EVALUATION STRUCTURE OF BALANCED SCORECARD
☆☆ BALANCED SCORECARD ☆☆
The balanced scorecard is the business strategy technique of the strategy management which is useful for the performance evaluating, working out a management strategy.
It shows the power to be outstanding in to the business management.
The balanced scorecard is the tactical management system which Debit P. Norton in the consulting company invented with the Robert S．Caplan professor of the Harvard Business School professor.
The characteristic of this business strategy technique is the point which balance well adopts the 4 corner viewpoints which consists of financial viewpoint, the viewpoint of the customer, the viewpoint of the business process, the viewpoint of the learning and the growth and does a performance evaluating by the scorecard.
The point to narrow down these viewpoints to the 4 corner all directions type and for " the 4 eyes Lev management " to be able to be practiced is a reason for giving off the blaze of the existence value.
The single-lens reflex camera very provides the good clear photograph of the deterioration.
The balanced scorecard is the one management which can be well seen wonderfully, boiling as it is possible to say " the 4 eyes Lev camera " which gathered four single-lens reflex cameras.
Why will it be a financial viewpoint?
If the company doesn't make a profit even if it sends the product which is excellent in much using the money in the world, it has failed in time.
The financial basis is sound and to win the confidence of the capital market is the absolute condition of the company continuation.
In the meaning, the balance scorecard adopts a financial viewpoint.
Next, why will it be the viewpoint of the customer?
The customer shoulders without turning in the seeing, too, to the product where the convenience is bad and the product where the after-sale service is bad even if the performance and the feature are excellent and have the good design of the much advantage.
It is a point by whether or not the customer can be gotten by buying at the proper price by this place's making the product concept which matches the needs of the customer clear.
As for the viewpoint of the customer, it asks the existence value of the business activity.
How will it be therefore to the viewpoint of the business process which is the 3rd viewpoint?
As for the business process, it is equipped with the factor which influences the level of the product and " the quality ", " the cost " and " the appointed date of delivery " of the service.
These 3 corner factors can be called the absolute condition of the manufacturing, but when either one level falls, the product and the service can meet the needs of the customer and pass away.
The viewpoint of the learning which is the 4th viewpoint and the growth concerns the quality of the human resources which compose corporate organization.
There can be human resources when to bring up excellent human resources by the repeat of histological learning to be called person property, too, influences the perpetuity of the company, too.
The balanced scorecard 4 corner viewpoint differs in the zone of the temporal axes.
For example, the financial viewpoint can be called a viewpoint in the past as the result of the business performance to be evaluated at the management value like the financial statement.
The customer, the business process are one to the activity condition of the present progressive and can be called the present viewpoint.
This place analyzes a customer, a market, competition and inventing a best business process by it
It attempts to bring up human resources and to strengthen the ability to reform and the viewpoint of the learning and the growth can be called a viewpoint in the future.
Among these 4 corner viewpoints, it is equipped with the past, all temporal axeses which consist of the future at present and it has the characteristic that it is possible to do a performance evaluating balance well without the overlook.
For example, here, as the 5th new viewpoint, the viewpoint of the risk and the viewpoint of the environment can be added, too.
The business management which can do the control that a balance was taken by this place's adding a best viewpoint according to the characteristic and the description of business of the company can be realized.
In the balanced scorecard, it uses so-called KPI(Key Performance Indicator) for the performance evaluating index.
KGI evaluates the maximum goal of the management in the company at the value.
" Achievement with 10 % of profitability ", Exhibited to the capital market as the target-number value of the management as if to do " the definite achievement with twice of proceeds "
KPI subdivides in detail as the performance evaluating index in the specific action plan to achieve KGI.
It is the one which can be called the monitoring parameter of the management.
KPI sets a wide range of ones to each while it makes have a consistence mutually in the 4 corner viewpoint.
The achievement of KGI must be led to as those amounts.
It checks to be proportional to the proceeds and whether or not the profitability, too, is improved in KPI of the financial viewpoint or whether or not it declines.
Every month, which degree, it monitors whether or not it clears to be changing to the target value or whether or not it is aggravated.
KPI makes the value that the result of the practice of the reform was invented the form which the eyes can see.
It is charged with a role of the monitoring which evaluates a value and a level at the value in the time series using the managing viewpoint.
As for the contents of KGI, according to the change of the progress condition of the business reform and the status, the business environment of the competition, every time , the orbit correction hangs.
It accompanies to that and it reconsiders and the correction, and the new setting, the reorganization become need next to the inevitability, in the action plan and KPI ( Key Performance Indicator: the performance evaluating index ) in the change of the strategy.
That is, the reconsideration of the companywide balanced scorecard is done and the changing clothes of the frame of the performance evaluating is done.
KPI can get a big harvest as the company if it can be achieved when setting a target value high.
However, when setting the overstretching oneself target value as it doesn't correspond with the ability of the company to KPI, in some cases, the company crashes.
For example, there is a case that the staff does that the sales are dilute to achieve exorbitant sales Norma well.
In this way, KPI of becoming the sword of the double edge, too, very is the tool of the monitoring ( the watch ) of naive management.
When reviewing what level to decide the value on, in addition to gap analysis of the competition and the company, to ascertain the level of the acceptance power and the true ability of the company well from a wide range of angles under the enough adjustment among the related departments is important about as what index to choose KPI.
It is necessary to check whether or not it is possible not to choose the achievement index that it is possible to really master the performance evaluating index (KPI) to have incorporated into the balanced scorecard on the scene or whether or not it doesn't get not to be in the meaning as the business environmental-variation can not be supported, too.
For example, if the performance of the competition improves, it accompanies to that and the reconsideration of KPI becomes need.
Or, if KGI is changed, the correction orbit of KPI is necessary at the same time.
With to call the specific promotion index to achieve KGI, too, being possible, it is in the relation of the parent and child with KPI.
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The explanation of the balanced scorecard practice step about the following case study is introduced to the book of " the balance scorecard exercise book written by Tomohisa Fujii".
The case study:
The blue sky is a 25 year-old salesman.
Including the athletics, in the high school days, it has won the 3rd in the marathon event of the prefectural tournament from the junior high school student times, too.
A little temporal leeway appeared even if it entered a company and it matched work, too.
Therefore, the thought to want to win Honolulu Marathon which was a dream in the junior high school student times by all means which is not became strong day by day in the way even if it ended in the life which chases and is rolled just as it is up by the work.
Therefore, it decided to consult Yamasaka who is a friend in the athletic club in the school days when it is possible to have seen a sign in the spring, too.
Actually, Yamasaka, too, knew what is in preparation for Honolulu Marathon next year and the blue sky floated smiling.
It became a rival, too, from the school days and two which were among them to encourage each other elaborated a training plan and a fund plan immediately for Honolulu Marathon in December.
Almost, in the training plan, the schedule and the menu must be decided.
The blue sky and Yamasaka decided to guess Sunday in the day of exercise on Saturday of the holiday.
Because Yamasaka of the salesman had the day of the holiday work sometimes according to the sudden product trouble at the place of employment, the day, it was to do being of the fact to rest and to want a practice.
It set a running course and it made a training menu because it hit against the interval training and the thews training the morning and there was a path through a forest for which it is easy to lie to the forest near home it from the afternoon.
To make strong, it isn't possible to miss the altitude training but it was to do the two people being the fund which goes to American the State of Colorado boulder and so on like the flagrant player which doesn't have and leeway in the time.
It did the story of some day, Honolulu Marathon because it resembled a blue sky in the foot on Mt. Fuji and there was Kawano of the friend who is managing a lodge, and it came and visited by all means in the Bon vacation , Kawano got the reply to want because it, he wanted to cooperate by all means.
When continuing a practice in being above mentioned and passing through 1 month exactly, as for the blue sky, suddenly, the joint at the base of the right leg began to ache.
It had hurt a right leg by the arthritis in the school days but because it began suddenly impossible training, the arthritis recurred.
Anyhow about trying because there was good one in Prix when consulting a friend and it was said to.
Moreover, because the project of the sales reform of the European base was started around July from the good boss of the understanding, it said that it might be recommended to the member.
Of the at heart when the work might become busy to the Europe if becoming assigned about the blue sky anxious
The day to have been left to Honolulu Marathon, it is only about 8 months.
Therefore, the blue sky set about the creating of the balanced scorecard which aimed to win a prize.
The practice category of the balance scorecard is composed of the following three.
< The BSC introduction preparation >
･The management vision
･The business model
･ The KGI setting
･The service of the propellant system
･The interested party adjustment
･The competition other company investigation and the analysis
･ The embodiment of the 4 corner viewpoint
･ The SWOT analysis
・KPI setting
･The budget planning
･The project risk extraction
･The action plan
･The KPI selection< The BSC introduction >
･The propellant system and the role performance
･ It checks in the 4 corner viewpoint.
･ The strategy implementation by IT utilization
･It creates a scorecard in all the organization hierarchies.
･The definition according to the organization hierarchy of the scorecard evaluation person in charge
･The implementation of the budget planning
･The companywide announcement< The BSC operation >
･ The KPI data acquisition
･ It reconsiders KPI.
･The gap analysis
･The scorecard evaluation and the improvement
･It ascertains an investment anti- effect.
･The action plan, the strategy mapping, the orbit correction by the business strategy
･The consistence check of the scorecard of all the organization hierarchies, it reconsiders.
･The interested party adjustment
The management vision is the one to have expressed an image by the short phrase in the future of the company and is the one of which it is possible to say the soul of the company, too.
For example, in the management vision " that will contribute to the market with the best product in the world ", an image and the direction which it should aim at are expressed in this short phrase in the future of the company, being clear.
The management vision is the one of which the existence value in the society of the company can be called the face of the company by being shown.
It is equipped with the deoxyribonucleic acid of the management vision about the product and the service.
The sense of values and the sense of ethics, the corporate culture of the employee, too, are formed based on the deoxyribonucleic acid of the management vision.
In the business management, the definite vision and the strategy will not be exaggerated even if it says that they are charged with a role of the compass and that they decide that the company sinks and floats.
If the management top can not show a definite vision to the employee, the executive and the employee who is engaged in the business activity in the front line in the scene go this way and that.
The vector of the business activity turns to the apart direction in each department and the regulation passes away in the coming-off.
The waste and the loss of the management resource occur and the business management traces a way of declining.
In the balance scorecard, the setting of a definite vision and strategy is in the placing in the executive ability development of the company, the momentum.
In this way, the management vision has the feature of the the defining of the essence of the body by organizer.
If comparing to the tree, the management vision is the earth to support a root by and the ground ingredient influences the future of the growth of the tree roughly.
As above mentioned, it finds that it takes a very important feature about the management vision about the balanced scorecard managing-ly.
A management vision is formed in the history of the company.
It is not the one as changed every time the management top alternates and it is the one to have seen into the future, having a long-range point of view and to have made the true appearance of the company clear.
However, fast today, it is possible to say that the speed of the business environmental-variation becomes fast about the obsolescence of the management vision, too.
The reconsideration which depends, being top-down becomes need in case of impossibility's appearing for the management vision to express the description of business of the company and being the management vision which doesn't match a business environmental-variation.
The practice of the balance scorecard is composed of 7 steps.
The 1st step of the balance scorecard makes a vision clear.
The vision is appearance itself of the ideal which showed the social being value of the company by the short word.
This place clarifies a basic policy for the strategy-making.
It is possible to paraphrase as the management policy, too.
A management policy decides the directionality of the company and is exhibited out of the in-house.
It reviews that the 2nd step conforms to the management policy and to add the viewpoint of positive alpha to the management evaluation 4 corner viewpoint.
The company which adds the viewpoint of the viewpoint of the environment and CSR ( Corporate Social Responsibility: the social responsibility of the company ), the risk management is increasing.
After the viewpoint of the evaluation of the management decides, as the biggest strategic-target about the goal of the management, it sets so-called KGI(Key Goal Indicator).
As KGI, development, a market share with proceeds and profitability and so on are often used.
In the company, that KGI is set respectively about the short-term-planning with half year or span degree in 1, the middle plan with span degree in 3, the about 3 - 5 year long-range plan is general.
The 3rd step analyzes the external environment and the internal environment which surrounds a company to achieve KGI.
The individual elaborates the basic strategy to win by digging up an advantage, a weak point, opportunity, a menace by the technique, the SWOT analysis, utilizing opportunity and strengthening an advantage and avoiding a weak point from the menace.
The 4th step is based on the SWOT analysis and creates the airscape of the strategy which expressed the causality of the 4 corner viewpoint linking-ly.
It elaborates the scenario that the individual attempts for the business to grow, taking opportunity about the external environment and that he evades the menace of the external environment in the finance, the business process, the learning and the growth and the 4 corner viewpoint which consists of customer.
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When final, it implements the monitoring of the setting of a goal like organization and moreover the regularity, and it makes a gap with the results clear and it does the grasping of a problem, attribution analysis and it attempts for the measure to correct an orbit.
It implements the creating of a balance scorecard about the business activity companywide in all hierarchies which extend to the division manager, the middle manager, the general employee from the top of the organization.
But, to expect carefulness, it implements like a test pilot at the specific division and in the specific department and it evaluates a hypothesis, verification and the companywide NULL being step-by-step levelly spreading approach is valid.
When promoting a balance scorecard, the project evaluation which is indispensable to practice strategy includes a wide range of ones.
Here, the way of thinking of the framework of the project evaluation becomes the big factor which decides the success or failure of the project of the balance scorecard.
Let's introduce the evaluation system which aimed for the balance scorecard to evolve.
As for the evaluation of the object the scope of the IT･BSC utilization, let's attempt to use the rule 2 ( digging up the factor which relates to the phenomenon and making a grouping, the abstraction, making a number a type ) of the system-thinking.
The setting of the object area of the IT･BSC utilization plays a decisive role when deciding the quality of the project.
In the level setting of the object area, it is possible to divide into the following 5 corner category.
Moreover, in the setting of content in the object area, the category which consists of the following 12 can be set.
By the way, how will it put on a whole IT project value by the digitalisation?< Approach >
It seeks a whole 2 corner element value in the multiple product!
The whole project value can be made value in the product between the level and the content in the object area of the IT balance scorecard.
In the company, by the evaluation from TS1 S11 and from S1 to TS5, the score can be evaluated, in to set, the value of the whole project can be evaluated and can be made use of for the order of priority bill of more than one project.
That is, it is possible to seek in the whole project value = ΣSi×TSi.
The area of the object of doing the IT balance becoming of the scorecard
Si:
The level of the area of the object of doing the IT balance becoming of the scorecard
TSi:
The improvement, the reform and the innovating of a business process (S1)
The business level in the department (TS1)
The creation and the building of a new business model (S2)
The re-engineering of the existence business (S3)
The related department business level (TS2)
The creating of new business lines (S4)
The establishment which is predominant in the competition (S5)
The business strategy level (TS3)
The cost reduction (S6)
The business speed-up (S7)
The management strategy level (TS4)
The B to B cooperation (S8)
The integration of the system by the merger and acquisition (S9)
The cooperation business level out of the in-house
The production of the new product (S10)
(TS5)
Compatible to the technical innovation (S11)
The area cooperation business level (TS5)
Compatible to the environment management (S12)
The state cooperation business level (TS6)
