Engaging employees through balanced scorecard implementation

Purpose – This paper aims to highlight the interplay of employee engagement dynamics during the process of balanced scorecard implementation. Design/methodology/approach – It takes the form of a case study based on analysis of data collected through archived sources, participant observation, in-depth interviews and focused group discussions. Findings – The findings indicate that the process of balanced scorecard implementation brings more clarity about overall vision, strategy and individual roles in the organization. This induces a sense of meaningfulness in the employees about work. The periodic review of performance indicators develops a sense of seriousness and can lead to a performance-oriented work culture. When performance is linked to rewards and incentives and is administered fairly, employees perceive the organization as being just and fair. This leads to enhanced employee engagement and improved contribution to the strategy implementation process. Research limitations/implications – The study has limitations that are usually associated with a case study, such as generalizability. The theoretical relationship emerging from this study between the balanced scorecard implementation process and employee engagement can be further verified in large scale longitudinal studies. Practical implications – The paper explains how the balanced scorecard implementation process can be used as a tool to improve employee engagement. Originality/value – This paper scrutinizes the process of balanced scorecard implementation and emphasizes how the process generates conditions that are antecedents to employee engagement.