BALANCED SCORECARD

BALANCED SCORECARD

1. Is a strategy performance management tool , it can be used to track the execution of activities, their control and likewise to watch the consequences derived from these actions

   • It´s based on four prespectives
     • 1.Financial perspectiveAnalysis of growth, profitability and risk analysis. It is expected that the company to be able to maintain itself over time can have a vision of minimum utility that allows it to sustain itself.
       • 2.Customer Perspective It seeks to know what real and potential customers are looking for, what are the expectations, but above all, focusing on meeting them to achieve the expected growth within this point also includes the perception that the organization's customers have.
         • 3.Training and Growth Perspective Competition has forced companies not to stop at innovation since it is the only way to achieve competitiveness, so the company must be capable and willing to innovate and improve.
           • 4.Perspective of internal processes The organizational characteristics of the company are shown, what activities and processes are carried out to meet customer expectations, the priorities of each of the processes to be carried out must be established, the constant evolution of the organization and its way of working must be achieved .
   • To carry out the Balanced Scorecard technique by Ken Blanchard, the following aspects must be considered
     • STAFF AND GROUP PERFORMANCE It allows analyzing and evaluating the employees of the organization and also the role they exercise in the company. This technique avoids problems since it is applied with equity to every member of the organization. When evaluating staff and team performance, the company is protected in matters of over-evaluation of personar as this will help to avoid favoritism with employees, all are evaluated equally
       • PROCESS RESULTS It has the purpose of analyzing and evaluating whether employees are doing what is possible to achieve the success of the company, as well as achieving the goals of each area, to achieve the objectives we must ask: In order to satisfy shareholders and customers, in what process business we must excel: Four types of processes are distinguished: 1. Operations processes: Developed through quality analysis. The indicators are the relative or costs, quality, times or flexibility of the processes. 2. Customer management processes: Includes customer selection, customer training, customer retention and growth. 3. Innovation processes: They include new, patented products, introduction of new products in relation to the competition. 4. Processes related to the environment and the community: Typical indicators of environmental management, safety and hygiene and social responsibility.
         • FINANCIAL GOALS Through the BSC, the financial performance will be obtained which is possible when the vision is broadened, and includes measures from other perspectives. Even if financial measures are not the only ones, the information they provide on financial performance will be a priority. Some common indicators used are: * Liquidity index * Debt index * Dupont Index * Growth rate of invested capital
           • INDICATORS OF PERFORMANCE The indicators must be aligned with the strategic plan, as an information input, the indicator is part of the process of control of the actions and tasks foreseen in the plan, its measurement must be carried out periodically so that it can feed back the execution process. TIMES OF COMPLIANCE Compliance times are the associated indicators that allow us to see the operational behavior of the sheep to be studied, facilities, systems, equipment or devices, these measure the quality of the work carried out and the degree of compliance with the maintenance plans, having the following points: * Average time to fail * Average time to repair * Availability * Use * Reliability
             • FEEDBACK (FEEDBACK) Feedback consists of correcting, in order to achieve the planned goals. To implement feedback there are two models that can be used which are: * Control and monitoring model: This model applies to companies that have their vision, indicators and strategies to use perfectly defined. The model consists of constantly monitoring based on the progress made according to the strategies implemented. * Organizational learning and communication model: This model seeks to harness the full potential of the organization's employees, it is a proactive model that seeks improvement without loss of time or control. This model is variable and can take advantage of various factors that help the proposed strategy.
               • SUPERVISION Every organization must know that supervision is an element of utmost importance for success, since by monitoring you can detect the performance of all the workers in the company, and also know if you are being fully productive

2. Elvira Debanhi Navarro Escobedo