Application of the Balanced Scorecard for strategy reformulation: Perspectives from a Canadian municipality

Abstract

This study explores the application of the Balanced Scorecard (BSC) for strategy reformulation and performance measurement of a Canadian municipality. This study is motivated by the trend of performance management tools becoming more commonplace in the municipal sector, due to the New Public Management paradigm. Interviews with key stakeholders were conducted to determine Key Success Factors (KSFs). A survey of broad stakeholders was used to determine the importance of the KSFs and their multidimensional causal relationships, using a multiple-criteria, decision-making method. We find that economic growth plays a central role in the municipality's strategy, and it is perceived to be primarily driven by management leadership, in addition to economic diversity, Indigenous relationships, and increasing the tax base.