Study On The Application Of Balanced Scorecard In Performance Evaluation On Budget Expenditure Of Governmental Public Department

The budget expenditure can reflect functions of governmental departments, so operating performance evaluation on budget expenditure of governmental departments is very important. Among the several choices such as EVA and so on, we choose Balanced Scorecard (BSC) as the evaluation tool. As an effective strategy execution tool, BSC takes strategy as its core and realizes the efficient execution of the organization's strategy through decomposing level by level the strategy target into detailed work or task on mainly four perspectives, that means customer, internal business process, financial, learning and growth.Because of the limit of unclear strategy programming or imprecise flow design, this article takes the view that to conduct BSC into performance evaluation on the budget expenditure of governmental department instead of into the government's overall performance management.The main value of such performance evaluation based on BSC includes realizing the clear expression and correct delivery of governmental strategies, eliminating organization barriers and optimizing organization flow so as to improve the governmental public department's efficiency, transferring the traditional evaluation mode and attaining evaluation results effective for making decision, constructing new-type team culture and improving the organization's integrated power, accelerating study and growth of the organization and its workers.Based on OEDC countries'experiences and the relative regulations made by our government, this article offers a kind of BSC based performance evaluation frame on the budget expenditure of governmental public department, comprising about 7 steps. 1. To make precise strategy through SWOT analysis or Value Position tool and describing the strategy clearly on several levels such as mission or vision. 2. To decompose the strategy level by level into detailed targets through analyzing the cause-effect relation between them and building clear connection between them. 3. To design feasible KPI tree according to the principles of relativity, comparability and essentiality. 4. To make out operable action plan. 5. To establish feasible performance standards. 6. To operate the performance evaluation according to the above KPI and standards. 7. To apply the evaluation results in establishing organization frame, to cultivate organization culture, to re-forge organization flow and improve human resources management.The article also tries to design a practical example according to the above performance evaluation frame based on BSC, taking the earthquake service department as instance. Such design can not only help the author and reader get more understanding on some aforementioned rules and experiences, but also give the BSC operators some guidance.