Aviation ministry to opt balance scorecard model to review PSUs’ performance -Governance Now

Aviation ministry to opt balance scorecard model to review PSUs’ performance

A balance scorecard provides a comprehensive assessment of short-term and long-term performance

GN Bureau | December 26, 2016

#PSU #Jayant Sinha #Ashok Gajapati Raju #Aviation ministry #Air India #Airports Authority of India

The civil aviation ministry is contemplating to begin the performance of public sector undertakings (PSUs) under its aegis on a balance scorecard methodology to put an end to the conventional ways of reviewing public enterprises’ performance, reported The Economic Times.

“The ministry is putting efforts to institute a disciplined performance management system using the balance scorecard methodology. Over the last three months we have worked with each of the PSUs to develop a balance scorecard that provides a comprehensive assessment of short-term and long-term performance. There will be a monthly review by the ministry,” minister of state for aviation Jayant Sinha told the newspaper.

Under the balanced scorecard methodology, an organisation’s performance is monitored against strategic goals on the basis of a few listed criteria, the report said.

According to the report, the aviation ministry’s PSUs are slated to be reviewed under 8-10 criteria. From now on, the ministry, which used to measure Air India’s on-time performance, will also review factors leading to it – like aircraft availability, seasonal factors and other reasons leading to OTP.

The report claimed that the new model has been suggested by Sinha. The first review of all three PSUs under the ministry — Air India, Airports Authority of India (AAI) and Pawan Hans Helicopters — will be done by Union Aviation Minister Ashok Gajapati Raju and Sinha in January next year.

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