Balance score card is tool which offers companies the ability to map and monitor strategy across four critical perspectives-financial, customers, internal and learning and growth.

The score cared helps executives lead as well as manage .it helps them communicate a sense of vision and mission and gets their people aligned to the mission .The scorecard provides a framework to describe your strategy .you cant build a good scorecard unless you have a strategy. Otherwise you end up only with a set of unrelated key performance indicators.

The process of developing a BSC begins by drawing up a strategy map covering around 20-25 critical objectives, spanning the financial, cutomer,internal and learning and growth layers that are critical in making the strategy work .the score card thus identifies, records and keeps track of the linkages between the processes in an organization and establishes an ends and means relationship.

Example . when an organization realizes that its profit margin are down because of tough competition, it may decide to launch a new product because of tough competition ,it may decide to launch a new product which promises a better margin .Marketing gets the job of developing ,test marketing and finally launching the product in given timeframe .

Operations is required to develop the processes to produce the desired quantity of the product and hr helps develops the required skills sets by training and hiring talent from outside .The strategy map not only identifies these linkages but also works out things to be measured .it sets up quantitive targets which are recorded ,reported and reviewed periodically .

Anyone wants to take this discussion ahead ?

Sunil Madan

Thanks a lot for the informative writeup on Balance score cards. Is there any software that one can use to cascade the process from mission critical objectives to the detailed measurable task level projects please?

best regards

donna

Tks for your useful post.

Can you give me some example?

tks in adv

Hi Sunil,

Thanks for the useful insight on Balanced Scorecard. However, It would be great if you could throw some light on department wise specific KPIs or KRAs. I think that some departments like administration, Human Resource etc would have more of qualitative KRIs / KRAs. If this is the case, how well would it be measured.

Thanks.

Vinayak.

There are many articles & resources available on google. The basics have to be done from the KRA & KPIs in xl.

Objectives are to be set in accordance to the Vision & Mission of the company.

Hi forummates,

I attended seminar on the topic of People Manager's Scorecard "Measure First, Manage Later'

This is very useful for us.

Like HR Scorecard- This will measure the HR Performance explicitly linked to business goals.

I want to share the Support Function Formula:

HR Staff= No. of HR Stakk/Total Staff in the Organization x 100%

BR, carlo Rosales

Philippines

Hi HR Gurus,

I would like to share my formula on absenteeism rate as part of HR Scorecard

1. No of working days lost in specific period/Total no. of staff working days available in the period

BR, Carlo

Philippines

Hi

Thanks for your post. It would be great if u could show it with sample / example.

Most importantly, its application to HR.

Regards,

Dennis