BetterManagement Presents

Leadership Essentials for Balanced

Scorecard Success: How to Get
Everyone Involved in Running Your
Business
Presented By:
Dr. William Hendricks
Hendricks Training

Visionary perspectives for management insights

Today’s Web-Seminar Agenda

1 Introduction to Scorecard Leadership

2 The Leadership Challenge

3 The Leadership Expectation

4 Leadership by Design

5 7 Framing Principles

Tool Box How are we spending our time?

Q&A
Results-Based Leadership

1
Leadership is the art of getting someone else to do
something you want done because he wants to do it.
~ Dwight Eisenhower
Results-Based Leadership
1
Results-Based Leadership
1

F D C B A
Results-Based Leadership
1

F D C B A
Results-Based Leadership
1
Results-Based Leadership
1
Results-Based Leadership
1

PAR
Results-Based Leadership
1

PAR

RESULTS
Results-Based Leadership
1

Average Performance Pre-Defined Performance

Competition Collaboration
The Leadership Challenge

2
Don't tell people how to do things, tell them what to do
and let them surprise you with their results.
~ George S. Patton
The Leadership Challenge
2

The Balanced Scorecard is like the main sail. It catches the

wind and can be used to direct your business…

Leadership Questions…

Who hoists the sail?

When is sail released?
How is direction determined?
At what speed will we travel and in what direction?
The Leadership Challenge
2

What good is a sail if you own a freighter?

Maybe you have a nimble and responsive business.

Will a sail work for you?

The Leadership Expectation

3
Management is doing things right;
leadership is doing the right things.
~ Peter F. Drucker
The Leadership Expectation
3
The Leadership Expectation
3
The Leadership Expectation
3
The Leadership Expectation
3
The Leadership Expectation
3
The Leadership Expectation
3

X X
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Tactical
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Tactical

The Role of Purple People is to provide

direction and focus
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Tactical

The Role of Red People is to

guide and orchestrate
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Activities

The Role of Green People is to provide

communication and hands-on work
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Tactical

An Aligned Organization
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Tactical

Purple People slip into

micromanagement in an attempt to control
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Tactical

Red People slip into firefighting and

reactive situation management
The Leadership Expectation
3

Strategy/Development

Management/Planning

Implementation/Activities

Green People frustrated by being second

guessed wait to be told often knowing best
what to do and rarely sharing it.
The Leadership Expectation
3

Strategy/Development

Management/Planning
Implementation/Tactical

A Compressed Organization
The Leadership Expectation
3
You Make the Call

Strategy/Development
Strategy/Development

Management/Planning
Management/Planning

Implementation/Tactical
Implementation/Tactical

ALIGNED?
COMPRESSED?
Leadership by Design

4
A leader is a dealer in hope.
~ Napoleon Bonaparte
Leadership by Design
4

Strategic
Results
Leadership
Team
Team

Facilitator Deployment
Team Team(s)
Leadership by Design
4
Executive Team –
4-6 Executive Leaders
Responsible for leading the whole organization
Accountable to one another
Results Team
7-11 Managers responsible for organizational development
People who can delegate
People who bring sustained focus
Deployment Team (s)
Visible, credible and currently using some performance metrics
Ability to balance operational and strategic expectations
Focus on deliverables
Leadership by Design
4

Vision and Mission Statement

Executive Team Value Propositions

Strategic Objectives

Measures/Targets/Actuals

Results Team Projects and Initiatives

Milestones/Timelines
Actions
Tactics
Deployment Team
Deliverables
Metrics
Leadership by Design
4
Vision and Mission Statement

Executive Team Value Propositions

Strategic Objectives
tator
Facili

Measures/Targets/Actuals

Implementation Team Projects and Initiatives

Milestones/Timelines

Actions t at or Team
Facil i
Tactics
Deployment Team
Deliverables
Executive Team Metrics

Implementation Team
Leadership by Design
4
Vision and Mission Statement

Executive Team Value Propositions

Strategic Objectives
tator
Facili

Measures/Targets/Actuals

Implementation Team Projects and Initiatives

Milestones/Timelines

Actions t at or Team
Facil i
Tactics
Deployment Team
Deliverables
Executive Team Metrics

Implementation Team
7Framing Principles 5

#1 The scorecard is about results… Energy invested in

anything other than results is “off point. “Have we gotten
side tracked on extraneous issues?”
#2 The scorecard is designed to frame the activities of our
identified leaders. Has the scorecard changed the way
we do business?
• Where we spend our time.
• Organizational not silo orientation.
• Focus on “Non-representational” leadership.
• Direct daily operations progressively toward strategy.
7Framing Principles 5

#3 The scorecard creates an internal structure, a parallel

organization, where we learn to operate in new and
more effective ways. Have we created a place for our
leaders to learn and grow together?
• A place where mistakes are possible.
• A place where “red” is not necessarily bad.
• A place where the enterprise is addressed before the
individual

#4 The scorecard creates a collective we. Are “we” doing a

balanced scorecard, or is this something “our people”
are doing?
7Framing Principles 5

#5 Three scorecard, when executed well, produces three

by-products. Are these happening?
• Bench strength is developing.
• Knowledge is being leveraged.
• Skills are being shared across disciplines.

#6 The scorecard is a mirror. What are we seeing?

• Change not criticism?
• Expectation not self-justification?
• Prioritization not firefighting?
7Framing Principles 5

#7 The scorecard produces tangible outcomes. Are we

seeing the following…
• Projects that close performance gaps on the card
• Performance analysis that offers better understanding
of what is, and is not working
• Increased “out of the box” thinking.
Tool Box

©Dr. William Hendricks Overland Park, KS 66210

All rights reserved world-wide
Permission is granted to use and adapt these tools without further permission for the purpose of executing your balanced scorecard.
 Purple, Red and Green Assessment
No Yes
1. People care but they are too busy to get everything done. 1 2 3 4 5 6
2. We lack dedication and commitment. 1 2 3 4 5 6
3. Priorities get confused and immediate issues dictate what gets done. 1 2 3 4 5 6
4. There is little sense of accountability for doing what we agree to do. 1 2 3 4 5 6
5. Customer demands exceed our time frames and put everything behind. 1 2 3 4 5 6
6. We lack initial systems to get things moving. 1 2 3 4 5 6
7. We lack the skills to do what we really need to do. 1 2 3 4 5 6
8. We rarely act with real team commitment. 1 2 3 4 5 6
9. People stay within their silo and send mixed messages. 1 2 3 4 5 6
10. There are no (or few) consequences for missing the mark. 1 2 3 4 5 6
11. We have not aligned our actions with organizational plans. 1 2 3 4 5 6
12. There is a lack of project management skills and knowledge. 1 2 3 4 5 6
13. Progress and milestones are not well known. 1 2 3 4 5 6
14. Our meetings are ineffective 1 2 3 4 5 6
15. Connections between departments and customers are weak. 1 2 3 4 5 6
16. There is little sense of urgency. 1 2 3 4 5 6
17. People believe we can continue as we are and remain competitive. 1 2 3 4 5 6
18. It’s a fact that we are doing all we can. 1 2 3 4 5 6
19. Unless our processes improve we cannot be expected to do much better. 1 2 3 4 5 6
20. Adequate incentives are absent to ensure world class performance. 1 2 3 4 5 6

This assessment is provided to provoke leadership conversations about scorecard execution. It has not been normalized as a psychometric instrument of performance.
 Purple, Red and Green Assessment
Scoring Key

QUESTIONS QUESTIONS QUESTIONS

2 ___________ 1 ___________ 3 ___________
4 ___________ 5 ___________ 6 ___________
7 ___________ 11 ___________ 9 ___________
8 ___________ 12 ___________ 13 ___________
10 ___________ 18 ___________ 14 ___________
16 ___________ 19 ___________ 15 ___________
Total ___________ Total ___________ Total ___________

QUESTIONS 17 & 20 address the motivational issues that are the foundation of scorecard
development. They help predict whether you have adequate drive for your organization to reach
new levels of performance. A score lower than 4 on either of these questions should be directed to
your Executive Team, who must determine how to establish urgency and create adequate incentive
to move forward in your scorecard efforts.
Executive Team Selection Checklist
Implementation Team Selection Checklist
Deployment Team Selection Checklist
Deployment Team Selection Checklist
 Questions?

Dr. William Hendricks

Bill@hendrickstraining.com
www.hendricksresources.com

©Dr. William Hendricks • 2006 • Overland Park, KS 66210 • (800) 692-3324

Upcoming Webcasts

• Balanced Scorecard Fundamentals

• Barriers and Benchmarks: Performance
Improvement Benchmarking Survey Conclusions

http://www.bettermanagement.com/seminars/seminarList.aspx?f=11

Sam Sheikh
Sam.Sheikh@BetterManagement.com