GeetaPhukanFinalProjectBSC

.pptx

School

Dibrugarh University**We aren't endorsed by this school

Course

MBA 123

Subject

Management

Date

Dec 25, 2024

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Uploaded by UltraFreedom13548

Balanced Scorecard Framework: AmazonGeeta PhukanBSC Data- https://docs.google.com/spreadsheets/d/171p75xcL07Nm8R5gUzdWwr6C3QP2ubGH/edit?usp=sharing&ouid=114124274667244616718&rtpof=true&sd=true

Executive Summary•Amazon India, a leading e-commerce platform, implements Balanced Scorecard Institute (BSI) framework.•Goal: Align mission, vision, and strategic objectives using KPIs across 4 perspectives.•BSI Framework Perspectives:•Financial•Customer•Internal Processes•Learning & Growth•Objective: Enhance strategic management and performance excellence.

Financial PerspectiveEnhance Profitability:Increase gross profit margin by 15% annually (Current: 12.3%).Increase Revenue:Maintain 20% YoY growth (Current: 20.04%, on track).Optimize Investment Returns:ROI target ≥18% (Current: 18.00%).Customer PerspectiveCustomer Satisfaction: CSAT target 4.5/5 (Current: 4.38%).Customer Loyalty: NPS target 60% (Current: 53%).Customer Retention: Retention rate target ≥85% (Current: 62%).Internal Processes PerspectiveSupply Chain Efficiency: Reduce order fulfilment time by 10% annually (Current: 9%).Operational Efficiency: Maintain operational downtime ≤2% (Current: 2%).Optimize Metrics:•Inventory Turnover Rate: Target ≥8 (Current: 7%).•Logistics Cost per Unit: Target ≤ 200 (Current: achieved).₹

Learning & Growth PerspectiveFoster Innovation: Launch ≥4 major innovations annually (Current: on track).Employee Satisfaction: Achieve ≥80% satisfaction (Current: 70%).Employee Training: Ensure ≥40 hours training per employee/year (Current: achieved).Current Performance SummaryFinancial: Strong revenue growth driven by online shopping surge.Company-wide: Dominant e-commerce leader, leveraging logistics and customer-centric strategies.Investments: Digitizing SMBs with initiatives like "Local Shops on Amazon" and "Amazon Saheli."

Company StrategiesProduct Strategy:•Vast product selection, private labels, and Amazon Pantry.Service Strategy:•Amazon Prime benefits, localized interfaces, and AI-powered support.Market Focus•Tailored offerings for India’s diverse population.Market & Competitor AnalysisMarket Characteristics: •Young, tech-savvy population; growing middle class; regulatory challenges.Key Competitors:•Flipkart: Strong in electronics and fashion.•JioMart: Focus on grocery and tier-2/3 cities.•Myntra: Leader in fashion.•Snapdeal: Value-focused for non-metro customers.

Key ChallengesOperational Costs: •High logistics and warehousing expenses.Pricing Strategies: •Aggressive discounts erode margins.Regulatory Compliance: •Added complexity and costs.Customer Retention: •Balancing acquisition costs with profitability.

KPI Process Using BSC FrameworkFinancial Perspective:•Track gross profit margin, ROI, and revenue growth.Customer Perspective:•Monitor CSAT, NPS, and retention rates.Internal Processes:•Evaluate supply chain efficiency, downtime, and inventory turnover.Learning & Growth:•Measure innovation, employee satisfaction, and training hours.Next Steps:•Address gaps, enhance profitability, and sustain market leadership.

Proposed Automation Tool & BenefitsTool: Tableau/Power BI Purpose: •Real time dashboards for performance monitoring, trend identification, and decision-making.Benefits: •Real-time Monitoring: Automated tracking of KPIs.Customizable Dashboards: •Tailored views for department-specific KPIs.Predictive Analytics: •Forecast trends and pre-empt issues.Ease of Use: •Drag-and-drop features for user-friendly customization.

Data Collection & Monitoring PlanCategoryData SourceFrequencyTeamToolFocus AreasFinancialERP, Financial DatabasesMonthlyFinanceTableau/Power BIGross Profit Margin, Revenue GrowthCustomerCRM, Feedback PortalsReal-time/MonthlyCustomer Service & MarketingPower BI, Feedback ToolsCSAT, NPS, Retention RateInternal ProcessesSCM Systems, DashboardsWeekly/MonthlyOperations & LogisticsTableau, SCM ToolsOrder Fulfilment, DowntimeLearning & GrowthHR Systems, SurveysQuarterly/MonthlyHRPower BI, Survey ToolsSatisfaction, Training, Innovation

Plan of Data AnalysisFinancial KPIs: Trend & ROI Analysis (Tools: Tableau, Excel)Outcomes: Growth patterns, profitability insights.Actions: Adjust budgets, refine investments.Customer KPIs: Comparative & Root Cause Analysis (Tools: Power BI, Sentiment Analysis)Outcomes: Customer satisfaction insights.Actions: Improve service, enhance loyalty programs.Internal KPIs: Efficiency Analysis & Benchmarking (Tools: Tableau, SCM Tools)Outcomes: Identify bottlenecks.Actions: Optimize supply chain and processes.Learning & Growth KPIs: Survey & Training Analysis (Tools: Power BI, Survey Tools)Outcomes: Assess satisfaction, training impact.Actions: Boost engagement, enhance training.

Performance Improvement Plan HighlightsFinancial:Profitability: Reduce costs, enhance cross-selling.Revenue: Expand markets, collaborate with suppliers.ROI: Prioritize high-growth investments.Customer:Satisfaction: Robust feedback and personalization.Loyalty: Strengthen programs, targeted campaigns.Retention: Improved after-sales service and retention offers.Internal Processes:Supply Chain: Automate processes, optimize inventory.Operations: Preventive maintenance, audits.Metrics: Accurate forecasting, efficient logistics.Learning & Growth:Innovation: Incentives, R&D investments.Satisfaction: Engagement initiatives, career paths.Training: Specialized programs, LMS implementation.

Conclusion – Balanced Scorecard RecapPlan Overview:•Focus: Four key perspectives – Financial, Customer, Internal Processes, and Learning & Growth.•Objective: Align metrics, targets, and strategies to meet Amazon India’s annual goals.Key Highlights:Financial:Profitability: +15% Gross Profit Margin (cost optimization).Revenue: +20% YoY Growth (product expansion, partnerships).ROI: Maintain 18% (selective high-growth investments).Customer:Satisfaction: CSAT 4.5/5 (feedback loops, personalized marketing).Loyalty: NPS 60% (enhanced programs and engagement).Retention: 85% (after-sales service, retention offers).

Internal Processes:Supply Chain: -10% Order Fulfilment Time (process optimization).Efficiency: ≤2% Downtime (preventive maintenance).Metrics: Turnover rate of 8; Logistics ≤ 200/unit (forecasting, tech).₹Learning & Growth:Innovation: 4 innovations/year (R&D investment).Satisfaction: Employee score ≥ 80% (engagement programs).Training: 40 hours/year (continuous skill development).

Approval:The plan aligns with Amazon India’s strategic goals for comprehensive performance management.“Do I have your approval to proceed with this plan?”

Thank you