BSC - Basic assessment of the business model efectiveness of the selected metallurgical companies

Companies operating under conditions of global economy which can be characterized by increasing international competition, search for sources and methods to reach profitability and competitive edge. At the moment, the most important is to create and implement various kinds of innovations. Attribute of innovations is the changes and innovativeness that is why Increasing competitiveness and globalization as well as crisis phenomena affect the whole economy, including the metallurgical sector. This sector can be characterized by high degree of consolidation and it is susceptible to economic situation variations. In this context, metallurgical companies, if they want to effectively compete, introduce product, process, organizational and marketing innovations, which are frequently related to changes of their business model. Assessment of efficiency and effectiveness of the implemented business models is an important research problem, both from the theoretical and management practice point of view. Basic research questions regarding this issue is: how to measure results and effects gained by changing the business models. These changes were related to high extent to the introduced innovations. The purpose of the paper was the application of BSC to measure results gained upon implementation of changes in the business model. The following research hypothesis was extended: properly composed Balanced Scorecard will allow for assessing effectiveness of its dynamics in metallurgical companies. The subject of the research was structural changes of business models and economic, market, process and development results related to them. Objects of the research (case studies) were two metallurgical companies: the rolling mill of hot-rolled steel products and metallurgical products servicing and trading company.