Balanced
Scorecard San
Diego
The Balanced
Scorecard can play a big role in a firm's bottom line. The Balanced
Scorecard has greater success in managing organizational changes
such as restructuring, mergers and acquisitions, and business
process re-engineering. The County of San
Diego is the fourth most populated county in the
U.S. A major
organization, the County employs over 15,000 people working in five
major agencies. Now let’s see the scenario of Balanced Scorecard San
Diego.
In 1993 the
University of
California, San Diego elected to adopt the Balanced
Scorecard model developed by Norton and Kaplan at the Harvard
Business School. This model is very
useful in that its multidimensionality insures that management is
considering most facets of operations while focusing on the vision
of where an operation is heading and meaningful goals for attaining
the vision.
The Balanced
Scorecard San Diego approach balances these four distinct
perspectives:
- Financial
Perspective Alone Looks Backward
- Customer
Perspective Does Not Account for Constraints or Controls
- Internal
Process Perspective Focuses on Process Performance
- Learning
& Innovation Perspective Looks at Sustainability and Workforce
"Wellness"
Use of the
Balanced Scorecard San Diego in Business Affairs
encourages:
- Alignment of
Customer Priorities & Business Priorities
- Ability to
Track Progress Over Time
- Evaluation of
Process Changes
- Identify
Opportunities for Initiatives & Partnerships
- Accountability to Constituents
- Develop
Action Plans & Set Strategic Direction
On February 20th,
2004, UCSD (University of California at San
Diego) Extension released the results of their survey and
findings about IT Governance policies and practices in San Diego at
their IT Governance Conference.
Fifty-three
respondents (representing 44 businesses in San Diego)
participated in the IT Governance survey. Of the respondents, 90
percent were IT Managers or Executives. Virtually none of this group
used formal IT planning methodologies such as IT Service Management
(ITSM), the Control Objectives for Information and Related
Technology (COBIT) framework or the Software Engineering Institutes'
Capability Maturity Model (CMM) or Capability Maturity Model
Integration (CMMI).
Only three
individuals use the currently popular Balanced Scorecard (BSC)
methodology and none use this technique for IT-specific planning. A
third of the respondents indicate that management analysis is the
technique of choice for developing strategic plans both at the
corporate and IT levels. For IT departments, periodic initiative
reviews are used by roughly a fourth of the respondents. Among the
participants, over half indicated that IT strategy is formulated by
mid-level IT Managers; 34 percent indicated that this function is
handled by the CIO or CTO. Over 40 percent of IT budgets are
approved directly by the CEO.
Part of
Computer Sciences Corporation is one of the largest application
outsourcers in the world. The competitions for application
outsourcing engagements - which often are in the billions of dollars
- require that savings have to be guaranteed. CSC relies on two key
technologies to help it plan to meet the guaranteed savings: their
variant of the CMM for Software and an original measurement approach
called the CSC Balanced Scorecard San Diego Process. This
measurement process is a unique blend and integration of:
- an innovative
method for identifying goals and metrics
- a
prioritization and weighting scheme that reflects the relative
importance of each
- measures and
aligns contract requirements with CSC goals
- a metrics
definitions checklist for repeatability
- Organizational change mechanisms to
identify and drive necessary behavioral change.
And then the
results of Balanced Scorecard San Diego are summarized on a single
sheet!
The process won
the most prestigious internal award for technological excellence and
they are fortunate enough to have one of its inventors and
implementers there in San
Diego to present all of the innovations.