IMPACT OF BALANCED SCORECARD USAGE ON THE PERFORMANCE OF COMMERCIAL BANKS

Abstract

The study sought to examine the impact of balance scorecard usage on the performance of commercial banks in Kenya. The study location was in Nakuru District, Kenya where a census research design was adopted. Convenient sampling was utilized to select 72 respondents from 18 commercial banks in Nakuru. A likert scale was employed to gauge the degree of response in terms of strength or weakness on a scale of one to five. Descriptive statistics was employed to analyze the data and Pearson’s correlation was utilized to test the relationship between two or more variables. The study concludes that the effectiveness of BSC usage lies on the organizations dynamics, execution, monitoring and evaluation procedures adopted. It is recommended that for banks to become more competitive and satisfy the needs of customers they need to develop products and services that have competitive advantage.