Intolerance of Ambiguity Effects on Evaluations with the Balanced Scorecard‪.‬

INTRODUCTION One of the most significant business innovations in recent years is the Balanced Scorecard (BSC). The BSC, introduced by Kaplan and Norton in 1992, promotes a more "balanced" approach in measuring progress towards achievement of strategic objectives (Kaplan and Norton, 1996, 2001a, 2001b, 2001c). A survey conducted by Renaissance Worldwide, Inc. estimated 60% of Fortune 1000 companies have implemented or are experimenting with the BSC (Silk, 1998). Recent literature has examined some of the difficulties in examining business-unit performance with systems like the BSC that contain multiple performance measures. This paper helps extend that literature by exploring how cognitive characteristics of BSC users, like intolerance of ambiguity, can affect the evaluation of business-unit performance.