Introduction
Starting with the premise that ‘You can only manage what you measure’, Winning Measures has adopted a Balanced Scorecard approach to provide fact based insight on your company’s competitiveness performance against international norms.
The Balanced Scorecard approach to strategic management was developed in the early 1990s. It provides a clear indication as to what companies should measure to ‘balance’ the financial perspective (which was already comprehensively measured), with other aspects of business performance. The Balanced Scorecard management system enables organisations to clarify their vision and strategy, and translate them into action. It provides feedback around both the internal business processes and external outcomes to continuously improve strategic performance and results, looking at the financial, Internal Processes, Customer, and Learning & Growth perspectives).
Financial Perspective:
The financial perspective indicates the key performance results of your company. The results show how effective your choice of strategy has been at impacting your company’s performance and provides the backdrop against which the other perspectives should be considered. When looking at these results, it is important to remember that they are outcomes or effects of something else. You can’t influence these things directly. This report will lead you to consider what practices exist within your business – the causes – that are either contributing to or detracting from your performance.
Customer Perspective
This section allows you to consider your performance in terms of customer loyalty and satisfaction and will help you to determine how your customer service practices are either helping or hindering company performance.
Process Perspective
Internal processes are critical in achieving business goals, this section looks at how much your business is investing for the future, how innovative it is, how well you are managing suppliers and if you are a manufacturing company, how efficiently you are managing your manufacturing processes.
Learning & Growth Perspective
This section considers the company’s drive for learning and growth, it is usually the case that practice in this area influences performance in the other perspectives. The results here will reflect how you manage your people and how you structure your company. They also show people productivity and people satisfaction and provide an understanding as to how much your people are contributing to the achievement of your vision and goals
This benchmarking tool uses carefully selected measures to provide a balanced view of your performance to determine those practices that are contributing to superior performance and those that are not. ‘You can’t improve what you don’t measure’.
Through this assessment, you will be able to judge the areas where you are relatively strong or weak, and you will also be able to make connections between ‘causes’ and ‘effects’, e.g. it will help answer key questions such as ‘does our R&D expenditure result in higher levels of innovation?’.
