An Investigation of the Effects of Balanced Scorecard (BSC) Implementation on Small and Medium Sized Enterprises (SMEs) Performance: Quantitative and Qualitative Approaches (A Case of Egypt)

Abstract

Small and medium-sized enterprises (SMEs) are facing enormous challenges to survive within today’s dynamic business environment. Accordingly, performance measurement systems that link vision to the strategy and translate them into actions are required. Balanced scorecard (BSC) is among one of those significant developed approaches that can achieve the targeted strategic alignment through balancing financial and non-financial measures. The study employs mixed methods to investigate the effects of BSC implementation on SMEs performance. A survey exploring the Egyptian environment is used to establish current BSC practice in SME context. Then, a case study with a SME is undertaken to investigate the change in performance after BSC implementation. The results provide an evidence of improved performance after BSC implementation. In conclusion, this study presents useful insights into the Egyptian SMEs context and provides guidelines for BSC implementation.