Balanced Scorecard is a strategic tool that allows managers and directors to get a top down view of their organization and the execution of its activities. For maximum output, it should be used to help re-focus the top managerial employees that are in-charge of others, but many times employers overuse this tool by applying it to all the employees, which would further confuse and distract them.
The balanced scorecard allows for there to be a clear vision that can be translated into an activity-driven production plan, that can further be measured for its successful implementation. This is then converted into individual targets and goals, allowing for an integrated and immersive schedule. It looks at all the traditional elements of the business in order to have achievable and quantifiable factors:
- Finance
- Customer
- Internal business procedures
- Learning and development
As this is a complex analysis of the entire business landscape, the following video allows Mr. Neeraj Agarwal to help run us through the importance of a balanced scorecard, how it should be implemented, and the areas of focus by using an example of a company and an employee’s scorecard. He further breaks down the factors stated above into smaller sub-categories which individual weightage structures.
