OPEN JOURNAL OF FINANCE Balanced Scorecard and Strategic Cost Management: Recipes for Productivity Rating of Nigerian Manufacturing Company

The study examined Balanced Scorecard and Strategic Cost Management as recipes for pro-ductivity rating among manufacturing companies in Nigeria. Performance evaluations have often been streamlined to financial measures alone, while circumventing non-financial performances measures such as: product quality, order delivery time and employee satisfaction etc., which have spawned a large gap in productivity rating among Nigerian firms. To this end, primary data were elicited from respondents of ten manufacturing companies in Rivers and Lagos States in Nigeria. OLS and Pearson Product Moment Correlation Coefficient were used for the hypotheses tests and the results showed that Balanced Scorecard and Strategic Cost Management are complementary measures used in assessing the performances of a company in order to align business activities to the overall strategic objectives and ensure both short-term and long-term productivity through financial and non-financial planning, implementation and performance evaluation processes. It was recommended that the Manufacturers Association of Nigeria (MAN), as a regulator of the manufacturing sector in Nigeria, should begin a widespread sanitization of the concept of balanced scorecards and strategic cost management through workshops, seminars, etc. in Nigeria. Keywords