Page 134 - Managing Change in Organizations

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Techniques for a value-added organization

Financial
Measures Goals

ROCE
Cash flow
Asset utilization
Revenue growth

Customer Business processes

Measures Goals Measures Goals
Policy holder‘s Tender success rate
satisfaction Productivity
Response times Underwrite
Quality of advice profitability

Innovation
Measures Goals

Staff competencies
% revenue from
new services
Customer perception
of innovation

Figure 7.2 The balanced scorecard

– training
– development of new services

– delivery of integrated solutions.
4 Financial perspective: is the organization creating value?
Typically, creating and implementing a balanced scorecard is part of an overall
performance management system in which strategic vision links through unit
level balanced scorecards to personal objectives and rewards, plans and budg-
ets and performance review. Building a balanced scorecard is usually under-
taken through a programme including senior management with the following
objectives:
■ to guide the construction and measures for the scorecard;
■ to gain commitment;
■ to clarify the framework for the implementation and management processes
needed to use the scorecard effectively.

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