Analyze and update Balanced Scorecard - Slide 28

<< Back to Implementing Balanced Scorecard Main Presentation

It is very important to analyze and update the results of a task effectively to figure out whether it is going as per the decided plan and procedure of the company or not. The operation phase of the BSC implementation process comprises of 4 major tasks for complete and effective implementation:

• Analyzing the results of BSC. For making the best use of the BSC concept it is crucial that the results are effectively measured and analyzed. The actual performance of the company must be compared with the target values set beforehand in the earlier steps. Results analysis is vital from the view point that it helps to figure out the deviations of the results from the expected performance. For e.g. while taking “the average waiting time for customers” as a KPI for a customer service call-center, the target value for this KPI is set as 2 minutes. While analyzing the result for the said call-center, the actual average waiting time for customers is compared with the target value set by the company beforehand. If the actual value is less than the average industrial waiting time then it is good for the company and vice versa.
• Reporting the results of Balanced Scorecard to the management. The results of BSC must be reported to the management of the company. It is very helpful to analyze the results so that they can be compared easily with the past performance, and seeing that whether the organization is doing up well or not or whether the organization is going in the right direction or not. Reports are the effective tool for the management of the company to judge how well the business is performing.