Week8
*This should be at least two full double-spaced pages.
Reference your textbook and at least one additional
scholarly source to demonstrate critical thinking. See note
below about non-academic websites. See assignment rubric
for how you will be graded.
BIOCO is a profitable and growing medium-sized bio-pharmaceutical company
located in the southeast United States. It develops, produces and markets
vaccines and antibody-based phar- maceutical products. As part of the
company’s strategic transformation, BIOCO’s CEO introduced a top-down,
strategy-driven management process called the “BIOCO Way.” The CEO has a
strong conviction that the success of a company starts with a clear vision of what
the company wants to be and a corporate strategy that reflects that vision. In the
BIOCO Way, the corporate vision and strategy are translated into a long-term
corporate strategic plan, which in turn is used to generate the corporate strategy
map. To measure progress against the strategy map a cascade of balanced
scorecards (corporate, division/department) are developed and used. As a result
of the full integration of the levels of balanced scorecards into the planning
process, the BIOCO Way emphasizes how the strategies and related tactics
should be carried out and measured at all levels. The CEO is a strong champion
of the balanced scorecards and is considered an in-house guru for the method.
Each year, BIOCO managers at the corporate and department levels review
performance and assess the appropriateness of their respective balanced
scorecards for the prior year. Based on the results of the performance reviews
and a short-term execution plan for the upcoming year, strategic initiatives are
added, modified or removed and the metrics in the scorecards are adjusted
accordingly. The CIO thinks that the balanced scorecards help the departments
look beyond their own operations and the Vice President thinks they mobilize
everyone in the company by setting up tangible goals that are clearly linked to
the overall goals of the company. The CIO thinks it enhances communications
because it “provides a focal point and common language around the key value
drivers of the organization” and it helps IT understand other business areas.
Discussion Questions
1. What benefits has BIOCO realized from its use of balanced scorecards?
2. 2. Do you think the BIOCO way was useful in helping the IT department
align its goals with that of the company? Why or why not?
3. 3. Do you think that the BIOCO approach could be implemented
successfully in large companies? Why or why not? If so, what, if any,
adjustments need to be made?
4. 4. BIOCO recently was sold and now has a new CEO. Do you think the
BIOCO way will be as successful under the new CEO? Why or why not?
