Scorecards
Scorecards are collections of metrics that provide feedback about how the organization is performing or projections about how the organization will perform in the future. The most common scorecard out there right now is the Balanced Scorecard. Action With Traction introduces the Objectives Matrix, a powerful tool that can be used with the Balanced Scorecard to simplify analysis and presentation.
Scorecards and the metrics they contain are part of the suite of powerful tools that can be used to shine focus on what matters and provide feedback about progress. Below are links to materials that might help improve the design and use of scorecards to make better traction.
Links to books and website articles of interest
Predictive Performance Measurement - Going Beyond Red-Yellow-Green Scorecards by Forrest Breyfogle III on Sept. 23, 2009 in Inside Quality Insider. This article explains how the application of simple control charts to performance metrics can help avoid over correction that often takes place when reacting to a red indicator in typical red-yellow-green scorecards. The control chart can identify what is noise ("common cause" in quality language) and what is trend ("assignable cause"), allowing attention to be placed where it is needed. While this might sound technical, it really is not very complex and the article is well written.
Are Your business Metrics Measuring the Right Thing? by Forrest Breyfogle III on October 6, 2009 in Inside Quality Insider. Mr. Breyfogle continues his excellent series bout performance metrics by making the arguement that corporate metrics should not follow the organization chart but rather the value chain of the organization. By following the value chain, organizational restructuring will not disrupt a long-term view and performance analysis of the most critical processes.
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