Exploring antecedents of experimentation and implementation of the balanced scorecard

Geert Braam and Ed Nijssen

Journal of Management & Organization, 2011, vol. 17, issue 6, 714-728

Abstract: Adoption of management innovations like the balanced scorecard is generally a complex process. Many subdecisions are involved and customization is often required before firms can enjoy the benefits of these innovations. Consequently, firms tend to experiment before finally implementing such complex innovations. We develop a framework differentiating between antecedents of experimentation with and actual implementation of the balanced scorecard, a distinction that has largely been neglected in the literature. Focusing on a small set of firms that experimented with the balanced scorecard, we provide initial empirical evidence. The results support the framework showing that top management involvement, innovation-contingent departments and organizational-context factors play a significant positive role in the experimentation stage, while interdepartmental communication and formalization are important variables with positive and negative influences in the implementation stage. We discuss the findings and their managerial implications.

Date: 2011
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