Application Of Balanced Scorecard (BSC) To Strategic Management Of Higher Vocational College

Higher vocational colleges are in an era of competition and change. With the gradual establishment of the market economy system, the government's management of higher vocational colleges ways from direct management into indirect control mainly. The universities operation mechanism of market-oriented, government macro-control-led and school independently running as the main body is formed. Accompanied by the continuous deepening of reform in higher education macroscopic management system, school-running autonomy of higher vocational colleges has been gradually implemented. Consciousness is strengthened and independent decision-making functions are enhanced in higher vocational colleges, which therefore need to think more about their own future. At the same time, immense changes in the external environment, such as the arrival of knowledge economy era and the popularization and internationalization of higher education in China, have an impact on internal organization structure, management philosophy and management system of higher vocational colleges. The implementation of strategic management is an inevitable choice for higher vocational colleges to actively cope with the opportunities and challenges brought by changes in the external environment. Implementation of strategic management can not only provide strategic development direction of higher vocational colleges, but also to guide resource allocation in order of priority, to promote higher vocational colleges organizational change. It's necessary for higher vocational colleges to improve the management philosophy and apply advanced management methods and tools, in order to be able to put formulated strategy plan into action and ultimately to achieve strategic goals.From four causal link dimensions:financial, customers, internal business process, learning and growth, Balanced Scorecard (BSC) evaluates the performance of enterprise, which changes the history that enterprise performance was measured by only financial index. Using non-financial indicators can be more comprehensive to assess and measure the performance and explore development potential for the enterprise. Connotation of the BSC, which is not only advanced performance management system but also strategic management tools containing BSC and campaign map, has been rich through the application by enterprises. The enterprises have utilized this tool to solve the difficult problem that to describe, weigh and manage the enterprise strategy, and finally carried on the strategic management successfully. As the practice deepens, the impact of the BSC from the enterprise extends to the non-profit institutions, government and other organizations. Compared with other management tools, BSC can combine financial and non-financial indicators, which describes on organizational strategy and measures the implementation of the strategy from a more holistic perspective. BSC also has the advantage of integrating other management tools. Therefore the study on the application of BSC in strategic management in higher vocational colleges aims to help better strategic management of higher vocational colleges with a complete and effective management framework of BSC.This paper is divided into five parts. Part 1 is the introduction, introducing the research background and significance, present research status and research methods. On the one hand it focuses on the necessity and importance of applying strategic management in higher vocational colleges, on the other hand it discusses the advantage of BSC compared with other management tools. Part 2 is the overview of the BSC theory, describing the origin and development, basic framework and characteristics of BSC as well as the implementation steps to apply BSC for strategic management. Part 3 builds up BSC theoretical framework of higher vocational colleges. According to the actual situation of the management in higher vocational colleges, the four dimensions of BSC are converted while after conversion the four dimensions still have a focus on strategy and maintain a causal relationship. In accordance with the four principles:strategic relevance, strategic feasibility, combining quantitative and qualitative indicators, combining result and drive indicators, the index system of BSC in higher vocational colleges is built up. Part 4 is the application of BSC theoretical framework of higher vocational colleges for strategic management of D vocational college. Combined with the actual development of D vocational college, SWOT model is applied to analyze the advantages and disadvantages, the external existing opportunities and challenges of D vocational college, and to set targets for strategic development of the college. Then BSC theoretical framework of higher vocational colleges is applied to build up strategy map of strategy for D vocational college, and to set indicators and target values for each dimensions. Depending on the target gap between actual and target values, specific action programme is determined for achieving targets. By theoretical study on the application of BSC theoretical framework of higher vocational colleges for strategic management of D vocational college, this part analyses the difficulties and countermeasures in building BSC for higher vocational colleges. Part 5 is the conclusion, summarizing this paper and putting forward the existing problems and related research prospect.The innovations of this paper are (1) According to the actual situation of higher vocational colleges, the four dimensions of BSC are converted appropriately and the indicator system of BSC is built up consistently with the characteristics of vocational college management. (2)Taking a higher vocational college as an example, the index system of BSC in this higher vocational college is built up by BSC theoretical framework of higher vocational colleges. (3)Provide new ideas and methods for the implementation of strategic management in vocational colleges.