TITLE:
Applying the Balanced Scorecard and the Delphi Method to Determine the Key Performance Factors for the Banking Industry in Iran
AUTHORS:
Hadi Keshavarznia, Mario Wallace
KEYWORDS:
Strategy, Balanced Scorecard, Key Performance Factors, Banking Industry, Iran, Delphi
JOURNAL NAME:
Open Journal of Business and Management,
Vol.11 No.3,
April
7,
2023
ABSTRACT: The lack of having an anchored, strategy management
performance infrastructure prevents leaders from evaluating the performance
strengths of the organization’s strategic priorities. Evaluating the strategic
performance of an organization is critical to the success and sustainability of
a high-performing organization. The key is to evaluate the strategic
performance of an organization using a strategy management performance system
that consistently provides leaders with valid information to make informed strategic
decisions. The Balanced Scorecard (BSC) is one of the leading strategy
management performance systems that provides the infrastructure for evaluating
the strategic performance of an organization. The BSC is a multidimensional
strategy management performance system that links tangible financial assets
with intangible nonfinancial assets in a cause-and-effect logic to evaluate the
success of a strategy. The aim of this study was to identify the objectives and
key performance factors (KPFs) for the banking industry in Iran. The population
for this study consisted of 20 experts from multiple banks in Iran. A purposive
judgmental ample was used to arrive at the sample of 20 participants. A
questionnaire was used to collect the data in the study. The Delphi method was
employed as the analysis mechanism to arrive at a consensus. The study
concluded that the success of the banks in Iran depends on four financial
perspective objectives and four KPFs; three stakeholder perspective objectives
and five KPFs; three internal process perspective objectives and six KPFs; and
three learning and growth perspective objectives and three KPFs. The identified
objectives and KPFs are characterized as the strategic performance priorities
for success in the Iranian banking industry.