Managing
Corporate Performance
with Balanced Scorecard
1
Contents :
1. Corporate Performance Scorecard
2. Strategy Map Framework
3. Four Perspectives in Balanced Scorecard
4. Identifying Key Performance Indicators
5. Strategy Map in Corporate Functions (HR, IT,
Finance and Marketing)
2
Corporate
Performance Management
3
Performance Management Framework
Vision Strategy Map
Mission
Strategy
Key
Performance
Indicators
Company
strategy
Identifying
Defining
Measuring
Monitoring
Reporting 4
Performance Management Component
Three critical components for effective process of
performance management
Performance management
cycle is continuous and
Performance consistent
Management
Process
Performance Performance
Management Management
Infrastructure Culture
Logistic support and Culture that is based
performance management on performance
administration accountability
5
Performance Management Cycle
STRATEGY
Set Measures and Target
Reward and Coach Plan and Execute
Monitor and Evaluate
6
Managing Performance with
Balanced Scorecard
Balanced Scorecard is a management tool that
provides stakeholders with a comprehensive
measure of how the organization is progressing
towards the achievement of its strategic goals.
7
Managing Performance with
Balanced Scorecard
• Balances financial and non-financial measures
• Balances short and long-term measures
• Balances performance drivers (leading
indicators) with outcome measures (lagging
indicators)
• Leads to strategic focus and organizational
alignment.
8
4 Perspectives in Balanced Scorecard
Financial Perspective
The Strategy If we succeed, how will
we look to our
shareholders?
Customer Perspective
To achieve our vision,
how must we look to our
customers?
Internal Perspective
To satisfy our customers,
which processes must we
excel at?
Learning & Growth
Perspective
To achieve our vision, how
must our organization learn
and improve?
9
Strategy and Balanced Scorecard
Mission –
Why We
Exist Strategic
Strategy Outcomes
Map :
Translate the Satisfied
Vision – Strategy Shareholders
What We Strategy :
Our Game Delighted
Want to Be
Plan Customers
Excellent
Balanced Processes
Values – Scorecard :
What’s Measure and Motivated
Important Focus Workforce
to Us
10
Strategy Map Framework
• The strategy map framework is presented in the
following slides.
• This framework describes the types of strategic
target that should be presented in each perspective,
namely the financial perspective, customers, internal
business process, and learning & growth perspective.
11
Strategy Map Framework
Long-term Shareholder
Value
Cost Efficiency Revenue Growth
Financial
Price Quality Service Availability Brand
Customer
Operations Customer Regulatory
Innovation
and Social
Management Management Processes
Processes
Processes Processes
Internal Process
Learning & Growth
Human Capital Organization Capital Information Capital
12
