Linking HR scorecard to strategy creation in industry enterprises

This paper examines the application of the HR Scorecard method in conjunction with the Balanced Scorecard to strengthen business strategy and promote sustainable development in industrial manufacturing enterprises. The study addresses the limited body of research on HR Scorecard implementation, particularly within the industrial sector, and explores its integration with the Balanced Scorecard as a tool for strategic performance management. A questionnaire survey was conducted among large manufacturing enterprises in Slovakia with more than 250 employees. Hypothesized relationships between variables were tested using the chi-square method. The analysis revealed a statistically significant relationship between the implementation of the Balanced Scorecard and the use of the HR Scorecard. However, fewer than 25% of the surveyed enterprises currently employ the HR Scorecard. No significant relationship was identified between HR Scorecard usage and foreign ownership of the enterprises. The findings offer practical guidance for managers and entrepreneurs considering the adoption of the HR Scorecard, emphasizing enabling factors and noting the relatively low adoption rates among Slovak enterprises compared with their international counterparts. The results underscore the importance of linking the HR Scorecard to the Balanced Scorecard and to overall corporate strategy as a means of improving organizational performance and fostering sustainable development in industrial manufacturing enterprises.