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An analysis of balanced scorecard for improved customer satisfaction in local government: a comparative study of the City of Cape Town and the City of Johannesburg

This study sought to understand the application of the BSC as a tool that facilitates customer satisfaction in local government service delivery. The main thrust was on its application in South African metropolitan municipalities with a view of establishing means of improving its adoption for better customer-focused performance measurement. This area has not received much attention, yet local government performance is in an unacceptable state. The study employed a secondary data analysis approach and findings from the study reflect widespread usage of the BSC but without proper consideration of factors influencing its successful application. Findings of this study reinforce previous study results that there is poor communication with regards to how the BSC must be applied. Its application is also faced with the challenge of lack of training on the use and application of the BSC. However, the tool has significantly transformed and shaped the functioning of South Africa’s two best performing metropolitan municipalities and altered their performance in a favourable manner. Through the BSC approach, the City of Cape Town and the City of Johannesburg have moved towards improving their relations with the customers they serve. The BSC allows the municipalities to take into consideration the non-financial assets that were previously not considered valuable in organisations. Accommodating the views of customers has gained much traction in these municipalities and measures have been put in place to ensure real time data enables managers to make decisions that attempt to address people’s needs and expectations. Conclusively, the study recommends strong improvement in training and communication of the objectives and goals of a PMS within an organisation. Strong emphasis should also be placed on listening to what the customers say and expect from service delivery. This will strengthen the use and value of CSS and CBP and help improve performance and the achievement of the NDP goals of 2030 through local government. This study sought to understand the application of the BSC as a tool that facilitates customer satisfaction in local government service delivery. The main thrust was on its application in South African metropolitan municipalities with a view of establishing means of improving its adoption for better customer-focused performance measurement. This area has not received much attention, yet local government performance is in an unacceptable state. The study employed a secondary data analysis approach and findings from the study reflect widespread usage of the BSC but without proper consideration of factors influencing its successful application. Findings of this study reinforce previous study results that there is poor communication with regards to how the BSC must be applied. Its application is also faced with the challenge of lack of training on the use and application of the BSC. However, the tool has significantly transformed and shaped the functioning of South Africa’s two best performing metropolitan municipalities and altered their performance in a favourable manner. Through the BSC approach, the City of Cape Town and the City of Johannesburg have moved towards improving their relations with the customers they serve. The BSC allows the municipalities to take into consideration the non-financial assets that were previously not considered valuable in organisations. Accommodating the views of customers has gained much traction in these municipalities and measures have been put in place to ensure real time data enables managers to make decisions that attempt to address people’s needs and expectations. Conclusively, the study recommends strong improvement in training and communication of the objectives and goals of a PMS within an organisation. Strong emphasis should also be placed on listening to what the customers say and expect from service delivery. This will strengthen the use and value of CSS and CBP and help improve performance and the achievement of the NDP goals of 2030 through local government..

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:ufh/vital:28463
Date January 2016
CreatorsMakina, Clive
PublisherUniversity of Fort Hare, Faculty of Management and Commerce
Source SetsSouth African National ETD Portal
LanguageEnglish
Detected LanguageEnglish
TypeThesis, Masters, Degree
Format172 leaves, pdf
RightsUniversity of Fort Hare

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