Assessment of Balanced Scorecard Implementation and its Challenges. The Case of Ethiopian Railways Corporation

Research Paper (postgraduate) from the year 2019 in the subject Business economics - Business Management, Corporate Governance, grade: 3.68, language: English, abstract: The Balanced Score Card (BSC) is one of the most popular Public service reform initiatives in Ethiopia that tries to translate a companys strategic direction and objectives into actionable initiatives and measurements. The major purpose of this study was to assess the status and challenges faced while implementing the balanced scorecard reform initiative in ERC. Descriptive method of research with a mixed approach of qualitative and quantitative theme was applied. Out of the non-probability sampling purposive sampling has been used. Relevant data for the study was collected using questionnaire and semi structured interview and 81 questionnaires (30% from the total population of 270) were distributed, from this 79 (97.5%) were collected. Then, data collected through questionnaires were analyzed using SPSS Version 24 software and presented by table, bar graph and pie chart. Interview and document analysis were also made to complement the information obtained. The major findings of the study revealed that employees understanding on the vision and strategic objectives and employees positive perception regards to BSC initiative relevance is a good opportunity for ERC. whereas, lack of committed management and employee, manpower skill gap and lack of training, ineffective communication with employees, lack of monitoring and evaluation system are the variables that are statistically significant and have influence on balanced scorecard reform implementation at the Corporation. Therefore, it is recommended that ERC should strength the commitment of management and employee by providing adequate and continuous refreshment training on the concept of Balanced Scorecard.