Comparative Analysis of Balanced Scorecard Implementation in Palestinian Banks: Success Factors and Challenges in a Developing Economy

EasyChair Preprint 14587

Abstract

The Balanced Scorecard (BSC) is a widely recognized strategic management tool that enables organizations to translate their vision and strategy into actionable objectives across multiple perspectives. While extensively applied in developed economies, the implementation of BSC in developing economies, particularly within the banking sector, presents unique challenges and opportunities. This study conducts a comparative analysis of BSC implementation in Palestinian banks, aiming to identify the key success factors and challenges associated with its adoption in a developing economy context.

The research begins by exploring the theoretical foundations of the BSC and its relevance to the banking industry, particularly in the context of strategic management, performance measurement, and competitive positioning. The study then delves into the specific case of Palestinian banks, where economic volatility, regulatory complexities, and resource constraints significantly influence strategic decision-making processes.

Using a mixed-methods approach, the study combines quantitative data analysis of financial performance indicators with qualitative insights from interviews with bank executives, managers, and industry experts. This approach provides a comprehensive understanding of how Palestinian banks have adapted the BSC framework to align with their strategic goals, and the extent to which it has impacted their operational efficiency, customer satisfaction, and financial performance.

The findings reveal several critical success factors, including top management commitment, alignment of BSC with organizational culture, and the effective use of technology for data collection and analysis. However, the study also identifies significant challenges, such as the lack of skilled personnel, resistance to change, and the difficulties in integrating BSC with existing performance measurement systems.

Keyphrases: Balanced Scorecard, Banking Sector, Financial Performance, Implementation Challenges, Palestinian banks, Strategic Management, developing economy, organizational culture, performance measurement, success factors

@booklet{EasyChair:14587,
  author    = {Oluwaseyi Oladele and Dylan Stilinki},
  title     = {Comparative Analysis of Balanced Scorecard Implementation in Palestinian Banks: Success Factors and Challenges in a Developing Economy},
  howpublished = {EasyChair Preprint 14587},
  year      = {EasyChair, 2024}}