The balanced scorecard is a strategic performance measurement system
developed by Robert S. Kaplan and David P. Norton to help organizations achieve
breakthrough results by embedding strategy at the heart of the organization.
Developed 12 years ago, the concept was significantly different from any existing
performance measurement system and generated considerable excitement. A
variety of applications and variations of the balanced scorecard have emerged
since its inception. It was received and used so enthusiastically and effectively
that the Harvard Business Review labeled it in 1997 as one of the 75 most
influential ideas of the 20th Century. (1) Early on, a navigation metaphor was
used to illustrate the need for additional performance measures. Over time, the
navigation metaphor expanded to include the process of strategic mapping and
decisions about where to lead your company. This article outlines the evolution of
the balanced scorecard.