Balanced Scorecard Implementation And Management Services
A balanced scorecard is a management system that enables an organization to set, track and accomplish its major business strategies and objectives. Abbreviated as BSC, this management system is also used in strategic management to identify and improve different internal functions of an organization and their resulting external outcomes. It is also used to measure and provide feedback to organizations about the ongoing projects.
Basically, a balanced scorecard is used by organizations and business to: Seamlessly communicate what they are trying to achieve as an organization; Support the daily activities and operations of every employee in the organization with strategy; Measure and monitor progress towards the achievement of strategic targets and objectives; Prioritize the organization’s projects, products, and services. The balanced scorecard is used widely in business, non-profit organizations, government, and industries all over the world. Research shows that over 50 percent of large companies and business in the United States have adopted balanced scorecard. Over a half of the major companies across Europe, Middle East, Africa and Asia are also using BSC. In other words, the balanced scorecard is among the top ten most widely used management tools in the world.
Why choose SAF International?
SAF International has the best, well trained, highly experienced staff that understand the intricacy and the problems associated with implementing BSC.
BSC implementation only
BSC implementation and management services (Also offered as part of the Office of Strategy Management (OSM) setup and management)
Our staff will take you through the steps of the implementation process; they will teach you about the framework and make it easier for you to understand. We will make the BSC framework and implementation easy for you.
With the help of our highly experienced staff, we will work with you and tailor a strategy map that will be used in the implementation of the balanced scorecard. Additionally, we will be there when you need us. This means that, in case of any problems during the implementation process, we will be there to help you out. With our experience in the industry, we have what it takes to implement not only the balanced scorecard but any other management service that you may require.
To ensure that there is strong leadership support for the implementation of BSC; our professionals will inform the top leadership about benefits of implementing BSC and how well they can support its implementation. Our team of experts will work together with the respective employees to ensure that everything goes smoothly.
Implementation and management of BSC (outsourced model)
This offering encompasses BSC implementation services as described above, and it includes management and implementation of strategic plan (Department or organizational strategy) through Balanced Score Card. The management includes assigned roles back by individual KPIs, weekly reporting of the status of where the strategy implementation is at any given point, what is lacking (if any), modification of BSC in alignment of strategy changes.
BENEFITS OF BALANCED SCORECARD
It gives structure to your strategy
Unlike Human Resource management or financial management, balanced scorecard gives your organization the ability to look at its performance from different angles and ways. The BSC is a logical, structured and holistic way that helps the top management of an organization to understand all the areas of the organization and to ensure that all these areas are covered in an easy-to-understand way. This management tool enables you to prioritize your goals, to use specific measurements to track your progress and enables you to follow initiatives to track your actions.
It enhances communication
BSC allows you to come up with a strategy map that is designed to enhance communication about a strategic plan. A strategy map is a clean, simple visual aid used purposefully to align each and every department for the sole purpose of achieving high-level organizational goals. This basically means that there will be effective communication between departments and divisions of your organization.
It aligns the departments and divisions
When implemented effectively, BSC will align all the divisions and departments with a common strategy. With the help of the balanced scorecard, you will be able to link all your most important departments’ objectives to the objectives of the parent enterprise. This will enable you to also track and measure your performance, come up with enterprise-level measures and much more.
It enables you to prioritize your strategies and make them key in your reporting process
Many organizations and companies create strategies and strategic plans and do not use them in their operations; they leave them on the shelves never to be seen or touched again. BSC is created in such a way that it allows for a regular review of your strategies. However, this can only be achieved if your strategy is well formulated and organized. Frequent strategy review meetings especially, monthly or quarterly meetings, doing this will ensure that you look at your strategy regularly and use it in your management reporting process.
It enables your employees to align their individual goals with the organizational strategy
BSC provides a framework that allows employees to align their individual goals with the strategy of the organization. It cuts across the organization and every employee are expected to do this. For example, employees can link their performance goals used for annual personal review, to those of their respective departments. It allows the employees to connect their activities and goals to the betterment of the entire workforce and the organization at large.
Enhances innovation and process improvement
The balanced scorecard increases innovation and different process improvement methods, such as, six sigma as well as lean manufacturing. This tool also emphasizes the importance of the customer by ensuring that the customer’s voice is considered in most operations and decisions made by the business.
Balanced Scorecard can also provide a visual way of demonstrating how various organizational goals and objectives are related. Improved customer service enhances customer relations and responds to the voice of the customer. Increased sales improve the profit margin of the company under the financial department.
Problems of Implementing Balanced Scorecard
The framework can be overwhelming to implement
The amount of material on the balanced scorecard can be overwhelming. The implementation process can be strained if the people doing it are not knowledgeable enough about what to do and how to carry out the process. This means that the implementers of the balanced score card must either be outsourced or the existing employees undertake a course that will enable them to carry out the implementation process.
It is not easy to copy precisely from example
Certain management tools can be copied from examples and implemented without a hitch. Unfortunately, this is not the case with BSC. Since your strategy map will or is unique to you, you will have to find a way to implement the balanced scorecard without necessarily copying or using other examples available to you.
It requires strong leadership support to implement
To successfully implement the balanced scorecard, you will need a very strong and exceptional leadership support. If the existing leadership in your organization does not understand the structure or is skeptical about the entire BSC structure, chances of you succeeding with the implementation is very low.