Balance Scorecard
The balanced scorecard
The balanced scorecard is an approach for the company to transfer the strategies, objectives and missions into performance measures. It aims at assist the organization to complete and manage the strategies which the organization set up. The balanced scorecard has different perspectives, such as financial, customer, community and internal processes and employees. And also each perspective has two different indicators, lead and lag. Lag indicator is a measurement for the company to ensure the progress achieved the objectives. And the other, lead indicator is a measure that ensures the strategies were actionable and drive the outcome (Langfield-Smith, K, Thorne, H & Hilton, R 2012). The table below is the balanced scorecard of commonwealth bank (Commonwealth Bank of Australia 2013).
Perspectives/objectives | Performance measures | | Lag indicators | Lead indicators | 1. CustomerImprove customer satisfactionBetter achieved customer requirement by offer innovative product | Roy Morgan research main financial institution surveyDBM business financial services monitor surveyWealth insights platform service level survey Market share | Roy Morgan research main financial institution customer satisfaction rankNumber of customer complaints DBM business financial services monitor rankWealth insights platform service level survey rankNumber of new customer per monthNumber of new services | 2. EmployeeImprove employee satisfactionIncrease the percentage of Women in Leadership rolesDiversity of age in the company Improve the quality of employee | Employee satisfaction survey Annual People and Culture surveyWomen in Executive Manager and above roles survey The age of Employee surveyNumber of training program | Number of employee complaints staff turnoverEmployee engagement indexPercentage of women executive managerNumber of different age of employeeNumber of participants in Graduate programsNumber of staff become participants of Graduate
The balanced scorecard is an approach for the company to transfer the strategies, objectives and missions into performance measures. It aims at assist the organization to complete and manage the strategies which the organization set up. The balanced scorecard has different perspectives, such as financial, customer, community and internal processes and employees. And also each perspective has two different indicators, lead and lag. Lag indicator is a measurement for the company to ensure the progress achieved the objectives. And the other, lead indicator is a measure that ensures the strategies were actionable and drive the outcome (Langfield-Smith, K, Thorne, H & Hilton, R 2012). The table below is the balanced scorecard of commonwealth bank (Commonwealth Bank of Australia 2013).
Perspectives/objectives | Performance measures | | Lag indicators | Lead indicators | 1. CustomerImprove customer satisfactionBetter achieved customer requirement by offer innovative product | Roy Morgan research main financial institution surveyDBM business financial services monitor surveyWealth insights platform service level survey Market share | Roy Morgan research main financial institution customer satisfaction rankNumber of customer complaints DBM business financial services monitor rankWealth insights platform service level survey rankNumber of new customer per monthNumber of new services | 2. EmployeeImprove employee satisfactionIncrease the percentage of Women in Leadership rolesDiversity of age in the company Improve the quality of employee | Employee satisfaction survey Annual People and Culture surveyWomen in Executive Manager and above roles survey The age of Employee surveyNumber of training program | Number of employee complaints staff turnoverEmployee engagement indexPercentage of women executive managerNumber of different age of employeeNumber of participants in Graduate programsNumber of staff become participants of Graduate