Question

Midwest Mfg. uses a balanced scorecard as part of its performance evaluation. The company wants to include information on its sustainability efforts in its balanced scorecard. For each of the sustainability items below, indicate the most likely balanced scorecard perspective it relates to. Label your answers using C (customer), P (internal process), I (innovation and learning), or F (financial). ____________

1. CO2 emissions ____________
2. Number of solar panels installed ____________
3. Gallons of water used ____________
4. Customer surveys of company s sustainability reputation ____________
5. Pounds of recyclable packaging used ____________
6. Pounds of trash diverted from landfill ____________
7. Dollar sales of green products ____________
8. Number of sustainability training workshops held ____________
9. Cubic feet of natural gas used ____________
10. Patents for green products applied for

Answer 1

1. CO2 emissions. P (internal process)

Internal processes relate to those sustainability actions that relate to the internal workings and processes of the company such as the technologies and plans they initiate to be more sustainable. Managing CO2 emissions is one of them.

2. Number of solar panels installed P (internal process)

This falls under internal processes as well.

3. Gallons of water used. P (internal process).

Relates to the plans to be more sustainable so is internal process.

4. Customer surveys of company's sustainability reputation. C (Customer)

Customer perspective attempts to find out what the customer thinks about the company and this is very important because it tells the company what to offer customers in order to gain larger market share. Customer surveys fall here.

5. Pounds of recyclable packaging used. P (internal process)

Plans to be more sustainable so internal process.

6. Pounds of trash diverted from landfill. P (internal process)

Company plans to be more sustainable so internal.

7. Dollar sales of green products. F (financial)

Financial perspective deals with everything money. How much is saved and how much is spent and most importantly, what is the profit. This will therefore fall here.

8. Number of sustainability training workshops held. I (innovation and learning).

Innovation and learning focuses on developing the components of a company that drives its growth such as human capital. Training employees ensures that they gain more skills and become more sustainable.

9. Cubic feet of natural gas used. P (internal process)

10. Patents for green products applied for. I (innovation and learning).

This falls under the innovation perspective as it deals with actions taken to improve the capability of the company.