Balanced
Scorecard Learning
Balanced
Scorecard is almost essential tool for many successful organizations
and to get well versed with Balanced Scorecard, one need to attend
Balanced Scorecard Learning seminars and other training programs to
enhance his/her skills. The Balanced Scorecard Learning provides
managers and leaders with a tool to translate strategy into action
and measurable results. The Balanced Scorecard Learning and training
is a performance management framework that links strategy with
day-to-day operations.
It helps providing a holistic view of the enterprise based on
the business objectives. The Balanced Scorecard Learning consists of
a set of performance measures that give a comprehensive view of the
company based on four perspectives:
·
Financial perspective, including traditional
financial measures such as revenue growth, return on investment or
return on assets, market share, and earnings per
share,
·
Customer perspective, with measures of
importance to customers such as timeliness, quality, performance,
cost, and service,
·
Internal business process perspective, with
measures of the critical internal activities and processes that the
organization uses to meet its customers' expectations,
and
·
Learning and growth perspective, which
measures the organization's ability to adapt and innovate for the
future; this could include time to market for new product
development, workforce training and development, and process
improvement.
Undoubtedly,
the Balanced Scorecard Learning is considered to be the most
important concept in many quality conscious organizations.
Organizations those that have in place systems, mechanisms and
processes, that are used to continually enhance their capabilities
and those who work with it or for it, to achieve sustainable
objectives - for themselves and the communities in which they
participate.
The important
points to note about this definition are that Balanced Scorecard
Learning organizations:
- Are adaptive
to their external environment
- Continually
enhance their capability to change/adapt
- Develop
collective as well as individual learning
- Use the
results of learning to achieve better results
It is not
instinctive to invest time and money in learning. When business is
good, Balanced Scorecard Learning is not a priority. And when
business is bad, learning is considered a luxury. While they may be
counterintuitive, here are some reasons to make learning a priority,
even during an economic slump:
·
Profits depend on a well-defined,
well-executed business model. A business model is the linkage of an
organization's activities into a series of processes, with the
intent of providing value to customers. If your management needs to
understand the business model, Activity Based Management (ABM) is a
proven tool. Map ABM activities into your "as is" business model.
Then define what you want it "to be".
·
If you need to change your company, you've
got to change your employee's thinking. Becoming a successful
learning organization requires a collective mind shift at all
levels, starting with senior management. As author John Maxwell
says, "An organization will never surpass the capabilities of its
leaders." To successfully use ABM, ABC or Six Sigma to improve your
organization's financial performance, every level of employee must
learn new skills.
·
Learning "to do" is enormously rewarding and
personally satisfying. Training employees how to apply the
Five-Steps of ABM to their pre-existing Activity Based Costing (ABC)
data has resulted in big cost savings for numerous ICMS clients.
ICMS uses a Tell-Show-Do workshop format. The result of this
hands-on learning is a cost saving, not a cost incurred.
·
"Balanced Scorecard Learning organizations
have an edge. Balanced Scorecard Learning translates into actions,
and actions spark productivity", says Jack Welch, retiring CEO of
General Electric. Mr. Welch built GE into the most successful
American corporation of the 20th century by training his employees
how to use Activity Based Management and Six Sigma to reduce waste
and improve quality.
·
Balance Scorecard Learning can change
momentum. Repetition of old methods is boring. Learning is
invigorating. New ABM/ABC skills can turn a sales decline into a
profit climb. Train employees how to use ABM/ABC tools and
techniques during the economic slump. Use ABM to eliminate non-value
added overhead activities. And use ABC to eliminate unprofitable
products, customers, services or distribution channels that eat up
profit and valuable.
