DEVELOPING A BALANCED SCORECARD FOR AUTOMOBILE  AND MOTORCYCLE MANUFACTURERS: A CASE STUDY AT  HONDA VIETNAM COMPANY

Tô Thị Ngọc Lan; Lê Thị Tú Oanh; Tạ Thị Thúy Hằng; Trần Thị Kim Chi

doi:10.34238/tnu-jst.8675

DEVELOPING A BALANCED SCORECARD FOR AUTOMOBILE AND MOTORCYCLE MANUFACTURERS: A CASE STUDY AT HONDA VIETNAM COMPANY

About this article

Received: 04/09/23 Revised: 24/10/23 Published: 24/10/23

Authors

1. To Thi Ngoc Lan, University of Labor and Social Affairs
2. Le Thi Tu Oanh, University of Labor and Social Affairs
3. Ta Thi Thuy Hang , University of Labor and Social Affairs
4. Tran Thi Kim Chi, University of Labor and Social Affairs

Abstract

The Balanced Scorecard (BSC) is seen as an effective administrative tool for enterprises to achieve their strategic objectives. Thanks to the streamlined design of the four main perspectives including Finance, Customer, Internal process, Learning and Growth, enterprises can successfully realize strategic expectations. This paper aims to propose a strategic map and key performance indicators (KPIs) in a balanced scorecard that are consistent with the characteristics of Vietnam’s automobile and motorcycle manufacturers, with an empirical study at a typical enterprise, Honda Vietnam Company. The study was conducted through surveys as well as in-depth interviews of 75 specialists, representing the Sales, Planning, Manufacturing, Accounting, Customer Care and Human Resources departments. Research results show that all strategy targets receive high consensus from experts at a level above "agree" (mean from 3.04 to 4.92). All 39/39 indicators to measure 21 strategy targets of Honda Vietnam Company were evaluated by experts with an average value ≥ 3.5. Based on survey results, a balanced scorecard was proposed with detailed steps, from designing the strategic map and KPIs to integrating them into the management system in line with Honda Vietnam Company’s strategic objectives.

Keywords

Balanced Scorecard; Honda Vietnam Company; Strategy target; Key performance indicators; Management system

Full Text:

PDF

References

[1] K. Irem, "The determination of performance measures by using a balanced scorecard framework," Foundations of Management, vol. 11, no. 1, pp. 43-56, 2019.

[2] N. Sayed, “Ratify, reject or revise: balanced scorecard and universities,” International Journal of Educational, Management, vol. 27, no. 3, pp. 203-220, 2013.

[3] G. Gupta and S. B. Salter, “The BalancedScorecard beyond Adoption,” Journal of International Accounting Research, vol. 17, no. 3, pp. 115-134, 2018.

[4] V. T. Chau and H. Singh, “The Impact of a Balanced Scorecard on Enterprise Performance in Ho Chi Minh City, Vietnam,” International Journal of Organizational Leadership, vol. 12, no. 2, pp. 198-215, 2023.

[5] T. L. Nguyen, T. D. Nguyen, and K. N. Nguyen, “The impacts of management competence on small and medium-sized enterprises performance: from the balanced scorecard perspective,” Social Space, vol. 23, no. 1, pp. 148-172, 2023.

[6] D. T. Ha, T. Le, G. Fisher, and T. T. Nguyen, “Factors affecting the adoption extent of the balanced scorecard by Vietnamese small-and medium-sized enterprises,” Accounting Research Journal, vol. 35, no. 4, pp. 543-560, 2022.

[7] T. T. Tran, "The impact of balanced scorecard on performance: The case of Vietnamese commercial banks," Journal of Asian Finance, Economics and Business, vol. 7, no. 1, pp. 71-79, 2020.

[8] L. U. D. Huu, T. T. Truong, N. T. T. Nguyen, L. X. Nguyen, and T. T. Tran, “Management factors affecting the use of dumb scorecard by: Research on Vietnamese retail enterprises,” Journal of Positive School Psychology, vol. 6, no. 6, pp. 6192-6199, 2022.

[9] T. T. Ta, T. N. Doan, H. N. Tran, T. A. Dam, and T. M. Q. Pham, “Factors affecting the application of balanced scorecard to enhance operational efficiency of listed companies: The case of Vietnam,” Cogent Business & Management, vol. 9, no. 1, pp. 2149146, 2022.

[10] Honda Vietnam, “Introducing Honda Vietnam Company,” 2022. [Online]. Available: https://www.honda.com.vn. [Accessed May 20, 2023].

[11] Honda Vietnam Company, Financial report, 2020.

[12] Honda Vietnam Company, Financial report, 2021.

[13] Honda Vietnam Company, Financial report, 2022.

[14] R. S. Kaplan and D. P. Norton, "Having trouble with your strategy? Then map it," Focusing Your Organization on Strategy—with the Balanced Scorecard, vol. 49, no. 5, pp. 167-176, 2000.

[15] X. T. Mai, "Issues in the balanced scorecard implementation: A Vietnamese case study," Journal of Economics and Development, vol. 44, no. 1, pp. 31-56, 2012.

DOI: https://doi.org/10.34238/tnu-jst.8675

Refbacks

There are currently no refbacks.



Remember me