To truly drive results, a Scorecard framework must be created below the
top-level Scorecard. Within this framework, each Scorecard should include
objectives that are linked to top-level objectives, yet translated to be
made specific and meaningful to that organizational area.
To create this type of framework properly, organizations must get out of the mode of simply slicing up top-level areas and assigning portions of ownership to various areas (the “dimensional” or “decompositional” breakdowns). Rather, the cause and effect drivers of the higher-level objectives must be identified and incorporated on the correct Scorecard to create the alignment and visibility that improves performance.
This is a bit of an art and a bit of a science, but we can help. ActiveStrategy Consultants will impart lessons from their years of experience, some simple tools and techniques, best practices to emulate, and pitfalls to avoid for functional managers and process owners.
As organizations cascade Balanced Scorecards, they must also cascade and align the measures that indicate whether or not strategic objectives are being met. To do this, ActiveStrategy Consultants will coach you through developing causal hierarchies of lower-level leading measures that branch off from the scorecard-level measures. By thinking through and documenting these measure relationships, business managers will be better able to understand the causal drivers of underperformance.
At the conclusion of the Measure Cascading Workshop, scorecard owners will have a much more robust and predictive management system, allowing them to understand root causes and where to align improvement initiatives for best impact.
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Top-Level Scorecards |
Performance Improvement