The two basic features of the balanced scorecard are:
- A balanced set of measures based on. the four perspectives of balanced scorecard
- Linking the measures to Employee Performance
The four Perspectives recommended by Kaplan and Norton for the managers to collect information are:
- The financial measures – The financial measures include the results like profits, increase in the market share, return on investments and other economic measures as a result of the actions taken.
- The customers’ measures - These measures help to get on customer satisfaction, the customer’s perspective about the organisation, customer loyalty, acquiring new customers. The data can be collected from the frequency and number of customer complaints, the time taken to deliver the products and services, improvement in quality etc.
- The internal business measures – These are the measures related to the organization’s internal processes which help to achieve the customer satisfaction. It includes the infrastructure, the long term and short term goals and objectives, organisational processes and procedures, systems and the human resources.
- The innovation and learning perspective. The innovation and learning measures cover the organisation’s ability to learn, innovate and improve. They can be judged by employee skills matrix, key competencies, value added and the revenue per employee.
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