Improving Leadership with the Cascade Balanced Scorecard

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Navigation: All Balanced Scorecard Articles > Cascading in BSC

Managerial tools that we can obtain today are really helpful. Among them is the cascade balanced scorecard. Check additional information about Cascade balanced scorecard.

Many companies have realized that they need the balanced scorecard. This is all because of the fact that the BSC is indeed useful. However, even though these organizations are now using their own scorecards, only a few of them obtain their desired results. So what happened? If they check on it, they have great designs and they even used sophisticated programs just to create the said managerial tool for their business. One of the reasons why they fail is because they only choose to create the top level BSC. They neglect the reality that there is a need to cascade balanced scorecard throughout the organization so that the work performance will be improved.

Most institutions around the world believe that there is a need for a good leader in the company for it to become successful. Sure, this is true but it is also a necessity that the leader has followers. These followers will do the jobs that he cannot do all on his own. This is what cascade balanced scorecard is all about, which is cascading down BSC into the whole organization. There are many reasons as to why you should let your scorecard flow. The first one is about communication. If you are able to effectively cascade the BSC, you will know how important it is to connect with everyone in your company. This will improve the performance of your organization because you and your employees understand what the strategies are.

Second is that there will be no wasted effort. Among the causes of why the organization fails even though everyone is working really hard is because they are actually working counter to the goals and the objectives of the firm. They do not know what they have to achieve so that they can help the company become more successful. Instead, they are misusing their time in doing things that are not productive for the institution. Another is that every department in your company will support the mission and vision of the enterprise. In this case, the people will no longer focus on different activities that are not contributing to the development of the business.

Because of the efficiency of the cascade balanced scorecard, this tool has been touted as a functional and beneficial tool particularly for the business owners. Generally, there are three tiers in this type of BSC. The levels will start with the BSC being the corporate wide scorecard and then it will be translated into the departments, higher and secondary units until it reaches the third tier wherein it involves the teams and the individuals in the organization. Now, the owner or the executive of the company will be able to improve his leadership skills. This is because everyone in the organization can now follow his orders well.

Cascade balanced scorecard is used to develop accountability through the measurement of the performance and objective accomplishment. Meanwhile, desired behaviors of the employees can be given credit through the use of recognitions and awards. Try this method and see how your enterprise grows and becomes even more productive.

If you are interested in Cascade balanced scorecard, check this link to find out more about cascade BSC. Also, you can check other articles in Cascading in BSC category.


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