Multi-Attribute Strategy and Performance Architectures in R&D

The Case of The Balanced Scorecard

by Athar Osama

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This dissertation is about the alignment of strategic planning, performance measurement, and incentives systems within research and development (R&D) organizations. Specifically, it is an investigation into the appropriate use of one class of multi-attribute strategy and performance architectures, the Balanced Scorecard, that has become a popular performance measurement and management framework. However, the Balanced Scorecard has not been as well received within research and development settings as elsewhere. This study takes a step back and asks the questions: Are R&D organizations different? Do the underlying assumptions that make the Balanced Scorecard work hold true for research and development organizations? Do R&D organizations that use the Balanced Scorecard realize performance “breakthroughs” that are often associated with the framework? How might one modify or adapt the Balanced Scorecard framework before applying it to an R&D setting?

Table of Contents

  • Chapter One

    Performance Measurement in R&D: Background & Problem Definition

  • Chapter Two

    Introduction to Performance Measurement in R&D: A Review of Relevant Literature

  • Chapter Three

    The R&D Balanced Scorecard: Establishing a Reference Model

  • Chapter Four

    The Research Questions and Methodology

  • Chapter Five

    Developing a Sense of the Universe: Lessons from a Survey of R&D Performers

  • Chapter Six

    Strategy-Performance-Incentives (SPI) Systems in Practice: Lessons from Individual Case Studies

  • Chapter Seven

    Understanding Strategy-Performance-Incentives (SPI) Systems: A Cross Case Comparison

  • Chapter Eight

    Conclusions & Recommendations

  • Appendix A

    The Survey Questionnaire & Cover Letter

  • Appendix B

    Informed Consent Form

  • Appendix C

    Some Relevant Statistical Tables

Research conducted by

This document was submitted as a dissertation in March, 2006 in partial fulfillment of the requirements of the doctoral degree in public policy analysis at the Pardee RAND Graduate School. The faculty committee that supervised and approved the dissertation consisted of Steven W. Popper (Chair), Bruce J. Held, Richard J. Hillestad, and Parry M. Norling.

This report is part of the RAND Corporation dissertation series. Pardee RAND dissertations are produced by graduate fellows of the Pardee RAND Graduate School, the world's leading producer of Ph.D.'s in policy analysis. The dissertations are supervised, reviewed, and approved by a Pardee RAND faculty committee overseeing each dissertation.

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