Balance scorecard measures
Objective Measures
Financial Perspective Increased ROC
Reduce unit cost
Increase asset utilization
Growth revenue/market share
Customer perspective Delivery on time
Image of trusted suppliers
Enhanced customer
relationships
Becoming innovative supplier
Internal processes Improve maintenance
defectiveness
Improve manufacturing
efficiencies
Upgrade equipment
Improve supplier relationship
Understanding customer
needs
Building distribution network
Excel at new product
development
ROCE (125)
%age change in productivity
improvement
%age utilization, 90%,
Sales/assets
ROCE 12% #1 or #2
On time delivery
How many customer defects
returns
Customer retention rate
Identify key accounts i.e 69%
of customer give you 90 % of
profit
%of sales on new products
How % of sales on new
technology products
Unscheduled downtimes
Breakdowns
Incidents
PPM defect rates,
Cycle time ,
Changeover time,
Cost per unit
%gross assets which are less
than 3 years ago
Look for %age of specified
suppliers,
Supplier OTD,
Supplier PPM defect rate,
Supplier cost deduction.
Hours of time spend with the
customers for the feedback,
Your plans jointly developed
with the customers,
%age of new distributor
added,
No. of units sold through
distributor over a period of
time,
NPV of product pipeline,
Customer rating of pipeline,
Time given to market
Learning & Growth Enhance workforce capabilities
Develop IT
Building culture of change
Strategic job coverage,
Crossed functional training/
orientation
Customer databases,
CRM availability,
JIT tools
Employee survey,
Best practices shared