Implementation of the Balanced Scorecard in Improving Business Unit Performance in the Indonesian Manufacturing Industry

Entar Sutisman; St. Mariani; Herry Adi Setya Wibowo; Septyana Prasetianingrum; Saling

doi:10.59890/ijmbi.v4i2.333

Authors

Entar Sutisman Yapis Papua University
St. Mariani Yapis Papua University
Herry Adi Setya Wibowo STIE Yapis Merauke
Septyana Prasetianingrum Yapis Papua University
Saling Yapis Wamena Amal Ilmiah University

DOI:

https://doi.org/10.59890/ijmbi.v4i2.333

Keywords:

Balanced Scorecard, Business Unit Performance, Management Accounting, Manufacturing Industry, Performance Measurement

Abstract

This study examines the implementation of the Balanced Scorecard (BSC) as a strategic management accounting tool to improve business unit performance in the Indonesian manufacturing industry. The research aims to analyze the relationship between the four BSC perspectives—financial, customer, internal business process, and learning and growth—and business unit performance. A quantitative survey approach was employed using structured questionnaires distributed to 80 managerial-level respondents in manufacturing firms. Data were collected over a three-month period and analyzed using descriptive statistics and linear regression analysis. The findings indicate that the implementation of the Balanced Scorecard significantly improves operational efficiency, customer satisfaction, and overall business unit performance, suggesting that BSC provides an effective framework for comprehensive performance measurement and strategic decision-making in manufacturing organizations.

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