Scorecard use and Strategic Alignment in Non-Profit Organizations :  a case study of UNICEF Supply Division

Abstract: Aim: Based on a case study of UNICEF Supply Division (SD), this thesis seeks to investigate how non-profit organizations use scorecards and if the use of scorecards in non-profit organizations results in strategic alignment.   Method: The theoretical framework for this case study consists primarily of the strategic performance management tool known as the Balanced Scorecard, which consists of interlinked measures, derived from the organization's strategy. For the case study, primary data, both qualitative and quantitative, was collected by means of semi structured interviews with members of senior management and a survey which was sent out to the whole organization. Abductive reasoning was applied in the analysis.   Result & Conclusions: The case study organization's scorecard focuses mainly on a selection of process measures and is perceived by staff and management as a good diagnostic tool for processes. The organization thus has implemented a more operational adaption of the scorecard. A weak match between the organization's strategy and selected measures in its scorecard in combination with limited incentives for achieving set targets suggest that strategic alignment is likely to be low.   Suggestions for future research: The scope of the thesis is limited to UNICEF Supply Division. Comparative studies of other UN agencies would increase the reliability of the study. Future research may also try to address, more in-depth, how non-profit organizations can implement more strategic, as opposed to operational performance management systems.   Contribution of the thesis: While the findings of this study mirror prior findings on Balanced Scorecard use in the non-profit sector, it has given the case study organization valuable insight on important measurement parameters, strategy mapping and other areas of improvement.