The Influence of Scorecard Evaluation on Decisions and Outcomes

Abstract

The Balanced Scorecard represents a well-grounded and well-developed type of multiple-item index that potentially may be effectively adapted to performance evaluation in business games. A necessary condition for a scorecard-based approach, though, is that such an approach actually impact the strategy decisions of game participants. This study examines the effect of a scorecard approach on strategy decisions and outcomes compared with a simple cumulative profit criterion.