Professional Documents
Culture Documents
BSC is a strategy map for balancing Today and Tomorrow. Integrates the immediate & future: Set targets, measure and reward. At same time, orients one towards the future desired state of affairs, as set by Mgt.
Setting targets involves all concerned. Fosters team spirit and group motivation.
Mission-Vision-Strategy
and
Objectives
-Understanding the basic concepts of the Balanced Scorecard.
-
Using the BSC to transform the strategic plan into a strategic map that tells the story of the strategy.
Providing an opportunity for top executives to compare notes with colleagues on the issues of getting started and implementing a BSC system.
D T S A (for BSC)
DREAM The Vision TARGET SMART STRATEGY Map it ACTION -Do it, Learn, innovate
1. 2. 3. 4.
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Targets have to be S M A R T
The balanced scorecard is a management system to help a business unit focus on achieving current financial results and on creating future value through strategic activities.
The BSC translates mission and strategy into four dimensions:1. Financial 2. Customer 3. Internal Process 4. Innovation and Growth
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3. Internal Process: What processes must we excel at to achieve our financial and customer objectives? 4. Innovation and Growth: How can we continue to improve and create value with employee capabilities, systems, and structure? 10
Financial results report past performance but do not adequately drive future performance. No single measure is appropriate.
Strategic objectives must be translated into linked sets of measures so that they can be communicated and implemented.
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CURRENT BUSINESS
PRODUCTIVITY
USE OF ASSETS
INTERNAL PERSPECTIVE
PRODUCT INNOVATION
CUSTOMER
INTIMACY
OPERATIONAL
EXCELLENCE
SKILLS
TECHNOLOGY
ENVIRONMENT
Strategy Mapping
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CUSTOMER PERSPECTIVE
DEVELOP NEW PRODUCTS. MODIFY EXISTING PRODUCTS. IDEAS FROM EMPLOYEES. FEEDBACK FROM CUSTOMERS. MARKET RESEARCH
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STRATEGY MAP
Improve Returns
15
FINANCIAL
CUSTOMER
WHAT ?
INTERNAL
QUALITY PRODUCTION
QUALITY MATERIALS
HOW ?
CAPABILITIES ENABLERS
16
LAG
LEAD MEASURES THE LEAD OR DRIVER TO THE LAG MEASURES , CAN MEASURE INTERMEDIATE PROCESSES & ACTIVITIES
NUMBER OF VISITS TO CUSTOMER
FINANCIAL
CUSTOMER
INTERNAL
PREDICTIVE
LEARNING& GROWTH
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Financial Results
Financial Perspective
Customer Value
Value Proposition
Customer Perspective
Process Capabilities
Capabilities
Enablers
BALANCED SCORECARD (BSC) In a Nutshell : Principles for Implementation (Long-Term for SJVN) Establish a sense of urgency. Build an Executive leadership team to mobilize change. Develop the Vision and Strategy. Translate the Strategy into Operational Terms. The BSC operationalizes Strategy into Targets.
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BALANCED SCORECARD (BSC) In a Nutshell : Principles for Imple-mentation (Long-term for SJVN)
Link and align the Organization around its strategy.
Make strategy everyones job communication & education for awareness, personal alignment, Incentive
Compensation.
Link strategy and budgeting.
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Are we Game?
22
2 2 2
10 1 6
10 2 6
8 1.5 5
6 1 4
4 0.5 3
2 0.5 2
1.1.2
4 2 2
135 33 20
135 33 20
132 30 15
130 28 12
125 27 10
120 26 8
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5 Excellent 2. STAKE HOLDER PERSPECTIVE 2.1 2.1.1 Employee Satisfaction Keeping in view the past experience, revamping the ESS conductance procedure -Improvement in Employee Satisfaction Score -Enhancement in Society Satisfaction Survey Score - Conductance of Leadership Effectiveness Survey & its analysis by specified date
4 Very good
3 Good
2 Average
1 Poor
Date
12.04.05
08.04.05
10.04.05
12.04.05
14.04.05
18.04.05
2.1.2
4 2 2
Score
6.4
6.25
5.8
5.7
2.1.3
Score
8.6
8.8
8.7
8.6
Date
30.04.05
26.04.05
28.04.05
30.04.05
02.05.05
05.05.05
24
2 2
Nos
2.1.5
Date
28.02.06
31.01.06
15.02.06
28.02.06
15.03.06
31.03.06
2.2
2 3
% of Emplo yees
Nos.
35 75
10
65 85
12
50 80
10
35 75
10
30 70
8
25 60
7
25
No. of NCRs
3.1.2
90
90
89
88
85
80
3.1.3
Date
Dec 05
Oct05
Nov05
Dec05
Jan06
Feb06
26
BALANCED SCORE CARD 2005-06 FOR HR DEPARTMENT 3.1.4 -Strategic Nos. 4 6 5 4 2 communication through
theme based Open Forum 3.1.5 -Improving IR to minimize interruption/production loss with respect to available mandays -Project on knowledge management
% mandays lost
0.05
0.03
0.04
0.05
0.06
0.07
3.1.6
Nos
3.1.7
-Organising special training programmes like Customer Trg, Sister units Trg.
Nos
27
4 Very good
3 Good
2 Average
1 Poor
2
2 1 2 2
65 2 168 55
75 2 160 45
70 2 165 45
65 2 168 55
60 1 175
55 0 180
3.1.12
15
25
20
15
10
28
5 Excellent
4 Very good
3 Good
2 Average
1 Poor
4.1
4.1.1
Date
24.06.05
20.06.05
22.06.05
24.06.05
26.06.05
28.06.05
4.2
29
4.2.1
100 % of the performance plans to be completed by the first announced date (to be certified by Corp. MAP team)
-2
10
4.2.2
100 % of the mid year reviews to be completed by the first announced date (to be certified by Corp. MAP team) 100 % of the final reviews to be completed by the first announced date (to be certified by Corp. MAP team)
-2
10
4.2.3
-2
10
30
5 Excellent
4 Very good
3 Good
2 Average
1 Poor
4. STRATEGIC CAPABILITIES PERSPECTIVE contd 4.3 Creation of system for skill upgradation & multiskilling through identifying the activities of Core & Non core Area for outsourcing and effective manpower planning by specified date Assessing effectivemess of training programmes through external agency as per the guidelines of HRDI Review and modify the HR systems to align them to Business requirements
Date
25.7.05
15.7.05
20.07.05
25.07.05
31.07.05
05.08.05
4.4
-2
10
4.5
31.11.05
20.11.05
25.11.05
31.11.05
10.12.05
15.1.205
31
5 Excellent
4 Very good
3 Good
2 Average
1 Poor
4.6
4.7 4.7.1
3
1 2
Date
31.07.05
20.07.05
25.0.05
31.07.05
10.08.05
15.08.05
Enhancing Technical capabilities of Manpower -Enhancement of employee skills through competency development trg. Programmes % of Identified employees trained in multi-skilling training modules a) Turner/Machinist b) Welder/Fitter -No of training mandays/employee No of progm s. % of identif ied emplo yees 4 7 6 4 2 0
4.7.2
60
55
50
45
40
4.7.3
2.8
2.9
2.8
2.7
2.6
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5 Excellen t 4.8 -Introduction of New Initiatives in canteen for qualititative improvement in Canteen Services -Improvement in internal customer satisfaction score through ICPS improvement projects Identification & implementation of new initiatives for the benefit of society at large. - % Completion of Action plan for CSF 12 (05-06)
4 Very good 6
3 Good 5
2 Average 4
1 Poor 3
No. of initiatives
4.9
No. of projects
20
24
22
20
18
15
4.10
No of initiatives
04
06
05
04
03
02
4.11
5 100
80
100
90
80
70
60
Total
33