Which three elements are typically used to customize a balanced scorecard for an organization?

• A. Cash flows, budgets, and forecasts
• B. Assets, liabilities, and equity
• C. Vision, strategic objectives, and performance measures
• D. Revenue, expenses, and net income

Answer: (C)

Verified step by step guidance

1. Understand the concept of a balanced scorecard: A balanced scorecard is a strategic management tool used to align business activities with the organization's vision and strategy, improve internal and external communications, and monitor organizational performance against strategic goals.
2. Identify the key elements of a balanced scorecard: The balanced scorecard typically includes elements that help an organization focus on its long-term vision and strategy. These elements are vision, strategic objectives, and performance measures.
3. Explain the role of 'vision': Vision represents the overarching goal or purpose of the organization. It provides a clear direction and serves as the foundation for developing strategic objectives and performance measures.
4. Explain the role of 'strategic objectives': Strategic objectives are specific, actionable goals derived from the organization's vision. They guide decision-making and resource allocation to achieve the desired outcomes.
5. Explain the role of 'performance measures': Performance measures are quantifiable metrics used to assess progress toward achieving strategic objectives. They help track performance and ensure alignment with the organization's vision and strategy.