Why Develop Corporate Scorecards?
Developing Corporate Scorecards is a facilitated session for senior executives, which focuses on developing and agreeing on the organisation's scorecard based on vision and strategy.
Organisational Scorecards translate vision and strategy into a coherent set of objectives and measures, organised into four or more dimensions:
Most financial measures tell the story of past events. They are mainly lagging indicators in that they measure what has already happened. The Balanced Scorecard complements financial measures of past or current performance with measures that drive the whole well-being of the organisation.
Leading indicators measure initiatives that lead up to the final outcome, i.e. steps taken to grow market share; process improvements that will lead to greater efficiency; and steps taken to develop and grow the people who comprise the business.
Long-term business health cannot be measured by financial data alone. Future value is derived from investment in employees, customers, suppliers, processes, technology and innovation To measure these initiatives, a different set of measures is needed.
The dimensions of the Balanced Scorecard approach was derived by Kaplan and Norton in 1990 and contain slightly different dimensions. In any application of the scorecard, the objectives and measures are derived from the organisation's vision and strategy, and organisational performance is viewed from several perspectives in addition to the financial.
A performance culture starts with a clearly communicated direction.
The primary objective of Developing Scorecards is to translate the strategy of the business into a framework that will help generate alignment of individual, departmental and organisational initiatives towards the achievement of common goals.
If you are interested in more information please give us a call on +61 412 026 909 and ask to speak to one of our consultants.
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