Summary

This resource is a case study of Inland Revenue, an experienced user of the EFQM Excellence Model, and was created when the Balanced Scorecard was introduced in the organisation.

The Part 1 of this 3 series article looked at the literature on the use of both models and the limited literature on combined use. Part 2 shows how internal research with senior directors and the department’s quality community was then undertaken to form a benchmark for any recommendations. The main research was conducted with four comparator organisations who are all noted users of excellence models and the Balanced Scorecard.

Summary

The paper demonstrates how EFQM and Balanced Scorecard models can be used together in a manner that maximises the strengths and minimises the weaknesses in the use of each. The paper also identifies critical success factors and the kind of broader strategic management frameworks necessary for successful use of the EFQM Excellence Model and Balanced Scorecard.

The final part of the series concludes by suggesting that the best practice is to use the models in a strategic management process based on solid Plan, Do, Check, Act principles actively managing the organisation.

Summary

Focused measurement of performance in the right areas plays a big role in successful performance management. However, issues like data overload, a misguided focus on routine variation, and the lack of an overarching framework that connects people, departments and operating units undermine performance measurement and performance management.

This resource, a case study, describes how the Automobile Association of the UK successfully tackled many of these issues and went on to set a new industry benchmark and provides its customers with the highest level of satisfaction of any major provider, according to the JD Power’s UK Roadside Assistance Study in 1999, involving 25,000 drivers.

Summary

The ultimate goal of enterprise performance management is to create a high performance culture. This brings into sharp focus the way companies actually manage people. Even today, however, HR managers are unable to prove the contributions they make to their companies and are hence, not a part of management teams. In this context, the article argues that a new role needs to be defined for the HR function.

The article traces the origins and development of personnel administration. Frederick Taylor’s principles of scientific management dictated the way jobs and work were defined and managed. Later, companies began to believe that a concern for employee welfare would translate into increased worker efficiency. The quality management movement carried forward this philosophy, by recognizing the importance of frontline workers in quality and consumer service.

Summary

In this article, the authors – experts in the field of strategic analysis, strategic planning and strategic initiatives – examine the relevance of the Balanced Scorecard methodology for undertaking a strategic assessment of higher education.

The authors begin by pointing out that accountability in higher education has become a challenging issue since the 1990s. Increasingly, institutions of higher learning have been required to provide performance indicators – empirical evidence of their value – to state, alumni, prospective student, and other external stakeholders. State commissions of higher education have developed “report cards” that grade colleges and universities according to their level of performance in a variety of categories. Surveys in the popular press and on the Internet rank institutions according to criteria such as retention and graduation rates, resources, and academic reputation. However, such efforts have not dramatically changed the operational performance of most major universities.

Summary

This article reviews a report that studies the practices of Fortune 50 companies in reporting to the investment community their performance in the area of human capital management.

Successful strategy execution and financial results depend on the components that make up the non-financial performance parameters, such as human capital. Given its origin as a framework that was designed to help businesses look beyond financial performance, the Balanced Scorecard is seen as a powerful tool for communicating to the investment community how non-financial performance impacts financial results and the likelihood of successful strategy execution. Since the concept is in infancy, the use of the Balanced Scorecard for this purpose has thus far been an exception rather than the norm. Hence, one sees that components such as human capital development are poorly represented in external reporting.

Summary

An enterprise-level Balanced Scorecard is owned by the senior team (which is responsible for strategy). To create a high level Scorecard and formulate a robust plan for strategy implementation, the initiative needs to take into consideration the people-related elements that need to be addressed at the very outset. This article, structured in a Q & A format, answers the question ‘What is the role of the HR function in creating an enterprise-level Balanced Scorecard?’

Summary

In this article, author, management consultant and Balanced Scorecard expert Paul Niven focuses on one aspect in any Balanced Scorecard program that is crucial but neglected – training

Training leads to a better educated and motivated workforce and can also produce dramatic improvements in bottom line results. This holds for the Balanced Scorecard as well. In this article, the author asserts that an organization’s Balanced Scorecard will benefit greatly from a well-planned, carefully constructed, and skillfully delivered training program. He also shares the essentials necessary to develop a training curriculum for Scorecard success.