Robert Kaplan & David Norton in the 90’s published a book called “Balanced Scorecards, translating strategy into action”, describing an innovative system to connect all the perspectives or “boxes” in a company or business unit (financial, customers, internal business processes, learning/innovation and growth) through a single strategy and a practical system of control.
The introduction of the concept of Performance Management allows, in a company which adopts this system, to act according to objectives, to monitor in a systematic way the KPI (Key performance indicators) and literally to have on a dashboard, like the one you use when you drive a car, the fundamental information at hand.
Exactly like in the case of driving a car, you are aware immediately of the performance of the company, of the problems or deviations which may occur according to the strategic objectives and through the KPI’s you have under control the important parameters to literally “drive” the company, taking appropriate actions.
#balancedscorecards #KPI #strategy #garavanics #garavaniconsultingservices Garavani Consulting Services #dashboards #harvard #HBS