Balancing Strategic Leadership: A Synthesis of Balanced Scorecard and Strategic Leadership Theories

This paper makes the case that a balanced view of strategic leadership can be developed by synthesizing strategic leadership theory (SLT) and the balanced scorecard theory (BSCT). According to this view, 1) BSC is reconceived as a set of choices made by strategic leaders. 2) Such choices are purposely planned and directed in four domains set by BSCT in a balanced fashion to give them more purpose and strategic momentum. 3) Strategies of the firm can be mapped from a behavioural view of BSC. We believe, not only this view helps advance strategic leadership theory in a more systematic way but it also offers new avenues to make use of balanced scorecard theory. This marriage also offers new insights into the behavioural side of strategy mapping and performance measurement previously done mechanistically by BSCT without considering the behavioural components of strategy as stressed in SLT.