The Balanced Scorecard (BSC) is a business framework using a range of "perspectives" for tracking an organization's strategy and performance, through qualitative and quantitative indicators that express company's medium & long-term objectives.
The BSC aims at transposing an organization's mission and strategy into tangible objectives and measurements that represent a balance between external measurements, targeting customers and shareholders, and internal measurements of processes, both core and those critical affecting innovation, learning and growth.
Such measurements are balanced between those related to achievements and those affecting future performances. And the scorecard is balanced between the objectively quantifiable measurements and the subjective measurement constituting the drivers for future results.
A modern Balanced Scorecard must feature:
- "data integration" allowing an organization to integrate data from different sources within the company;
- "data analysis" providing the ability to perfrom a quantitative and qualitative analysis of data collected from all sources;
- "collaboration" supporting the communication around performance information between users, top-down and bottom-up.
Enterprise Strategy Designer is the solution that enables companies to easily create and coherently manage an organization's strategy using balanced scorecard methodology. Enterprise Strategy Designer is:
By acquiring Enterprise Strategy Designer your organization will be able to:
- create strategies and objectives for each "perspective"
- define cause-effect relationship between objectives
- devise action plans and initiative
- link objectives to KPIs in real time with DWH/BI systems
- define objective's hierarchy
- monitor objectives at different detail levels (executive, management, operational)
- lively manage everything through a dashboard, available on any device thanks to cloud technology
Findings by many field studies indicate that the Balanced Scorecard represents a powerful instrument for managing corporate performance, particularly focusing on the following:
- by keeping the performance framework simple and easy to understand, the BSC vehiculates information that actually matter to the receiver;
- by creating simple tools it facilitates the involvement of people within the organization, thus making it easier to delegate responsibilities on performance improvements even to staff and front line functions;
- by avoiding measuring anything and focusing instead only on the data that will provide information that are relevant to the organization's vision, managers can identify better and quicker all the improvements needed to benefit customers and business.