 The purpose of the balance scorecard is to measure a company's activities in terms of vision and strategy. It focuses on both financial and non-financial performance measures. It links goals to key performance indicators, called KPIs for short. Management uses KPIs to measure critical factors that affect the success of a company. Some common examples are listed here on the slide. The balance scorecard views a company from four different perspectives, each of which evaluate a specific aspect of an organizational performance. The financial perspective focuses on management's attention on KPIs that assesses financial objectives such as revenue growth or cost cutting. The customer perspective helps managers evaluate the question, how do our customers see us? Customer satisfaction is a top priority for the long-term success of a company. Customers are typically concerned with four specific product or service attributes. The price of the product, the quality of the product, the sales and service quality, and the product's delivery time. The internal business perspective helps managers address the question, at what business process must we excel to satisfy the customer and financial objectives? The answer to that question incorporates three primary factors, innovation, operations, and post-sales service. All three factors critically affect customer satisfaction, which will affect the company's financial success. The learning and growth perspective focuses on three factors as well. Employee capabilities, the capabilities of the information system, and something we'll call the company's climate for action. Together, these perspectives make up the balance scorecard. This slide shows some examples of objectives for each of the perspectives. I'd encourage you to pause the video for a moment and review these. This slide shows some examples of measurement in various industries. Again, I would encourage you to pause the video for a moment and review these measurement items.