Working with Balanced Scorecard Perspectives
After strategies next in the progressive implementation is the scorecard perspectives.
In order to get the strategies successfully implemented each strategy is broken down into objectives which are decided upon by considering what has to be done from each of the business perspectives. Usually there are four key scorecard perspectives, two that drive the change and two that are outcomes of the changes. The driver perspectives are generally known as Process and Innovation and the outcome perspectives are Customer and Financial.
The driver perspectives in balanced score card are known as the lead drivers as changes initiated from these perspectives happen first and lead to the outcomes in the Customer and Financial perspective. For example to get satisfied customers the decision is made that changes are needed in the ordering process and a greater product range is necessary. With these changes in the Process perspective and Innovation perspective in place the likely outcome in the Customer perspective will follow and ultimately that will be reflected in the positive outcome for the Financial perspective.
Usually there are four perspectives but you can add more as desired with “20-20” balanced scorecard software.
Return to 20-20 Balanced scorecard overview