Balanced Scorecard Reports

Written by Serena Berger
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In developing balanced scorecard reports, your company's objectives can be broken down into four perspectives, each of which provides a different view of the company and its customers. The four perspectives are learning and growth, financial, internal business processes, and customers--all of which are necessary elements in your company's survival and growth. Though the perspective may differ, each focuses on the vision and strategy outlined by your company.

Reporting from Four Perspectives

From the perspective of learning and growing, you should ask yourself how the company will change and improve to achieve its objectives. This may involve developing metrics that assess how quickly current employees are learning new skills that are required of them. Additionally, these measures can assist managers by giving them direction in how to allocate funds and time for training.

There are two types of business processes that can be measured and on which you can report: support processes and mission-related processes. Support processes go on behind the scenes and therefore are often unobserved, but are essential in obtaining your company's goals. Mission-related processes are those processes concerned with meeting the requirements of your customers so that they are satisfied with your service. If you ship products to your customers, you might measure how long it takes to process their orders, as well as how your staff deal with problems related to customer service.

Customers will only continue to do business with your company if they are satisfied with the service that they receive. Consequently, you need to develop and analyze metrics that will report on customer satisfaction. These measures may be related to business processes. Financial measures, such as ROI, are common and should not be disregarded in a balanced scorecard. It is important to realize, however, that they do not provide a complete picture and that a report with information from all four perspectives will be more thorough and ultimately implementable.


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