Homework Help is Here – Start Your Trial Now!
Business
Management
Required (a) Why would a company with Infosys's history find the Balanced Scorecard important for managing its growth and monitoring its performance? (b) What customer measures would you recommend that Infosys use in its Balanced Scorecard? (c) What employee measures would you recommend that Infosys use in its Balanced Scorecard?

Required (a) Why would a company with Infosys's history find the Balanced Scorecard important for managing its growth and monitoring its performance? (b) What customer measures would you recommend that Infosys use in its Balanced Scorecard? (c) What employee measures would you recommend that Infosys use in its Balanced Scorecard?

Understanding Business
Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
See similar textbooks
icon
Related questions
Question
IN PRACTICE Infosys Develops a Balanced Scorecard to Describe and Implement Its Strategy Infosys was founded in India in 1981 by seven engi- neers as an IT "body shop"-a firm that deployed skilled IT labor to work, on a contract basis, for clients. Throughout the 1980s and 1990s, the programmer-for- hire business flourished along with the increased global demand for IT systems and maintenance. Infosys soon developed the capabilities it needed to be- come an outsourcer, executing IT projects for clients from its facilities in India. Its success in executing such complex projects led some clients to hire Infosys to manage software projects end to end, from project ar- chitecture to detailed programming. Within a decade, Infosys had shifted its operating model from supplying labor for one segment of a job to designing, managing, and delivering complete software projects. In the early 2000s, Infosys expanded its portfolio of services beyond traditional IT outsourcing, to partner- ing with large global clients to transform their busi- nesses through advanced IT products, services, and solutions. In 2005, the firm had only five contracts worth more than $50 million. By early 2008, it had 18 clients Source: F. Asis-Martinez, R. S. Kaplan, and K. Miller, "Infosys' Relationship Scorecard: Measuring Transformational Partnerships," HBS No. 1-108-006 (Boston: Harvard Business School Publishing, 2008). generating $50 million or more in revenue and six clients that were generating more than $100 million. These deals usually involved multiple services performed over several years. As part of the company's transformation from an IT body shop and outsourcer to a trusted transforma- tional partner with large global corporations, the Infosys executive team developed a Balanced Score- card to provide a comprehensive framework by which it could formulate, communicate, and monitor its strat- egy. Infosys's CEO explained the role that the BSC played in the company's recent growth: The BSC allows us to promote constant change through stretch goals. Since 2002, we have suc- cessfully steered the transformation of our company through various stages of its evolution using the Balanced Scorecard. We continue to take on new strategic challenges that require us to manage change. These challenges require us to better execute our strategies comprehensively across the Balanced Scorecard perspectives.
Transcribed Image Text:IN PRACTICE Infosys Develops a Balanced Scorecard to Describe and Implement Its Strategy Infosys was founded in India in 1981 by seven engi- neers as an IT "body shop"-a firm that deployed skilled IT labor to work, on a contract basis, for clients. Throughout the 1980s and 1990s, the programmer-for- hire business flourished along with the increased global demand for IT systems and maintenance. Infosys soon developed the capabilities it needed to be- come an outsourcer, executing IT projects for clients from its facilities in India. Its success in executing such complex projects led some clients to hire Infosys to manage software projects end to end, from project ar- chitecture to detailed programming. Within a decade, Infosys had shifted its operating model from supplying labor for one segment of a job to designing, managing, and delivering complete software projects. In the early 2000s, Infosys expanded its portfolio of services beyond traditional IT outsourcing, to partner- ing with large global clients to transform their busi- nesses through advanced IT products, services, and solutions. In 2005, the firm had only five contracts worth more than $50 million. By early 2008, it had 18 clients Source: F. Asis-Martinez, R. S. Kaplan, and K. Miller, "Infosys' Relationship Scorecard: Measuring Transformational Partnerships," HBS No. 1-108-006 (Boston: Harvard Business School Publishing, 2008). generating $50 million or more in revenue and six clients that were generating more than $100 million. These deals usually involved multiple services performed over several years. As part of the company's transformation from an IT body shop and outsourcer to a trusted transforma- tional partner with large global corporations, the Infosys executive team developed a Balanced Score- card to provide a comprehensive framework by which it could formulate, communicate, and monitor its strat- egy. Infosys's CEO explained the role that the BSC played in the company's recent growth: The BSC allows us to promote constant change through stretch goals. Since 2002, we have suc- cessfully steered the transformation of our company through various stages of its evolution using the Balanced Scorecard. We continue to take on new strategic challenges that require us to manage change. These challenges require us to better execute our strategies comprehensively across the Balanced Scorecard perspectives.
LO 2, 4, 5 2-41 Designing a Balanced Scorecard, new strategies, customer measures to the In Practice description of Infosys on page 24. Refer Required (a) Why would a company with Infosys's history find the Balanced Scorecard important forca managing its growth and monitoring its performance? (b) What customer measures would you recommend that Infosys use in its Balanced Scorecard? (c) What employee measures would you recommend that Infosys use in its Balanced Scorecard?
Transcribed Image Text:LO 2, 4, 5 2-41 Designing a Balanced Scorecard, new strategies, customer measures to the In Practice description of Infosys on page 24. Refer Required (a) Why would a company with Infosys's history find the Balanced Scorecard important forca managing its growth and monitoring its performance? (b) What customer measures would you recommend that Infosys use in its Balanced Scorecard? (c) What employee measures would you recommend that Infosys use in its Balanced Scorecard?
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 5 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Understanding Business
Understanding Business
Management
ISBN:
9781259929434
Author:
William Nickels
Publisher:
McGraw-Hill Education
Management (14th Edition)
Management (14th Edition)
Management
ISBN:
9780134527604
Author:
Stephen P. Robbins, Mary A. Coulter
Publisher:
PEARSON
Spreadsheet Modeling & Decision Analysis: A Pract…
Spreadsheet Modeling & Decision Analysis: A Pract…
Management
ISBN:
9781305947412
Author:
Cliff Ragsdale
Publisher:
Cengage Learning
Management Information Systems: Managing The Digi…
Management Information Systems: Managing The Digi…
Management
ISBN:
9780135191798
Author:
Kenneth C. Laudon, Jane P. Laudon
Publisher:
PEARSON
Business Essentials (12th Edition) (What's New in…
Business Essentials (12th Edition) (What's New in…
Management
ISBN:
9780134728391
Author:
Ronald J. Ebert, Ricky W. Griffin
Publisher:
PEARSON
Fundamentals of Management (10th Edition)
Fundamentals of Management (10th Edition)
Management
ISBN:
9780134237473
Author:
Stephen P. Robbins, Mary A. Coulter, David A. De Cenzo
Publisher:
PEARSON
SEE MORE TEXTBOOKS