Green Technology Performance Measurement Using BSC-DEA Approach

This paper presents a conceptual framework showing various indices for performance measurement of an enterprise towards sustainable green technology implementation. Based on literature review, the relevant green technology parameters were grouped under four performance indices: (1) Financial; (2) Customer; (3) Internal business processes; and (4) Learning and growth, as suggested in the Balanced Scorecard (BSC) by Kaplan and Norton. The study uses decision support analysis and tools such as Data Envelopment Analysis (DEA) and Excel Solver to illustrate how enterprises can measure their effective implementation. The study being a non-primary and non-empirical work uses hypothetical data to illustrate a model on BSC-DEA approach. The BSC-DEA model is simple and effective in comparing the relative efficiency of firms for a given set of output and input measures. The results reveal that a firm can measure its green efficiency in relation to other firms in the industry, and thus know the impact of its business operations and green initiatives on the four dimensions of BSC