Corporate Corporate Strategy Employees Attitudes Toward The Balanced Scorecardstrategy Employees Attitudes Toward The Balanced Scorecard

Advances in Management Accounting
Corporate Strategy, Employees Attitudes Toward the Balanced Scorecard, and

Corporate Performance: A Contingency Approach
Majidul Islam, Hani Tadros
Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)
Article information:
To cite this document: Majidul Islam, Hani Tadros. "Corporate Strategy, Employees
Attitudes Toward the Balanced Scorecard, and Corporate Performance: A Contingency
Approach" In Advances in Management Accounting. Published online: 09 Mar 2015;
149-182.
Permanent link to this document:
http://dx.doi.org/10.1108/S1474-7871(2012)0000021012
Downloaded on: 31 October 2015, At: 04:58 (PT)
References: this document contains references to 33 other documents.
To copy this document: permissions@emeraldinsight.com
The fulltext of this document has been downloaded 390 times since NaN*
Users who downloaded this article also downloaded:

Adam S. Maiga, (2012),"The Effects of Information Technology Integration on
Manufacturing Financial Performance: The Role of Cost Control Systems",
Advances in Management Accounting, Vol. 21 pp. 183-206 http://dx.doi.org/10.1108/
S1474-7871(2012)0000021013
Gerui (Grace) Kang, Alan C. Roline, (2012),"The Contagion Effect in
Performance Evaluations in the Context of Balanced Scorecards", Advances
in Management Accounting, Vol. 20 pp. 101-124 http://dx.doi.org/10.1108/
S1474-7871(2012)0000020011
Lan Guo, Bernard Wong-On-Wing, Gladie Lui, (2012),"Motivational Effects of Linking
Incentives to Different Measures in Strategic Performance Measurement Systems:
Implications for Proactive Strategic Behavior", Advances in Management Accounting,
Vol. 20 pp. 209-240 http://dx.doi.org/10.1108/S1474-7871(2012)0000020015
Access to this document was granted through an Emerald subscription provided by

emerald-srm:393990 []
For Authors
If you would like to write for this, or any other Emerald publication, then please
use our Emerald for Authors service information about how to choose which
publication to write for and submission guidelines are available for all. Please visit
www.emeraldinsight.com/authors for more information.
About Emerald www.emeraldinsight.com

Emerald is a global publisher linking research and practice to the benefit of society.
The company manages a portfolio of more than 290 journals and over 2,350 books
and book series volumes, as well as providing an extensive range of online products
and additional customer resources and services.
Emerald is both COUNTER 4 and TRANSFER compliant. The organization is a partner
of the Committee on Publication Ethics (COPE) and also works with Portico and the
LOCKSS initiative for digital archive preservation.
*Related content and download information correct at

time of download.
CORPORATE STRATEGY,
EMPLOYEES ATTITUDES TOWARD
THE BALANCED SCORECARD,
AND CORPORATE PERFORMANCE:
A CONTINGENCY APPROACH
Majidul Islam and Hani Tadros
ABSTRACT
Behavioral aspects and positive attitudes toward the balanced scorecard
(BSC) could be a determinant factor in the success of BSC implementation. In the study we use the contingency theory framework to examine
whether adopting a planned strategy improves employees buying into the
BSC and helps to maximize the benets of BSC implementation by
enhancing corporate performance. We hypothesize that employees
attitudes and perceptions toward the implementation of the BSC are
contingent upon the type of strategy the rm is employing and the
suitability of deploying the BSC with this strategy in place. We use a path
model that draws an association between the rms strategy and employee
attitudes toward BSC implementation and employs OLS regression to
test the association between the variables. We also examine whether
employees positive attitudes help to improve a rms performance as
proxied by the customer, internal processes, learning and innovation, and
Advances in Management Accounting, Volume 21, 149182

Copyright r 2012 by Emerald Group Publishing Limited
All rights of reproduction in any form reserved
ISSN: 1474-7871/doi:10.1108/S1474-7871(2012)0000021012
149
150
MAJIDUL ISLAM AND HANI TADROS
nancial perspectives of the BSC. We sent a mail survey to Canadian and

US rms to collect the necessary data in order to conduct this study.
Conforming to our expectations, we nd that rms that carefully plan
their strategic objectives are more likely to have a positive impact on their
employees perception of the BSC. A deliberate strategy or planned
strategy as dened by Mintzberg (1978) is associated with higher levels
of BSC awareness, perceptions of BSC ease of use, perceptions of BSC
usefulness, and intentions to use the BSC. We also nd that higher
perceptions of BSC ease of use are positively associated with aspects of a
rms performance, such as from the customer, internal processes, and
learning and innovation perspectives. Hence, we conclude that rms
implementing the BSC need to take into consideration that the successful
implementation of the BSC requires careful planning to ensure that the
rms strategic objectives are well formulated, in agreement with BSC
measures, and effectively communicated to BSC users.
INTRODUCTION
Since Kaplan and Norton (1992) developed the balanced scorecard (BSC)
for performance and strategic management, the tool has gained prominence
in industry and academic research. The BSC relies on the interaction and the
complementarities between four aspects of the rm nancial, customer,
internal business, and innovation and learning perspectives to drive the
rms future nancial success in a sustainable manner. There is some
empirical evidence that rms that implement the BSC achieve some form of
success and enhanced nancial performance (Bento & White, 2010; De
Geuser, Mooraj, & Oyon, 2009; Hoque & James, 2000; Maiga & Jacobs,
2003). The normative approach advocates that a blend of measures drawn
from the four scorecard perspectives would contribute toward organizational performance (Kaplan & Norton, 1992, 1996). Van der Stede, Chow,
and Lin (2006) emphasize that performance measures play a very important
role in translating an organizations strategy into desired organizational
behaviors and consequent results, as well as in helping to communicate
expectations, monitor progress, provide feedback, and on the other hand,
motivate employees who would be under the BSC control system through
performance-based rewards. Nevertheless, the difculty in implementing
the BSC impedes companies, on numerous occasions, from achieving the
Strategy, Balanced Scorecard, and Corporate Performance
151
desired results (Chen & Jones, 2009; Johanson, Skoog, Backlund, &
Almqvist, 2006).
Research studies cite employees behavioral issues as a potential
demotivator to the use of management control systems. The technology
acceptance model (TAM) (Davis, 1989; Davis, Bagozzi, & Warshaw, 1989)
examines employees behavioral issues and shows that positive perceptions
of the technologys ease of use and usefulness increase employees liking of
the technology and the likelihood that employees would use that technology. However, there is a lack of evidence that overcoming these behavioral
issues would have a positive impact on performance (Chenhall, 2003). This
study aims at lling that gap in the literature by examining the link between
employee acceptance of the BSC and rm performance.
The Link Between Employees Behavioral Factors Toward Balanced

Scorecard Usage and Firm Strategy
Some studies that explain the failure of the BSC in improving performance
claim that the widespread adoption of nonnancial measures is generally
based on the idea that nancial measures are characterized by being narrow
in focus, historical in nature, may be aggregated, and too one-dimensional to
be useful (e.g., Budde, 2007; DeBusk, Killough, & Brown, 2005; Ittner,
Larcker, & Randall, 2003; Lau & Sholihin, 2005). On the other hand, Kaplan
and Norton (2001) emphasize the linkage between the different measurements of the BSC and the rms strategy to promote the nonnancial
measures from a strategic operational point of view. In other words, the t
between the BSC and the rms strategy is fundamental for a successful
implementation. Firms with planned strategies strategies with well-dened
objectives are more likely to be able to integrate their strategic objectives
into the BSC system. That premeditated path, from developing the rms
strategy to accordingly designing the BSC system, may improve the effectiveness of communicating the BSC objectives, which increases the likelihood of
having the employees buy into the BSC, develop positive attitudes toward
it, and accept to use it as a management control system. Therefore, we suggest
that the success of deploying the BSC relies on the rms ability to positively
affect employees attitudes toward the BSC. This is contingent upon the t
between the rms strategy and the BSC, which is measured by how well the
rms strategy is incorporated into the BSC objectives and the suitability
of deploying the BSC while this type of strategy is in place.
152
The Impact of the Internal Environment on the Firms Strategy and

Employees Attitudes Toward BSC Implementation
Finally, the t between the BSC and strategy may not ensure enhanced
performance, since other variables, such as competition or cost structure
(Langeld-Smith, 2007), may also affect the usage of the BSC. Therefore,
to ensure a successful implementation, the rm also needs to manage a t
between BSC usage and other internal factors of the rms environment. To
the best of our knowledge, this has not been examined in the management
accounting literature. This study would like to contribute to the literature by
examining the link between behavioral factors of BSC adoption and
corporate strategy and its impact on performance.
In this study, we rst examine the effect of t between the rms strategy
and the BSC on employees acceptance of the BSC as a management control
system. We hypothesize that rms that employ a planned strategy are more
suitable to deploy the BSC, since a planned strategy ensures that BSC
objectives are well communicated to employees, which positively affects
their attitudes toward the BSC. We also examine whether employees
acceptance of the BSC would lead to improved performance; a model is
presented in Fig. 1. We study a sample of rms who implement the BSC and
Internal
Factors
Strategy
Employee
attitudes
toward BSC
Implementation
External
Factors
Fig. 1.
Balanced Scorecard Implementation Model.
Performance
153
assess the impact of having a deliberate or planned strategy on employee

attitudes and behaviors toward the implementation of the BSC. We
hypothesize that a deliberate strategy that ensures integration of BSC
objectives and proper communication of these objectives during BSC
implementation will positively inuence employees attitudes toward
BSC implementation, which will consequently have a positive impact on rm
performance.
The ndings of this study would help explain and predict the likelihood
that BSC implementation would lead to improved performance. We also
believe that this study provides a validation to the TAM, as it shows that the
behavioral aspect is an important factor in BSC implementation, since it has
an impact on performance. Furthermore, it also provides guidance to rms
on how they could make the most of BSC usage and maximize its expected
benets.
Section Theory and hypotheses development provides a review of the
literature and hypothesis development. Section Method includes the
sample description and the methodology used for our analysis. Section
Results is a discussion of the research ndings. Finally, the conclusion and
research limitation are presented in Section Conclusion.
THEORY AND HYPOTHESES DEVELOPMENT

Success of BSC Implementation, Firm Strategy, and
the Contingency Framework
The use of the BSC as a management control system is not a blueprint for
success, since different rms operate at different levels of uncertainty. The
ability of the BSC to inform managers on how to respond to the rms level
of uncertainty determines the success of the BSC as a management control
system. In order to respond to uncertainty, the contingency theory
framework predicts that control systems would lead to improved performance if they act in concurrence with other factors of the rms internal
environment (Govindarajan, 1984, 1988; Hayes, 1977; Hirst, 1983; James &
Elmezughi, 2010). For example, James and Elmezughi (2010) show that
improvement in performance resulting from the use of BSC and activitybased costing (ABC) is contingent on the rms strategy. They nd that
rms adopting a cost leadership strategy improve their customer and innovation performance in comparison with rms with a differentiation strategy.
Govindarajan (1988) nds that rms that employ a differentiation strategy
154
achieve more success when they put less emphasis on meeting budgetary
conditions in comparison with rms that employ a low-cost strategy. In
brief, t between the rms strategy as well as other internal factors and
the control system used by the rm is essential for a successful deployment
of the control system.
Employees Attitudes Toward Balanced Scorecard Implementation and

the Firms Performance
Further, human resource factors are a major factor in the failure to deploy
management control systems (Chen & Jones, 2009; Johanson et al., 2006).
The disconnection between the rms strategic objectives and the BSC
objectives might lead to poor development and communication of BSC
objectives, resulting in lower levels of employee acceptance of the control
system, which, in turn, could harm rather than benet performance. In this
article, we study this relationship between the rms strategy, employee
attitudes toward BSC implementation, and performance, using a sample of
rms who have implemented the BSC as a tool for management control.
There are many cases where rms fail to put the BSC into operation, and
academic research attempts to explore the factors behind failures (Johanson
et al., 2006). In a survey of 96 MBA students, Chen and Jones (2009)
highlight the importance of employee buy into the BSC for the rm to
derive the expected benets from implementation. They nd that the
disengagement between employees goals and those of the BSC in other
words, goals set by their managers is the reason for employee
dissatisfaction. Further, they also nd that BSC measures and benets
are not well communicated to employees. Johanson et al. (2006) criticize
companies for employing a top-down approach in BSC implementation that
does not allow employee participation in the process. Therefore, employee
involvement and attitude toward the BSC are major success factors in BSC
implementation.
Islam and Kellermanns (2006) examine an individual-level model similar
to the TAM developed by Davies (1989) that embraces behavioral issues
that could enhance or impede BSC usage inside the rm. They examine the
association between four different factors and nd that employee awareness
of the BSC capabilities leads to a better perception of the BSCs ease of use
and usefulness. Further, perception about the BSCs ease of use is also associated with positive perception of the BSCs usefulness. Finally, perception of
the BSCs usefulness among employees leads to greater intention to use the
155
BSC as a management control tool. Whether the ndings of Islam and

Kellermanns (2006) have an impact on rm performance remains unknown.
Based on contingency theory framework, Chenhall (2003) predicts that
positive perceptions about the ease of use and usefulness of a management
control system would lead to better usage of the system, which would
accordingly improve performance. Hence, we hypothesize that the four
behavioral issues examined by Islam and Kellermanns (2006) would
inuence rm performance following the implementation of the BSC.
H1. Awareness of BSC capabilities is positively associated with rm
performance.
H1a. Perception of BSC ease of use is positively associated with rm
performance.
H1b. Perception of BSC usefulness is positively associated with rm
performance.
H1c. Intention to use the BSC is positively associated with rm
performance.
Strategy and Employees Attitudes Toward Balanced Scorecard

Implementation
The association of management control systems with the companys strategy
is documented in management accounting literature (Langeld-Smith,
2007). In this reciprocal relationship, the rms strategy helps to dene
the type of control system required by the rm (Kaplan & Norton, 2001). In
return, the control system provides the companys management team with
the necessary support for strategy realization.
Strategy is quite an abstruse term that many scholars attempt to dene.
According to Mintzberg (1978), strategy goes through two phases:
formulation and realization. He suggests that not every formulated strategy
ends up being implemented. On the other hand, a rm might realize a
strategy that results from regular daily operating decisions that end up
building the rms strategy, which he calls emergent strategy. Miles,
Snow, Meyer, and Coleman (1978) dene three types of rm strategies:
defender, prospector, or analyzer. A defender strategy is based on
maintaining stability through continuous improvement of current products
or services. Meanwhile, a prospector strategy is built around a dynamic
156
environment that favors innovation. The analyzer strategy falls halfway on

the defenderprospector spectrum. Similarly, Porter (1980) also denes
three types of strategies: cost leadership, differentiation, and focus.
Despite the differences, there is common ground between these denitions. According to Langeld-Smith (2007), a defender strategy and a cost
leadership strategy require a high level of planning with structured and
detailed control systems in order to achieve results. This draws a parallel
with Mintzbergs (1978) denition of deliberate strategy, a strategy that
goes from a careful phase of formulation into the implementation phase.
Alternatively, Langeld-Smith (2007) claims that prospector and differentiation adopter rms prefer more exibility and less formal control
systems, as mandated by the dynamic environment in which they operate.
These types of rms may adopt an emergent strategy, as dened by
Mintzberg (1978), where the realized strategy is a result of the decisions
made in response to the changes in the environment rather than a preplanned process.
We suggest that rms adopting a deliberate strategy are more inclined to
adopt a structured management control system, including one such as the
BSC. These rms would carefully plan the implementation of the BSC and
ensure that the four elements customer, nancial, internal business,
learning, and innovation were reective of the rms strategy. Further, they
would ensure that objectives were carefully communicated to employees,
which would have a positive impact on their attitudes toward the BSC
implementation. Hence, we hypothesize that a deliberate strategy is positively
associated with the four behavioral factors of BSC implementation.
H2. A deliberate strategy is positively associated with awareness of BSC
capabilities.
H2a. A deliberate strategy is positively associated with perception of BSC
ease of use.
H2b. A deliberate strategy is positively associated with perception of BSC
usefulness.
H2c. A deliberate strategy is positively associated with the intention to
use the BSC.
Alternatively, rms following emergent strategies might have their
objectives changing constantly. If these rms adopt the BSC, they would
have difculty in embedding their continually changing strategic objectives
into the four perspectives of the BSC. Thus, rms would not be able to rely
157
on predened measures of nancial, customer, learning and innovation, and

internal processes, since their emergent strategies would require these
measures to evolve continually. Consequently, it would create confusion
among the users of the BSC and negatively affect their perception about the
tool. Therefore, we hypothesize that an emergent strategy is negatively
associated with the four factors of BSC implementation.
H3. An emergent strategy is negatively associated with awareness of BSC
capabilities.
H3a. An emergent strategy is negatively associated with perception of
BSC ease of use.
H3b. An emergent strategy is negatively associated with perception of
BSC usefulness.
H3c. An emergent strategy is negatively associated with the intention to
use the BSC.
Control Variables
Employees Attitudes Toward BSC Implementation and the Firms Internal
Characteristics
A rms internal characteristics affect the success of implementing a control
system such as the BSC. For example, Chen and Jones (2009) nd that
differences exist between BSC adopters and nonadopters in terms of
information capital. They claim that BSC adopters have more developed
information systems that enable rms to process information in real time,
thus facilitating the adoption process. Lingle and Schiemann (1994) discuss
the role of management information systems in the success of strategy
formulation and implementation. They suggest that inefcient information
systems lead to data scatter, which creates three problems that hinder the
effective formulation and implementation of the rms strategy. First, it
creates strategy silos, where executives dene the rms strategy according
to their set of data. Second, it creates a data war, where each executive
uses the data at his/her possession to defend his/her strategic focus. Again,
inadequate data at the time of strategy formulation leads to continual
changes in strategic objectives as new information emerges. Therefore, it is
necessary to control for the rms internal characteristics, since they may
play a role in determining employees attitudes toward BSC implementation.
158
Based on prior research, we control for rm size, marketing strengths

(change in market share, percentage of sales from new products), operational strengths (employee productivity and employee retention), and
information system strength.
Firm Strategy and External Variables

Govindarajan and Gupta (1985) suggest that a good t between the elements
of the rms external environment, the rms strategy, and its choice of control
system would result in better corporate performance. There is evidence that
external variables are determinants of the rms strategy; furthermore, there is
also evidence that external variables would affect the choice of the
management control system. Khandwalla (1972) nds that operating in a
market characterized by strong competition increases the need for formal
control systems. Therefore, we suggest that variables of the rms external
environment would determine the rms type of strategy, which, consequently, would determine the success of implementing that control system
with this type of strategy in place. We control for the level of competition for
market share, change in consumer behavior, change in product life cycle, and
change in social, legal, and political environments as determinants of the
rms strategy.
METHOD
Sample Selection
We collected data for this study by surveying individuals in management
teams in American and Canadian companies, using the Dunn and Bradstreet
database. We sent the survey questionnaires to 800 companies by mail in
November 2008. We followed up with phone calls two weeks after the mailing
date and received responses until February 2009. The survey consisted of
questions about the rms internal processes, external environment, strategy,
BSC perceptions, and corporate performance. In most of the questions,
the respondent showed his/her level of agreement with the subject by using
a seven-point Likert-scale (see Table 1 for details). The survey ensured that
all respondents were kept anonymous.
We received 91 responses, representing an 11.4% response rate. In this
study, we analyze the responses of 63 rms who indicated that they use the
Measures of Strategy, Employees Attitudes Toward the BSC Implementation, Performance, and
Internal and External Factors.
Table 1.
159
160
161
162
163
164
165
166
BSC. The main reason for the low response rate was that the rms
management was busy managing the economic depression at the end of
2008. Other reasons for not answering the survey included company policy
on not responding to surveys and the unavailability of the contact person.
Denition of Variables
Table 1 shows the measures that we use to proxy for the different variables
employed in this study.
Corporate performance: We use a large number of indicators to proxy for
rm performance. Since these indicators could be linked together, we
employ factor analysis to reduce the number of indicators for performance.
The study examines the four dimensions of performance as described by
Kaplan and Norton (1992): nancial, customer, internal business, and
innovation and learning. Measures of rm performance are presented in
Table 1.
Employees behavioral factors toward BSC implementation: As was
previously mentioned, we adopt the four measures developed by Islam and
Kellermanns (2006) to proxy for the different behavioral factors affecting
the implementation of the BSC. These factors were awareness of BSC
capabilities, perceptions of BSC ease of use, perceptions of BSC usefulness,
and intentions to use the BSC. Table 1 presents the measures of employees
attitudes toward BSC implementation.
Firm strategy: We examine one characteristic of rm strategy as dened
by Mintzberg (1978): whether the rms realized strategy is a result of a
preformulated strategy (i.e., deliberate strategy) or whether it is an outcome
of a management decision-making process in response to a changing
environment (emergent strategy). The survey asks the respondents to
describe whether the rms strategy is planned in advance or whether it is
formulated over time. Measures of the rms strategy are presented in
Table 1.
Internal factors: We examine the rms capabilities and characteristics
such as the extent of use of information systems, productivity, employee
retention, product development, and market performance.
External factors: In terms of external factors, we examine the level of
competition in the rms market, changes in consumer demands, changes in
the outside technology related to product, manufacturing, and information
processing, changes in social, political, and legal environments, and product
life cycle.
167
RESULTS
Determining Firm Performance Using Factor Analysis

To understand the association between the different variables, we draw a
path model where we use OLS regression to test the relation between the
variables, as indicated in Fig. 1. Table 2 summarizes the results of the factor
analysis that dene the different constructs of BSC awareness, perception of
BSC ease of use, perception of BSC usefulness, intention to use BSC,
strategy, nancial perspective, customer perspective, internal business
perspective, and innovation and learning perspective. According to Kwok
and Sharp (1998), we test the reliability of the different measures using
Cronbach Alpha and use the results of the factor analysis to assess the
validity of our constructs. The results in Table 2 show that the different
measures have an acceptable level of internal consistency (Cronbach Alpha
between 0.5 and 0.9) except for one measure of the rms performance
customer perspective which has a low Cronbach Alpha (0.126 for the
customer satisfaction component and 0.293 for the new products
component). The high factor loading (above 0.5) provides assurance that
the different measures are representing the constructs we want to measure.
Table 1 shows the denition we employ for the internal and external
characteristics of the rm. For the internal characteristics we asked the
respondents to report on the emphasis placed by their rm on the introduction of new products, gain of market share, productivity, and employee
retention. We also assess the rms information system capabilities and
control for rm size. As for the external environment in which the rm was
operating, we asked the respondents to assess changes in product, manufacturing, and information technologies and product life cycle. We also
asked them to assess the threats made by changes in customer preferences
and the legal, political, and social environment. Table 3 presents the Pearson
correlation between the different variables.
It should be mentioned that the customer perspective reported in Table 2
has two components. The rst component is associated with the introduction of new products; hence, it is called New Products. The second factor,
called Customer Satisfaction, is related to customer satisfaction measures
and product quality. The strategy construct also has two components. The
rst component reported in Table 2 loads positively on measures of
Deliberate Strategy and loads negatively on measures of Emergent
Strategy. The second component loads on one measure of Emergent
Strategy. We retain the rst component, since it provides an explanation
168
Table 2.
Results of Factor Analysis.
Factor analysis for the attributes of strategy

We typically dont know what the strategic priorities of
our business strategy should be until we engage in
some trial and error actions
My Organizations strategic priorities are carefully
planned and well understood before any signicant
competitive actions are taken
Formal strategic plans serve as the basis for our
competitive actions
My Organizations strategic priorities are typically not
planned in advance but, rather, emerge over time as
the best means for achieving our objectives become
clearer
Competitive strategy for my organization typically
results from a formal business planning process (i.e.,
the formal plan precedes the action)
Cronbach Alpha for measures of emergent strategy
Cronbach Alpha for measures of deliberate strategy
Factor analysis for the attributes of BSC awareness
I know the feature of the balanced scorecard approach
I am aware of the cost of deploying balanced scorecard
I know the extent of benets that can be derived by
deploying the balanced scorecard
I dont know the type of business activities in which
balanced scorecard information can be deployed
Cronbach Alpha for measures of BSC awareness
Component
Loading
Variance
Explained
(%)
0.480
42.9
0.606
0.841
0.622
0.672
0.511
0.709
0.931
0.893
0.931
0.658
0.709
Factor analysis for the attributes of perception of BSC ease of use

The balanced scorecard approach is easy to learn
0.903
The balanced scorecard approach is clear and
0.919
understandable
The balanced scorecard approach is easy to use
0.863
The balanced scorecard approach is exible
0.878
The balanced scorecard approach is hard to follow
0.760
Cronbach Alpha for measures of perception of BSC ease
of use
74.1
75.1
0.923
Factor analysis for the attributes of perception of BSC usefulness

Using balanced scorecard would improve company
0.949
performance
86.3
169
Table 2. (Continued )
Component
Loading
Using balanced scorecard in the company would

increase productivity
Using balanced scorecard would enhance effectiveness
in the company
I nd balanced scorecard would be useful in my
company
0.896
Cronbach Alpha for measures of perception of BSC

usefulness
0.947
0.926
0.944
Factor analysis for the attributes of BSC intention to use

Assuming I had access to BSC, I intend to use it
Given that I had access to BSC, I predict that I would
use it
0.95
0.95
Cronbach Alpha for measures of BSC intention to use
0.892
Factor analysis for the attributes nancial perspective

Rate of return on investment (ROI)
Percentage of market share
Sales growth
Cash ow from operations
0.823
0.648
0.561
0.737
Cronbach Alpha for measures of nancial perspective
0.643
Component Loading
New Products
Factor analysis for the attributes customer perspective

Product (or service) quality
0.138
Customer satisfaction with
0.232
product/service delivery
process
Percentage of sales from new
0.632
products
Development of markets for new
0.838
or existing products
Cronbach Alpha for measures of
measures of customer
satisfaction
Cronbach Alpha for measures of
new products
0.126
0.293
Variance
Explained
(%)
90.2
48.9
Variance Explained (%)
Customer
Satisfaction
0.838
0.553
0.329
0.137
57.8
170
Component
Loading
Factor analysis for the attributes of internal processes perspective
Comparative costs with similar unit of competitors (or
0.574
service provider)
Decrease in percentage of waste and rework (or error
0.770
correction)
Decrease in percentage of total cost to net sales (services
0.737
or products)
Decrease in percentage of sales returns
0.593
Time to market (make available to public) new products
0.560
Your companys budget for waste management
0.593
Cronbach Alpha for measures of internal processes
41.4
0.683
Factor analysis for the attributes of learning and innovation perspective

Employee satisfaction
0.568
Investment in information technology/E-commerce
0.786
Workplace relations
0.617
Employee health and safety
0.810
Employee training and development
0.857
Cronbach Alpha for measures of learning and
innovation
Variance
Explained (%)
54.2
0.781
for 43% of the variation in strategy measures and since the interpretation of
that component is in agreement with our expectations. The second component
is not reported in this study. The higher the values of the strategy construct,
the more the rm is inclined toward the adoption of a Deliberate Strategy,
and the lower value of that construct meant that the rm tends to adopt an
emergent strategy.
Discussion of the Correlation Matrix

Regarding the correlation between the different variables, Table 3 shows
that there is a positive correlation between a rms strategy and the four
variables representing employees attitudes toward the BSC implementation.
This suggests that a deliberate strategy is associated with higher levels
of BSC awareness, perception of BSC ease of use, perception of BSC
usefulness, and intention to use the BSC. The high levels of correlation
Table 3.
Strategy
Strategy
BSC_Awareness
BSC_Ease_of_Use
BSC_Usefulness
BSC_Intention_to_Use
Financial
Customer_New_Product
Customer_Satisfaction
Internal_Processes
Learning_Innovation
Size
Sales from new products
Market share
Productivity
Information systems
Employee retention
Competition
Product technology
Manufacturing
technology
Information technology
Legal environment
Customer preferences
Product life cycle
Social environment
1
0.562
0.465
0.466
0.477
0.309
0.182
0.155
0.078
0.123
0.129
0.022
0.143
0.02
0.176
0.141
0.471
0.21
0.313
0.238
0.219
0.274
0.213
0.119
Pearson Correlation.
BSC_
Awareness
BSC_
Ease_of_Use
1
0.610
0.895
0.777
0.334
0.023
0.116
0.041
0.073
0.266
0.021
0.241
0.181
0.392
0.016
0.422
0.471
0.480
1
0.680
0.698
0.275
0.295
0.148
0.404
0.451
0.399
0.232
0.107
0.106
0.107
0.101
0.11
0.106
0.205
1
0.827
0.252
0.006
0.157
0.012
0.105
0.183
0.098
0.303
0.06
0.418
0.066
0.413
0.448
0.488
1
0.223
0.047
0.209
0.037
0.027
0.340
0.039
0.097
0.276
0.153
0.095
0.366
0.27
0.477
0.285
0.066
0.138
0.024
0.181
0.332
0.031
0.536
0.408
0.393
0.281
0.082
0.283
0.198
0.300
0.291
0.084
0.509
0.413
0.396
BSC_Usefulness
BSC_Intention_
to_Use
Financial
Customer_
New_Product
Customer_
Satisfaction
Internal_
Processes
Learning_
Innovation
1
0.013
0.182
0.235
0.267
0.414
0.013
0.338
0.043
0.477
0.237
0.005
0.257
0.310
1
0
0.599
0.605
0.125
0.064
0.036
0.117
0.068
0.135
0.096
0.065
0.107
1
0.166
0.05
0.071
0.181
0.05
0.083
0.036
0.207
0.047
0.046
0.063
1
0.693
0.04
0.274
0.026
0.094
0.24
0.092
0.167
0.007
0.106
1
0.203
0.252
0.064
0.185
0.204
0.141
0.201
0.015
0.148
0.152
0.021
0.108
0.193
0.178
0.206
0.314
0.032
0.056
0.299
0.138
0.046
0.043
0.008
0.127
0.455
0.039
0.199
0.043
0.097
0.480
0.122
0.144
0.036
0.1
Size
Size
Sales from new products
Market share
Productivity
Information systems
Employee retention
Competition
Product technology
Manufacturing technology
Legal environment
Product life cycle
Social environment
1
0.082
0.068
0.233
0.153
0.077
0.009
0.135
0.169
0.199
0.036
0.056
0.043
0.081
Sales from Market Productivity Information Employee Competition Product Manufacturing Information
Legal
Customer Product
Social
New Products Share
Systems
Retention
Technology Technology Technology Environment Preferences Life Cycle Environment
1
0.11
0.318
0.042
.292
0.158
0.044
0.037
0.257
0.084
0.068
0.019
0.015
1
0.637
0.483
0.411
0.394
0.311
0.307
0.122
0.344
0.19
0.433
0.379
N 63. po.1 level (2-tailed); po.05 level (2-tailed).
1
0.12
0.459
0.26
0.034
0.011
0.044
0.021
0.027
0.103
0.118
1
0.231
0.293
0.351
0.241
0.309
0.357
0.204
0.414
0.391
1
0.12
0.279
0.16
0.248
0.165
0.119
0.288
0.293
1
0.314
0.395
0.415
0.158
0.348
0.395
0.257
1
0.677
0.466
0.004
0.415
0.700
0.414
1
0.471
0.23
0.421
0.614
0.463
1
0.063
0.146
0.331
0.330
1
0.159
0.047
0.004
1
0.420
0.358
1
0.385
173
between the four variables representing employees attitudes toward the

BSC implementation may raise questions about the colinearity between the
measurements. It may be possible that the users overall experience with
the BSC biases their assessment of the level of awareness of BSC capabilities, perceptions about the BSC, and intention to use it. In other words,
users who have a positive BSC experience might be willing to provide a high
evaluation regarding their level of BSC awareness, perception of BSC ease
of use, perception of BSC usefulness, and intention to use the BSC and vice
versa. A positive correlation between BSC ease of use and internal processes
and innovation and learning shows that BSC ease of use is essential to
engage employees in using the BSC and improving some aspects of a rms
performance. However, it is the higher awareness of the BSC capabilities
that results in higher nancial performance, as shown by the positive correlation between the two variables.
Regression Analysis
Association between a Firms Strategy and Employees Attitudes Toward
BSC Implementation
Table 4 shows that rms that face increased market competition, higher
changes in manufacturing technology, and higher legal and political threats
are more likely to adopt a deliberate strategy, meaning that these rms plan
Table 4.
Regression Results of the Effect of Firms External

Factors on Strategy.
Strategy
b
Competition
Product technology
Manufacturing technology
Legal environment
Product life cycle
Social environment
0.356
0.175
0.306
0.076
0.301
0.220
0.026
0.119
N 63. po.1 level (2-tailed); po.01 (2-tailed).
R2
0.386
3.064
174
their strategic actions more carefully and ensure that their plans are
implemented accordingly.
As predicted in H2 and H3, there is a positive association between the
type of strategy used and the employees attitudes toward BSC implementation awareness, perception of ease of use, perception of usefulness, and
intention to use (refer to Table 5). This means that rms that adopt a
deliberate strategy are more likely to positively inuence employees
attitudes toward BSC implementation, and rms that adopt an emergent
strategy are less likely to do so. A possible explanation for this nding is that
the implementation of the BSC requires a lot of preparation on the part of
the rm; therefore, anticipation and early resolve on objectives facilitate the
communication of the BSC capabilities to the employees and ensure their
buy-in.
Association between a Firms Internal Factors and Employees Attitudes
Toward BSC Implementation
Table 6 shows the association between the internal characteristics of the rm
and the employees attitudes toward the BSC implementation. Intuitively,
rms that focus on the development of their information systems are
associated with higher levels of BSC awareness. A probable explanation is
that the development of information systems helps communicate the BSC
capabilities effectively to employees. However, a developed information
system neither ensures that the employees would perceive the BSC as being
easy to use or its usefulness nor guarantees that employees will use the BSC.
Firms with a focus on revenue-side activities, such as increase in market
share, would nd the BSC more useful and would be much more willing to
use it. A focus on market share is also associated with higher BSC awareness
but is not associated with BSC perception of ease of use. Interestingly, rms
associated with cost-reduction activities, such as increasing productivity, are
not in favor of implementing the BSC. A possible explanation is that the
implementation of formal control systems requires a lot of time and could
be seen as being counterproductive. A focus on increasing productivity
means that employees are less aware of BSC capabilities. They are less likely
to perceive it as a useful tool and less likely to use it.
Similar to the results of the study by Islam and Kellermanns (2006)
(results are not reported), BSC perception of ease of use and BSC perception
of usefulness are associated with BSC awareness. BSC perception of ease of
use positively affects BSC perception of usefulness. Finally, BSC perception
of ease of use and BSC perception of usefulness positively affect BSC
intention to use.
Regression Results of the Effect of Strategy on Employee Attitudes Toward the BSC.
BSC Awareness
b
R2
Perception of BSC Ease of Use

F
Strategy 0.526 0.316 22.6 0.338

N 63. po.01 (2-tailed).
R2
0.216
F
12.12
Perception of BSC Usefulness

b
0.39
R2
0.218
F
12.79
BSC Intention to Use

b
R2
0.394 0.228 13.845
Table 5.
175
Regression Results of the Effect of Firms Internal Factors on Employee Attitudes Toward the BSC.
BSC Awareness
b
Size
Sales from new
products
Market share
Productivity
Information
systems
Employee
retention
0.032
0.063
Perception of BSC Ease of Use
R2
0.375
2.897
b
0.096
0.107
R2
0.124
F
0.638
Perception of BSC Usefulness

b
0.099
0.153
0.407
0.466
0.282
0.002
0.036
0.031
0.405
0.398
0.226
0.148
0.087
0.164
N 63. po.1 level (2-tailed); po.05 level (2-tailed).
BSC Intention to Use
R2
R2
0.375
2.695
0.025
0.099
0.275
1.775
0.297
0.462
0.018
0.127
176
Table 6.
177
Association between Employees Attitudes Toward BSC Implementation and

Firm Performance
As shown in Table 7, employees attitudes toward BSC implementation are
associated with improved levels of performance, as predicted by H1. It
seems that employees perception of BSC ease of use is the most important
factor that leads to improved performance. It is positively associated with
improved performance in the learning and innovation, customer, and
internal processes perspectives. Furthermore, awareness of the BSC
capabilities is associated with higher levels of nancial performance.
Inexplicably, awareness of BSC capabilities is negatively associated with
the internal processes perspective. The only explanation for this nding is
that the reliability of measuring internal processes, though acceptable, is not
high enough to guarantee a reliable measurement of the rms internal
processes (Cronbach Alpha of 0.683). Fig. 2 summarizes the ndings of our
model that links the rms strategy, employees behavioral factors toward
the implementation of the BSC, and rms performance.
CONCLUSION
In this study, we examine whether the t between the rms strategy and
management control in using the BSC had a positive impact on corporate
performance. We focus on behavioral issues affecting the implementation of
the BSC in companies. We hypothesize that a t between strategy and the
BSC would have a positive impact on the behavior of BSC users, which
could lead to better performance. We also control for the rms internal
characteristics and external environment that could affect the choice of the
rms strategy and the implementation of the BSC as a management control
tool.
We examine four behavioral factors that affect BSC implementation,
which are BSC awareness, perception of ease of use, perception of usefulness, and intention to use. Islam and Kellermanns (2006) show that these
factors are interrelated and that awareness about BSC capabilities is the
driver of employees perception of ease of use and usefulness, which in turn
increases the likelihood that employees will buy into the BSC and become
more willing to use it. Our study conrms these ndings. We argue that a t
between the rms strategy and BSC objectives would enhance employees
understanding of BSC capabilities and strengthen their view that the BSC
could help the rm to improve; thus, it could lead to advancing a rms
performance. BSC implementation is a complex task that requires careful
Regression Results of Employee Attitudes Toward the BSC on Corporate Performance.

Financial Perspective
Customer Perspective
New Products
b
R2
0.731 0.180 2.147 0.231
BSC awareness
Perception of
0.081
BSC ease of use
Perception of
0.327
BSC usefulness
BSC intention
0.030
to use
0.406
R2
Internal Processes
Perspective
Customer Satisfaction
R2
Learning and Innovation

Perspective
R2
R2
0.275
3.225
0.380
0.719
0.312
3.848
0.096 0.983 0.296 0.044 0.430 0.808

0.153
0.697
0.173
0.140
0.375
0.278
0.032
0.269
0.282
0.529
N 63. po.1 level (2-tailed); po.05 level (2-tailed); po.01 (2-tailed).
178
Table 7.
179
Performance
Internal Characteristics
Size
Sales from New Products
Market Share (*)
Productivity (*)
Information Systems (*)
Employee Retention
0.731*
Financial
Employee behaviours toward BSC

Implementation
0.338***
0.406*
Customer
Perception
Ease of Use
0.526*
Strategy
0.390***
External Characteristics
Competition*
Product Technology
Manufacturing Technology (*)
Information Technology
Legal Environment (*)
Customer Preferences
Product Life Cycle
Social Environment (*)
Intention to
Use
Awareness
0.697***
Internal
Processes
Perception
Usefulness
0.719**
0.394***
Learning and
Innovation
*** p < .01 (2-tailed), ** p < .05 level (2-tailed), * p < .1 level (2-tailed)
(*) Significant external and internal variables (refer to Tables 4 and 6 for details)
Fig. 2. Summary of Results.
planning, preparation, and thorough understanding. Hence, we expect those

rms with clear and planned strategies deliberate strategies, as dened by
Mintzberg (1978) to be more successful in communicating BSC
capabilities and selling the BSC to their employees. Alternatively, rms
with emergent strategies do not have a clear strategic vision, and BSC
implementation might cause confusion among the users if they experience
continuously changing objectives.
In agreement with our expectations, we nd that a planned strategy
facilitates BSC implementation, as it fosters employee buy-in of the control
system. Employees of rms with deliberate strategies are more likely to be
aware of BSC capabilities, have better perceptions about its ease of use and
usefulness, and are more willing to use the tool. We also nd that the
perception of BSC ease of use is the most important factor affecting perceived
performance. Our explanation is that employees awareness of BSC capabilities and usefulness is essential but not enough to drive performance. It is
employees perception that the BSC is easy to use that drives system
effectiveness, which leads to improvement in performance. Finally, we nd
that the development of strong communication and information systems was
180
vital for BSC implementation, as it helps to increase awareness of BSC

capabilities.
These ndings could be interesting to rms implementing, or planning
to implement, the BSC, as it provides them with a perspective on how to
maximize their benets from using the BSC as a management control
system. We propose that rms provide employees with planned objectives
that embrace the different BSC measures and clear guidelines on handling
the BSC in order to eliminate possible frustrations that could occur during
implementation and ensure employee buy-in.
Limitation of the Study

This is one of the studies exploring the survey data of the manufacturing
companies who are using the BSC. This study tests some hypotheses, and
the results are encouraging. However, the results cannot be generalized,
because there are some limitations of the study, and further investigation is
needed. We recognize that, during the period when the survey was
conducted, in 2008, the world economy, including that of the USA and
Canada, was undergoing an economic depression. Understandably, it may
be argued that the survey period was not a normal one, which could have
caused the sample size to be small. The current study mailed out the survey
questionnaires to all types of companies at random, based on sales and
industry description criteria. The ndings show aggregate inferences for
industries in general rather than for a particular type of industry. The result
of the use and implementation of the BSC could be different depending on a
type of industry, which requires further investigation. Future study for BSC
implementation and its implications on performance is required based on
the industry-specic data of the companies.
In this research study, we use a methodology that relies on surveying a top
management representative from each rm for his/her views of the rms
strategy, employees attitude toward the implementation of the BSC, and
the rms performance. One shortcoming of this research methodology is
that it generalizes the respondents attitude toward the implementation of
the BSC to represent other employees behavior. Another limitation is the
use of the respondents perception of the rms strategy and performance to
represent two constructs that take place at the rm level. These shortcomings could not be avoided, since we need to preserve the anonymity of
the rms and the respondents; therefore, we were not able to survey other
employees from the same rm or determine the rms performance through
181
the collection of secondary data. However, this research methodology is

accepted in management accounting research and has been employed in
many studies of management control systems (see Hoque & James, 2000;
Ittner, Lanen, & Larcker, 2002; Ittner et al., 2003; Pizzini, 2006).
ACKNOWLEDGMENTS
We acknowledge gratefully the funding from the SAP-CAAA Research
Grant program. We appreciate very much the comments by Emilio Boulianne
of Concordia University and Zahirul Hoque of La Trobe University on an
earlier draft of the article.
REFERENCES
Bento, A., & White, L. F. (2010). An exploratory study of strategic performance measurement
systems. Advances in Management Accounting, 18, 126.
Budde, J. (2007). Performance measures congruity and the balanced scorecard. Journal of
Accounting Research, 45(3), 515539.
Chen, C., & Jones, K. (2009). Are employees buying the balanced scorecard? Management
Accounting Quarterly, 11(1), 3644.
Chenhall, R. (2003). Management control systems design within its organizational context:
Findings from contingency-based research and directions for the future. Accounting,
Organizations and Society, 28(2/3), 127168.
Davis, F. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information
technology. MIS Quarterly, 13(3), 319340.
Davis, F., Bagozzi, R., & Warshaw, P. (1989). User acceptance of computer technology: A
comparison of two. Management Science, 35(8), 9821003.
De Geuser, F., Mooraj, S., & Oyon, D. (2009). Does the balanced scorecard add value?
Empirical evidence on its effect on performance. European Accounting Review,
18(1), 93122.
DeBusk, G. K., Killough, L. N., & Brown, R. M. (2005). Financial Measures bias in the use of
performance measures systems. Advances in Management Accounting, 14, 6189.
Govindarajan, V. (1984). Appropriateness of accounting data in performance evaluation: An
empirical examination of environmental uncertainty as an intervening variable.
Accounting, Organizations and Society, 9(2), 125135.
Govindarajan, V. (1988). A contingency approach to strategy implementation at the businessunit level: Integrating administrative mechanisms with strategy. Academy of Management Journal, 31(4), 828853.
Govindarajan, V., & Gupta, A. (1985). Linking control systems to business unit strategy:
Impact on performance. Accounting, Organizations and Society, 10(1), 5166.
Hayes, D. C. (1977). The contingency theory of managerial accounting. The Accounting Review,
52(1), 2239.
182
Hirst, M. K. (1983). Reliance on accounting performance measures, task uncertainty, and

dysfunctional behavior: Some extensions. Journal of Accounting Research, 21(2),
596605.
Hoque, Z., & James, W. (2000). Linking balanced scorecard measures to size and market
factors: Impact on organizational performance. Journal of Management Accounting
Research, 12, 117.
Islam, M., & Kellermanns, F. (2006). Firm- and individual-level determination of balanced
scorecard usage. Canadian Accounting Perspectives, 5(2), 181207.
Ittner, C. D., Lanen, W. N., & Larcker, D. F. (2002). The association between activity-based
costing and manufacturing performance. Journal of Accounting Research, 40(3),
711726.
Ittner, C. D., Larcker, D. F., & Randall, T. (2003). Performance implications of strategic
performance measurement in nancial services rms. Accounting, Organizations and
Society, 28, 715741.
James, W., & Elmezughi, A. (2010). The combined effect of costing and performance
management systems on performance, moderated by strategy: Australian context.
Accounting, Accountability & Performance, 16(1), 5184.
Johanson, U., Skoog, M., Backlund, A., & Almqvist, R. (2006). Balancing dilemmas of the
balanced scorecard. Accounting, Auditing & Accountability Journal, 19(6), 842857.
Kaplan, R., & Norton, D. (1992). The balanced scorecardmeasures that drive performance.
Harvard Business Review, 70(1), 7179.
Kaplan, R. S., & Norton, D. P. (1996). Using the balances scorecard as a strategic management
system. Harvard Business Review, 74(JanuaryFebruary), 7179.
Kaplan, R. S., & Norton, D. P. (2001). Transforming the balanced scorecard from performance
measurement to strategic management: Part I. Accounting Horizons, 15(1), 87104.
Khandwalla, P. (1972). The effect of different types of competition on the use of management
controls. Journal of Accounting Research, 10(2), 275285.
Kwok, W. C. C., & Sharp, D. J. (1998). A review of construct measurement issues in behavioral
accounting research. Journal of Accounting Literature, 17, 137174.
Langeld-Smith, K. (2007). A review of quantitative research in management control systems
and strategy. Handbook of Management Accounting Research, 2, 753783.
Lau, C. M., & Sholihin, M. (2005). Financial and nonnancial performance measures: How do
they affect job satisfaction? The British Accounting Review, 37, 389413.
Lingle, J. H., & Schiemann, W. A. (1994). Is data scatter subverting your strategy? Management
Review, 83(5), 5358.
Maiga, A., & Jacobs, F. (2003). Balanced scorecard, activity-based costing and company
performance: An empirical analysis. Journal of Managerial Issues, 15(3), 283301.
Miles, R., Snow, C., Meyer, A., & Coleman, H., Jr. (1978). Organizational strategy, structure,
and process. Academy of Management Review, 3(3), 546562.
Mintzberg, H. (1978). Patterns in strategy formation. Management Science, 24(9), 934948.
Pizzini, M. J. (2006). The relation between cost-system design, managers evaluations of the
relevance and usefulness of cost data, and nancial performance: An empirical study of
US hospitals. Accounting, Organizations and Society, 31(2), 179210.
Porter, M. (1980). Competitive strategy. New York, NY: Free Press.
Van der Stede, W., Chow, C. W., & Lin, T. W. (2006). Strategy, choice of performance
measures, and performance. Behavioral Research in Accounting, 18, 185205.

Corporate Corporate Strategy Employees Attitudes Toward The Balanced Scorecardstrategy Employees Attitudes Toward The Balanced Scorecard

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Corporate Corporate Strategy Employees Attitudes Toward The Balanced Scorecardstrategy Employees Attitudes Toward The Balanced Scorecard

Uploaded by

Copyright:

Available Formats

Advances in Management Accounting

Corporate Strategy, Employees Attitudes Toward the Balanced Scorecard, and

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Users who downloaded this article also downloaded:

Access to this document was granted through an Emerald subscription provided by

About Emerald www.emeraldinsight.com

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

*Related content and download information correct at

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Advances in Management Accounting, Volume 21, 149182

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

nancial perspectives of the BSC. We sent a mail survey to Canadian and

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Strategy, Balanced Scorecard, and Corporate Performance

The Link Between Employees Behavioral Factors Toward Balanced

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

The Impact of the Internal Environment on the Firms Strategy and

Balanced Scorecard Implementation Model.

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Strategy, Balanced Scorecard, and Corporate Performance

assess the impact of having a deliberate or planned strategy on employee

THEORY AND HYPOTHESES DEVELOPMENT

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Employees Attitudes Toward Balanced Scorecard Implementation and

Strategy, Balanced Scorecard, and Corporate Performance

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

BSC as a management control tool. Whether the ndings of Islam and

Strategy and Employees Attitudes Toward Balanced Scorecard

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

MAJIDUL ISLAM AND HANI TADROS

environment that favors innovation. The analyzer strategy falls halfway on

Strategy, Balanced Scorecard, and Corporate Performance

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

on predened measures of nancial, customer, learning and innovation, and

MAJIDUL ISLAM AND HANI TADROS

Based on prior research, we control for rm size, marketing strengths

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Firm Strategy and External Variables

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Strategy, Balanced Scorecard, and Corporate Performance

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Strategy, Balanced Scorecard, and Corporate Performance

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Strategy, Balanced Scorecard, and Corporate Performance

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Strategy, Balanced Scorecard, and Corporate Performance

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Strategy, Balanced Scorecard, and Corporate Performance

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Determining Firm Performance Using Factor Analysis

MAJIDUL ISLAM AND HANI TADROS

Downloaded by University of the Sunshine Coast At 04:58 31 October 2015 (PT)

Results of Factor Analysis.