping informations ( Fisher and Hronec, 1993 ) . The pick of this method will be based on the fact that through it the research worker will be able to associate theoretical positions with research intents, and that the informations to be collected will arouse the findings of the analysis ( Fisher and Hronec, 1993 ) .

Questionnaire Drafting

Both unfastened ended and closed ended questionnaire inquiries were used in the aggregation of informations from the research sample. Questionnaires outlining was done with a clear apprehension of the diverseness of the people in Saudi. In add-on, the mark ends of the research procedure ( Maloney 2006 ) . The inquiries used had different sets of inquiries that targeted the respondents in different formats ( Jick, 1979 ) . The open-ended inquiries used aim some of the respondents such as main information officers, main executive officers and employees of several organisations. The closed-ended inquiries used enabled the participants in the organisations, to reply from the legion given figure of options ( Jick, 1979 ) .

Restrictions of the survey

The range of this survey shall be on the planetary all sectors of the human resource direction, even though the respondents shall come from within the Saudi Arabia part. This therefore, shall connote that the information obtained shall be limited to merely those interviewed. However, the research worker shall try to happen resourceful information from oversee organisations through the usage of engineering such as telephone calls and emailed questionnaires ( Hiromto,

1991 ) . However, this attack shall be limited because one can ne’er cognize whether the responses are echt or false. Another restriction is on clip. The all sector is a huge country in footings of research survey. Therefore, the research shall merely be limited due the limited clip available. Another restriction shall be on the quality of the responses given ( Fisher, Hronec, 1993 ) . A great trade of employees has expressed concerns over the information that they can give, and the surety of confidentiality. This is likely to impact respondents in make up one’s minding the sort of information they could be willing to give. In general, restrictions shall be experienced in footings of clip, money, and range of survey ( Fisher and Hronec, 1993 ) .


The research has been estimated to follow the undermentioned timeline: phase one represents information aggregation ; phase two, informations analysis ; phase three, induction of research composing procedure.

Jan 25-feb 27,2011

Jan 28-feb 28,2011

Feb 1-feb 28,2011













Undertaking Proposal

Literature Review

Phase one

Phase two

Phase three

Dissertation finalisation



The research worker in the due class of the research has estimated the undermentioned costs:



Data Collection costs ( questionnaire printing and poster )


Interview costs ( scheduling, going, telephone )


Books, cyberspace, and diary costs





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