The balanced scorecard is a framework that organizations follow in aligning the
organization strategy, communicate organization’s mission, prioritize projects, services
and products as well as monitoring the advancement towards attaining the strategic
objectives or targets. The overall organizational performance of Kenyatta National
Hospital is still not up to standard despite the fact that it is anticipated to established high
health-care standards offered to the public so that private and public hospitals can follow.
Reports have revealed that cancer, heart and kidney patients receive delayed treatment. In
addition, the hospital is said to lack sufficient numbers of functional specialized medical
equipment as well as inadequate financial support, industrial unrests, patients
overcrowding, claims of medical negligence and poor service delivery. Therefore, this
has caused a major concern to the government and other stakeholders. Based on these
challenges, Kenyatta National Hospital introduced a five-year strategic plan 2013 to 2018
centred on the Balanced Scorecard approach. It was within this context that the study
sought to establish the influence of balanced scorecard perspectives on organizational
performance of Kenyatta national hospital in Nairobi City County, Kenya. The study was
guided by the following specific objectives; to find out whether focus on customer
perspective, financial perspective, internal business processes perspective, learning and
growth perspective influence the performance of Kenyatta national hospital in Nairobi
City County, Kenya. The study was also guided by Stakeholder theory, Resource based
view theory and institutional theory. The study adopted a descriptive research design with
quantitative techniques. The target population for the study were 80 management staff of
Kenyatta national hospital in Nairobi City County. The sample size for the study was
calculated to be 67. The study used stratified random sampling procedure and simple
random sampling to select a sample that represented the target population. Data was
collected using a pre-tested structured questionnaire to capture participants insight on
balanced scorecard perspectives and the overall organizational performance. Their
responses on several items were scored and the scores were used in bivariate analysis and
Multiple regression analysis. Descriptive statistics like measures of central tendency were
used for continuous data while frequencies were used for categorical data. The data
analysis was done using SPSS version 23. The study obtained a Cronbach’s Alpha
coefficient of 0.9 which was considered reliable. These results show that financial
perspective and customer perspectives focus were statistically significant predictor of
organizational performance at (p<0.05) while internal business process and learning and
growth were not statistically significant when regressed together. An R squared of 0.593
which implied that focusing on all of the balanced scorecard perspectives contributed up
to 59.3% of organizational performance. The study concludes that focus on balanced
scorecard perspectives have a positive influence on organizational performance.
However, there are variations on the magnitude of influence among the perspective.
Therefore, the balanced scorecard can be used as a strategic management tool in public
facilities and not only as a measurement tool. The study recommends that Kenyatta
National Hospital in Nairobi City County should continue using the balanced scorecard
and other public hospitals or institutions should also adopt it. The continuous usage and
new adoption of the balanced scorecard would ensure better organizational performance.
Edu, F (2021). Balanced Scorecard Perspectives And Organizational Performance: A Case Of Kenyatta National Hospital In Nairobi City County. Afribary.com: Retrieved June 20, 2021, from https://afribary.com/works/balanced-scorecard-perspectives-and-organizational-performance-a-case-of-kenyatta-national-hospital-in-nairobi-city-county
Frontiers, Edu. "Balanced Scorecard Perspectives And Organizational Performance: A Case Of Kenyatta National Hospital In Nairobi City County" Afribary.com. Afribary.com, 05 Jun. 2021, https://afribary.com/works/balanced-scorecard-perspectives-and-organizational-performance-a-case-of-kenyatta-national-hospital-in-nairobi-city-county . Accessed 20 Jun. 2021.
Frontiers, Edu. "Balanced Scorecard Perspectives And Organizational Performance: A Case Of Kenyatta National Hospital In Nairobi City County". Afribary.com, Afribary.com, 05 Jun. 2021. Web. 20 Jun. 2021. < https://afribary.com/works/balanced-scorecard-perspectives-and-organizational-performance-a-case-of-kenyatta-national-hospital-in-nairobi-city-county >.
Frontiers, Edu. "Balanced Scorecard Perspectives And Organizational Performance: A Case Of Kenyatta National Hospital In Nairobi City County" Afribary.com (2021). Accessed June 20, 2021. https://afribary.com/works/balanced-scorecard-perspectives-and-organizational-performance-a-case-of-kenyatta-national-hospital-in-nairobi-city-county