Incorporating the Balanced Scorecard into Your Strategy

A balanced scorecard breaks down into two components.

Developed by Harvard professors, the method takes a grassroots approach to business practices. It breaks down the elements into four components – or in scorecard terms, perspectives. These components are comprised of the following four categories: financial, customers, internal and people. This aspect of the approach is known as the balanced part. The second part is the actual scorecard, which correlates with the four components.

These two different halves of the balanced scorecard intertwine and act as a monitor for each other. Furthermore, each of the components has internal qualities that help in keeping the process streamlined and moving.

A balanced scorecard is a visual representation of your business and where it stands. Use it to gain insights that you may otherwise miss. Watch the full video for more on the topic.