The Value of a Scorecard

If you do not have a scorecard you’re missing the boat.

If you are not sure what a scorecard is go online and search for what is commonly called a “balanced scorecard.” The balance scorecard includes four elements:

• Learning and Growth is centered on improving and growing value from your people, information, and organization.
• Internal Business Processes to identify issues with and improve your quality and efficiency
• Customer feedback and particularly complaints that will help you focus on customer satisfaction, new orders, etc.
• Financial performance of your company including profit targets, budget, scrap, and cost-saving measures.

Small businesses may want to hold financial measurements “close to the vest.” Feel free to customize the scorecard to make it your own and for internal consumption throughout the company.

It’s easy to post the latest measurements on Conformance Portal for all employees to see and think about. Show them the goals and performance. Keep them informed and they will help you reach your goals. Compare the current month of your key issues to goals, previous months, and cumulative data over 12 -18 months.

As a minimum you need to have the key issues facing your company to monitor in a group setting on a monthly basis with your quality management team which should include the President, CFO, HR, Operations Manager and Quality Manager.   It may sound complicated, but it’s really not. It’s easy to set up and administer in Conformance Portal.

The value of a scorecard will show up in your bottom line.

Click here to see a sample Scorecard.