The Balanced Score Card
Translating Strategy Into Action
The Balanced Scorecard is a wonderful methodology for Strategy Deployment. The world will miss the utility of this if they are disorderly operationalised. Employing the SWOT Analysis, SMART Objectives, Pareto & PDCA helps the organisations in effectively implementing this. Experts’ and our own tests have vindicated this stand.
Kaplan begins with Strategy Development as the stage 1 of this system. Of course he talks about the Organisation’s Vision, Mission and Value Statements at this stage. These are the deliverables expected from this stage. What’s important is the process of arriving at these guiding principles. We tested the SWOT Analysis Tool (Strengths, Weakness, Opportunities & Threats) to drive this process. Success has been inciting confidence.
Stage 2 is about translating these guiding principles of Vision & Mission into Objectives and Programs. General Objectives only move a notch above the Vision Statements. Our tests have shown that, by arriving at SMART (Specific, Measurable, Achievable, Realistic and Time-bound) Targets, Organisations have been able to put their thoughts into manageable chunks of Actions. Results have been highly convincing when these objectives are linked to performance Metrics.
Let us talk about the simple analogical tool mentioned in the beginning of this monologue for a minute. We have heard of Deming’s PDCA Cycle. (Plan –Do – Check – Act). Can we not beautifully utilise the Planning phase of this cyclic tool in accomplishing these Objectives. Well we did try this. The Balanced Scorecard is Strategy Deployment & needs a detailed fool proof plan to be successful. The 80-20 rule (read Pareto) aptly worked. This is the Stage 3 of Kaplan’s System. Teams spent value adding time on developing these Plans. Organisations need not disturb the running operations till a workable Plan is in place. A well thought out plan debated healthily & agreed by leaders made the transition into Kaplan’s next stage relatively less thorny.
Stage 4 is all about Action. The ‘Do’ Phase of the Deming’s cycle is nothing but operationalising (or implementing) the Plan. Organisations that had extensively covered aspects and potential risks along with mitigation plans in the Planning phase, fared decently in deploying the actions. Teams & Individuals bought the ideas rather than being sold or coaxed into it. Vibrations were felt in the floor & Positive results started pouring in
Reports start coming out. These are sliced and diced around. Analysis of Cost-Benefit, Profitability & Time Correlations of Performance, before and after Strategy Deployment is drawn. These are further tested and actions are modified / intensified based on the results. This is the final Stage of Kaplan’s System. So is the Check and Act Phase of Deming’s PDCA Cycle
Our Clients with Continued Patronage
Customer Success Story
Tata Global Beverages
Vice President - Quality, United Spirits
General Manager - Projects and Quality, The Akshaya Patra Foundation
Managing Director, Shanthala Group of Foundries and Machining
Chairman, President and CEO
“Qltc has been our knowledge partner in deploying Management Systems, Solving Customer Complaints through Six Sigma Studies & developing Competencies across all our Manufacturing Units in India. Their structured & modular approach is simple yet effective in implementing & sustaining the solutions. We continue to engage them for all our Operational Improvements”
“Praveen has a formidable team who have conducted Integrated Audits for Quality, Food Safety, Environment, Health and Safety requirements across our Processing Units. The uniqueness of Qltc is that while conducting the Audits and providing timely reports is a given, it is the knowledge sharing along the way that resonates with us forever”
“At every opportunity we engage the services of Qltc for our Operational Initiatives. Their undivided support till the Project Completion be it for ISO Certification or a Training, despite hurdles & delays makes them our preferred Solution Partner”
"Krishna Praveen Rao and Team Qltc have been engaged with us for Developing The Balanced Scorecard, Deploying Management Systems, Implementing SAP and introducing Management by Objective in our Group of Companies. Their Gap Assessment identified the right areas for improvement & we have marched on from there. Our Customers are Happy. They are a pillar of support for our Growth Journey"
"We have been engaging with Quantum Leap and Mr. Krishna Praveen Rao, over the last five years for our various Management System Programs like EHS & Social Accountability. They have brought in a Measurable improvement in the way we have grown. Six Months ago we initiated the Supervisory Development Program with them and I can tell you this has given us a significant Cost Saving and achieving our daily goals in systematic manner. One of the measurement is the excessive Tea give away in our packs. This problem persisted for over several years. From the time we started the Supervisory Development Program and now, we have been successful in bringing this under excellent control. The Supervisory Development Program with its well conceived structure and modules is certainly the need of the hour for our Organisation. I wish them all the very Best and Thank for their continued support. "
"With the recent SAP go-live at our Landing Gear and Aerostructures MRO business, our global operational alignment of Connecting Goodrich is making great progress. I want to personally thank you for your efforts and dedication to this project along with your team's ability to learn lessons throughout this journey. We now have over 60% of Goodrich's revenue and user community on a single ERP system using common business processes. This represents significant progress in executing our strategic imperative of leveraging the enterprise and operational excellence. Your contribution to making this happen is to be commended. Thank you again and keep up the good work" 07-Nov-2008
"Qltc has brought about a paradigm change in the way our team members approach Food Safety today. With the awareness imparted on the Quality Aspects through their focused training, we have learnt the method of looking at our processes from a consumer use point of view. Our journey to the successful BRC certification was made interesting through their active and involved engagement. We are grateful for the excellent support and wish the Qltc team all the very best. "