Balanced Scorecard Consultancy, Training & Implementation
We provide a full range of balanced scorecard consultancy services across all market sectors. Our services are tailored to meet the exact needs of the client. Our engagements vary in size depending on the specific project. For example, the project may be relatively short, such as running a strategy map workshop for the senior management team, to give them a greater understanding of how to start their balanced scorecard journey, through to the deployment of a full balanced scorecard system, strategically aligned and cascaded across various operating companies, business units or divisions. All projects are delivered by highly experienced balanced scorecard consultants.
Having completed the strategy map workshop, (as described on the strategy mapping services page), our balanced scorecard consultants start the process of creating the balanced scorecard, by using the completed strategy map as the blueprint. We first look at each strategic objective in turn and ask, what is it, that will tell us, how well that particular objective is performing. This typically leads to the creation of a small number of critical success factors, that if achieved (or not) will indicate the overall performance of that specific strategic objective.
We then effectively repeat this process by asking what is it, that can tell us, how well that particular critical success factor is performing. This in turn, typically results in the creation of a number of key performance indicators (KPIs).
In effect, the above process creates a performance hierarchy, from the vision, through the perspectives, strategic objectives, critical success factors and KPIs.
The next part of the process is to look at each KPI in turn and define its properties. These properties consist of:
- the target and alarm values, i.e. the levels that trigger the traffic lights
- the period that the KPI represents, i.e. an annual measure, monthly measure etc,
- the nature of the KPI, i.e. is it a maximizing measure (say revenue) or a minimizing measure (say cost)
- and finally we look at the actual data that feeds the KPI.
If the data that is required to populate the KPI exists, we then decide on how to input the data. For example, do we input the data manually or take an automated import from the respective source system? Should the data not exist in the appropriate format, we must then define a process for creation / manipulation etc.
When the scorecards have been developed, implemented and deployed using the balanced scored software, the web based portal provides a highly visual view of performance across the organisation. Depending on the nature of the model(s) created, this may provide senior management with a comprehensive insight into the strategically aligned performance of each division across the globe, in line with corporate strategy; or it could perhaps provide key operational data to divisional management and their respective teams on how well their particular division is doing in relation to their own objectives and targets.
In our experience, the use of balanced scorecard software ensures that the maximum value is delivered by the project, as it enables the model(s) to be rolled out to all employees. This is due to the fact that when an employee has access to their respective corporate / divisional /departmental strategy map and scorecard (depending on model design), they can identify the part they play as individuals, in helping their organisation/ divisional /departmental to achieve its objectives.
Providing the facility to allow employees to fully understand and engage in the strategy will boost employee commitment and ensure that everyone in the organisation is pulling in the same direction. When employees understand that their individual objectives form part of the corporate strategy, through a process of strategic alignment, it encourages and drives personal achievement.