Balanced Score Card is a well-known Strategy and Process Management Tool. It is adopted globally among businesses, governments, and non-profit organizations. It helps in tracking organization and individual performances against strategic goals, aligning business activities to the vision and strategy of the organization and improve communications in the organization and well as to relevant stakeholders outside the organization.
In terms of Balanced Score Card the organization is viewed in four perspectives. It is suggested to develop metrics, collect data and analyse it relative to each of these perspectives:
1) The Learning & Growth Perspective
This perspective is related to developing long term competence in this era of rapid technology change. This perspective focuses on developing high performance teams by enabling them to access various right set of sources of knowledge which in turn help them develop skills.
2) The Business Process Perspective
This perspective makes business aware about the performance of their product and services and acceptance of customers. This perspective is about setting up right set of processes to develop product and deliver services.
3) The Customer Perspective
As they say, customer is the king so in today’s connected world customer satisfaction is of prime importance for future growth of business. Good financial numbers but poor customer satisfaction metrics ensure the decline of business in long term.
4) The Financial Perspective
Analysing financial numbers and providing insights to senior executives for healthy growth of the organization.
CUNIX consults in Balanced Score Card and related areas of Strategy formulation and execution.
9 steps to successful implementation of Balanced Score Card
Setup/ Review the Vision, Mission, and Quality Policy of the organization. Setting up a BSC Teams.
Preparing a change management plan
Identifying the Strategy Themes to achieve the Vision
Build the Linkages: Develop the Strategic Objectives aligned to Vision
Setting up Measures and Targets as per the defined objectives
Planning Initiatives to achieve targets
Cascading and Ensuring Alignment between multiple Balance Score Cards
Evaluation of the overall effect
Balanced Score Card Workshop
- Goals, Scores, and the Balanced Scorecard
- Building and Balancing Scorecard Strategies
- Planning For the Balanced Scorecard
- Putting Your Balanced Scorecard into Action
- Understanding Your Role with Customers
- Creating a Customer Scorecard
- Building the Customer Leg Dashboard
- Understand Role of Financial Measurement
- Building the Financial Leg Scorecard
- Building the Financial Leg Dashboard
- Understand Role in Internal Business Processes
- Build the Internal Business Process Scorecard
- Build Dashboards for Internal Processes
- Understand Role in Learning and Growth
- Create Knowledge, Education, Growth Score
- Create Knowledge, Education, Growth Dashboard
Ideally, Balanced Score Card formulation and implementation will depend on the size of the organization. However, for organization of size say 500 people formulating the Balanced Score Card will take 3-4 months and implementation of Balanced Score Card will take 6-8 months’ time.
Balanced Score Card will help in Strategy and Performance Management. It is a systematic approach which helps organization focus and develop holistically all the pillars of the organization i.e. people, process, customer and finance.
CUNIX has experts who can consult on Balanced Score Card formulation and implementation. After studying your organization, we plan our steps as per your needs and form the relevant teams at your organization. CUNIX with teams at your organization drives the initiative of BSC formulation and implementation.