Question

‘New HR metrics: scoring on the business scorecard’. From business scorecard to HR scorecard:

Coined by Kaplan & Norton’s, scorecards became a familiar concept in most firms. Scorecards three components or areas were left intact. The scorecard’s core was kept by retaining the financial, customer and business process success components, The component of ‘Learning, Innovation, Etc.’ had been changed to ‘Workforce Success.’

We call this new scorecard or the Business Scorecard . Also, the word ‘success’ as opposed to ‘satisfaction was used. Discuss this development in business scorecard and support your answer with examples and illustrations when appropriate.

Answer 1

Business Scorecards is a target or performance tracker, a system incorporated by companies, enterprises and industries to measure their performance in terms of success rate and growth rate.

Business scorecard is also called as performance scorecard. It is a graphical representation of the companies progress over time.The integral concept of scorecard are to track the target and key performance indicators (KPI's). This help measure the status of the companies towards their goal or success.

Business scorecards can be in a basic dashboard form that tracks the progress with data in excel that project status through a graphic representation.

Steps to create a scorecard;

1. Have the Vision and Mission statement inline to make assessment.

2. Identify Customer needs.

3. Focus on Organization's needs.

4. Make a process.

5. Develop performance measures.

6. Give direction on how to execute.

7. Implement the process.

8. Monitor the status.

9.Collect the data.

10. Reflect it on the score board.

11. Study the results.

12. Take crrective action for better results / continuous improvements.

The business scorecard give a clear sight picture of theprogress the company makes. It gives decision making easier as it is driven by facts & figures by evaluating/overviewing the targets and KPIs.