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GUEST ARTICLE INDUSTRY WATCH 2. Liu Davis, Wan Sammy. Presentation- Balanced Scorecard

publication/331650837 _ BALANCED _ SCORECARD _ IN _
Return on Capital Employed (ROCE), Current Ratio (CR), Debt
CONSTRUCTION
Service to Credit Ratio (DSCR), Debt Equity Ratio (DER) were
considered for evaluation. The company performed poorly
for Quality Excellence in The Construction Industry: A Success
on the NPR and the ROCE. This indicates that the company
Story, “Strategic Performance Management Through
faced schedule and cost overruns.
Balanced Scorecard: Local Experience” Seminar, Hong
Kong Society for Quality.
The overall implications of the survey within MCC Ltd revealed
that
years”. Nirmala Sitharaman. PTI October 20, 2019, 09:23 IST
• The overall score of the company was average, with a large 3. “India to spend $1.4 trillion on infrastructure in next five
margin for improvement https://auto.economictimes.indiatimes.com/news/industry/
• The company needed a higher degree of improvement in india-to-spend-1-4-trillion-on-infrastructure-in-next-five-years-
the innovation & learning score nirmala-sitharaman/71670415
• HR practices of the company needed to be reviewed as the 4. Report Mordor Intelligence 2016-26. INDIA CONSTRUCTION
people function had the lowest scores MARKET – GROWTH, TRENDS, COVID-19 IMPACT, AND
• The BSC analysis was successful in revealing the cause-and- FORECASTS (2021 – 2026) https://www.mordorintelligence.
effect relationship between the four perspectives. com/industry-reports/india-construction-market-growth-
trends-and-forecast-2019-2024.
The BSC framework a company’s capability to serve the global 5. ENR’s 2019 Top 250 Global Contractors https://www.enr.com/
market will need to undergo significant transformation. It also toplists/2019-Top-250-Global-Contractors-1
points to the unresolved potential of the rest of the industry to 6. Kaplan, R. S.; Norton, D. P.; The Balanced scorecard –
close ranks with leading global contractors. measures that drive performance, Harvard Business Review,
*(the name of the EPC organisation is masked for confidentiality. 1992, 134-47
The study was an academic exercise for research purpose only) 7. Stefan Koprivica, Jovan Škondrić and Milica Bendić (2021).
Balanced Scorecard Implementation In Construction 19-21 SEP 2022
Conclusion Industry. 8th International Conference Contemporary THE INDIAN TRADE SHOW
The importance of the Indian EPC industry to raise its standards achievements in civil engineering 22-23. April 2021. Subotica, FOR CONSTRUCTION, INFRA
to become world-class suppliers of infrastructure cannot be SERBIA. UDK: 005.6/.8 DOI: 10.14415/konferencijaGFS2021.56 AND MINING MACHINERY
underscored enough. 8. Bhansali, D. and Agarwal A. (2012). Master’s Thesis,
The ability to take up capital-intensive, high gestation projects “Performance Measurement: A conceptual framework
requires not only an appropriate macro environment, but in for a construction company using the balanced score
greater measure, a vibrant and capable industry, which has card”. National Institute of Construction Management and
world-class players to be able to bid for them. Research, India.
Unlike China, its closest neighbour, India still has a long way to 9. Vukomanovic Mladen and Radujkovic Mladen (2011).
go in this regard. India and China, with a host of similarities, are The Balanced Scorecard and EFQM Working Together In
way too different in their capabilities to attract and win foreign A Performance Management Framework In Construction
contracts. Industry. Journal Of Civil Engineering And Management ISSN
While it is common agreement that comparing India’s progress 1392-3730 print/ISSN 1822-3605 online 2013 Volume 19(5):
with China, is unfair given China’s government policies that 683695 doi:10.3846/13923730.2013.799090
renders fair competition impossible. 10. Dilanthi Amaratunga, David Baldry, (2002), “Moving from
Be that the case, however, China has built world-class performance measurement to performance management”,
infrastructure within its country and effectively exported its Emerald Insight, Facilities,Vol. 20 Iss 5/6 pp. 217 – 223
construction advantage abroad, to become a $15.66 trillion 11. Blog Rachel Smith, 20 Companies Using the Balanced
economy. Scorecard (& Why) https://www.clearpointstrategy.com/
There are twelve times more Chinese companies in the ENR 250 companies-using-the-balanced-scorecard/
ranking, vis a vis India. This in itself points to the humungous 12. China poverty ratio (2020). https://www.statista.com/
technical and managerial capability China has been able to statistics/1086836/china-poverty-ratio/
build in the past two decades (Chen and Shah, 2014). 13. Report The World Bank in China, Country Page, WB. https://
The Indian EPC industry when competing in the global market www.worldbank.org/en/country/china/overview
would need to adopt cutting strategies if it has to take on the 14. Chen C., Martek I., Shah M. N., (2014). ‘The Advantages of the
might of the world’s leading players. Construction Sector of China and India: A Comparison’, May
To that end, the use of the Balanced Score Card could act as 19-21, 2014. Full Paper Accepted. Construction Research
powerful enabler for organizations to score over competition. Congress, Georgia Institute of Technology, School of Building
Key References and Construction.
1. Dragan Katic, Ladislav Bevanda (2010). Balanced
Scorecard in Construction, International Scientific For more details contact:
Conference People Buildings and Environment, 10-12 Nov, Email: vayati@vayatisystems.com; vayatisystems@gmail.com
2010, Kritny, Czech Republic https://www.researchgate.net/ Website: www.vayatisystems.com

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