The Program Performance Management Research Of Manufacturing Enterprise Based On The Dynamic Balanced Scorecard

The rising prosperity of human society and the growing of IT have lead to theenvironment of the manufacture enterprises undergoing great changes. Once,manufacture enterprises often takes the way of large scale single production. But, now itis replaced by personalized, multi-species and small-scale, which makes the projectmanagement method in the management of manufacture enterprises shows a specialadvantage and vitality. However, it has brought a new problem with the emergence ofthis new model in the project management of manufacture enterprises: the traditionalmethod of project performance management mainly focused on the project’s goals.When there are multiple projects in the enterprise at the same time, the traditionalmethod can’t align and management the relationship between the various projects，evencan’t ensure the projects’ success consistent with the strategic direction of the enterprises.It is prone to the disconnection between the corporate strategy and the project tacticstarget which as strategic implementation carries. All of these would lead to theenterprises are unable to achieve the original ideal effectively. Therefore, it has becomea new challenge about how to overcome the defects of traditional project performancemanagement and ensure development synchronization and coordinated by theperformance of project and business strategic, business manager must face the issuesand challenges in the current market.Based on the theory of the project characteristics of manufacturing enterprises,program performance management, balanced scorecard and system dynamics, this papercombines system dynamics and balanced scorecard to solve the problem ofmanufacturing enterprise’s program performance management. The purpose of thispaper is to build a program performance management model which link tomanufacturing enterprise’s strategy and help business managers put corporate strategyinto the program performance management, clear and define the causal relationshipamong the various elements in the program performance management, analyze therunning state of program. Of course, this paper’s model also can be used as a tool whichpredict the program performance and provide the theory foundation of project’s selection and decision.The main innovation points of this paper as follows:(1) In order to ensure the consistency of program goals with corporate strategy,introducing the tools of balanced scorecard into enterprise program performancemanagement. By using the method of system dynamics, this paper built a programperformance management model to simulate and analyze the manufacturing enterprise’sprogram performance management, including four subsystems: financial, internalprocesses, learning and growth, customer.(2) This paper’s performance management model can help manager analyze andsimulate the performance of program quantitatively, compare program performanceunder different management strategies experiment, and make decision.(3) The performance management model can be used as a tool which predictsprogram performance conveniently. On the other hand, identifying the potential risk inthe implementation process of program to provide the reference for future project choiceand decision-making.(4) The performance management model also can be used as a tool to analyze theroot causes for generated performance upon the completion of the program. Besides, itcan avoid subjectivity and limitations of the managers and provide the basis for futureproject performance management.