Developed by Robert Kaplan and David Norton, the Balanced Scorecard has emerged as the tool of choice for organizations wishing to successfully execute strategy. Rather than focusing on financial numbers, the Balanced Scorecard translates your strategy into performance objective and measures in four, balanced perspectives: Customer, Internal Processes, Employee Learning and Growth, and Financial. This integrated collection of objectives and performance measures describes and translates your strategy allowing you to look to where you're going, not just where you've been as is often the case with "rearview mirror" financial results. With this system in place you have the tool you need to guide the actions of every employee in the organization toward your overall goals.
To learn more, listen to this interview with Paul on CFO Talk Radio (#17) in which he discusses the Balanced Scorecard.
- If you're from the private sector: Driving Focus and Alignment with the Balanced Scorecard.
- If you're from the public sector: Using the Balanced Scorecard in the Public Sector.
- If you're from the nonprofit sector: Why Nonprofits need a Balanced Scorecard.