How to Create a Balanced Scorecard
Assess the mission and culture of the group., Focus on customer needs., Define the organization's intent., Map out the process., Develop performance measures., Assign initiatives., Implement the process., Cascade the scorecard., Evaluate the...
Step-by-Step Guide
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Step 1: Assess the mission and culture of the group.
Include consideration of the organization's challenges, vision, and partners.
Identify the components of the change management plan that will need to be communicated with the organization and other key stakeholders. -
Step 2: Focus on customer needs.
Develop a strategy around how the company can best meet the needs and expectations of customers or clients.
Determine what value the organization brings to its customers and greater community. , Focus on the mission statement.
Write specific objectives that correspond with strategy themes for what the organization wants to accomplish. , Use strategic mapping to determine how the organization plans to complete the objectives defined within strategic themes.
Include specific values that the organization or company will bring to their customers and other stakeholders. , Identify how performance will be evaluated, what standards must be met, and benchmarking data developed.
All results must be measured and expectations must be communicated. , Make team members aware of their responsibilities, and how they will be held accountable for their performance.
Get team members on board with the strategic plan and the direction of the company by showing them the role they will be playing in its success. , Use a standardized system to input and track the objectives and initiatives, and communicate results.
Custom software can be used, or a simple spreadsheet.
Any automated system that works for the company and is understood by all contributors will support the implementation of the strategic plan. , The balanced scorecard used at a macro, organizational level should be replicated for specific departments and smaller groups tasked with meeting each objective.
Keep the measurement tools and evaluation procedures consistent for every objective. , Review the balanced scorecard.
Evaluate whether the objectives are being met, and if the process to meet the objectives is working. , The scorecard and the process should be kept flexible so that changes can be incorporated as strengths and weaknesses are identified. -
Step 3: Define the organization's intent.
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Step 4: Map out the process.
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Step 5: Develop performance measures.
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Step 6: Assign initiatives.
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Step 7: Implement the process.
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Step 8: Cascade the scorecard.
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Step 9: Evaluate the scorecard and the process.
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Step 10: Adjust the balanced scorecard as needed.
Detailed Guide
Include consideration of the organization's challenges, vision, and partners.
Identify the components of the change management plan that will need to be communicated with the organization and other key stakeholders.
Develop a strategy around how the company can best meet the needs and expectations of customers or clients.
Determine what value the organization brings to its customers and greater community. , Focus on the mission statement.
Write specific objectives that correspond with strategy themes for what the organization wants to accomplish. , Use strategic mapping to determine how the organization plans to complete the objectives defined within strategic themes.
Include specific values that the organization or company will bring to their customers and other stakeholders. , Identify how performance will be evaluated, what standards must be met, and benchmarking data developed.
All results must be measured and expectations must be communicated. , Make team members aware of their responsibilities, and how they will be held accountable for their performance.
Get team members on board with the strategic plan and the direction of the company by showing them the role they will be playing in its success. , Use a standardized system to input and track the objectives and initiatives, and communicate results.
Custom software can be used, or a simple spreadsheet.
Any automated system that works for the company and is understood by all contributors will support the implementation of the strategic plan. , The balanced scorecard used at a macro, organizational level should be replicated for specific departments and smaller groups tasked with meeting each objective.
Keep the measurement tools and evaluation procedures consistent for every objective. , Review the balanced scorecard.
Evaluate whether the objectives are being met, and if the process to meet the objectives is working. , The scorecard and the process should be kept flexible so that changes can be incorporated as strengths and weaknesses are identified.
About the Author
Kathleen Wilson
Writer and educator with a focus on practical home improvement knowledge.
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