To implement bsc is no joke, it is important that a manager keep a few things in mind that will guide him to a successful balanced scorecard utilization.
What every management wants is a systematized metrics performance abs measurement. People who know how to implement bsc or use a balanced scorecard can do just that. A balanced scorecard is a very powerful tool that will help managers look at the trends and patterns of the business and from thereon create and formulate action plans that will set the direction for all the business stakeholders involved.Easier said than done, a balanced scorecard may not be even one that I fit for the program or business. Before one person implements the usage of this, there has to be an in depth study made whether the metrics that are being measures are true performance indicators. The figures may be right but if the very things that are measured do not have anything to do with how the business works, there is practically no sense in using the scorecard.There are a few things that a manager must keep in mind when a balanced scorecard is being implemented. The first thing is to ensure that everyone in the company knows what direction is being taken. This may be done by letting the team take ownership of the processes involved. They have to feel that they are also stakeholders and that whatever milestone the organization has achieved, they are a significant part of it and it would never have been possible without them.Second, once everybody knows the goals, their minds must be set in achieving them. This can be done through constantly setting their focus and updating them on the status of the program. Each individual should be aware of his standing based on quantifiable metrics, not on behavioral indicators. Feedback should always be given so that the employees know what their areas for improvement are.Third, management should practice strategy instead of tactics. Strategy means there should be a long term plan that acts as a preventive measure. In analogy, many managers make the mistake of dousing the fire when it is already there when what could have been done is to fireproof it. Just like in any business, people tends to ignore potential problems and then act on the problem once it is already existing when they could have done something to prevent it.Fourth, the company must be customer-centric. This does not only focus on the end users who use the actual product or service. This is also applicable within the boundaries of the company. In many big businesses, the output of a certain department is integral to another department as an input. One department may not be able to furnish report in the absence of another that is prepared by another department. Things should be synchronized. Each department that gives an output to another department should treat the recipient as a customer. All issues must be addressed immediately.To implement bsc or balanced scorecard is not easy task. Daunting as it may be, this is very doable if all members of the organization will set their mind to it and wholeheartedly achieve it.
