Cascaded Scorecards with Linked Objectives
Use
Cascaded scorecards with linked objectives are ones where scorecards at different levels of the organization have different but linked objectives. The cascaded objectives are likely to be different on different scorecards, but some (if not all) objectives across different scorecards are equivalent and linked.
You can create cascaded scorecards that are linked at any level of a scorecard that is not the top or bottom level. Since your strategy management administrator has the ability to add levels and rename levels, the standard levels of perspectives, objectives, and KPIs are used for the benefit of this discussion. In this case, the only level available for linking is the objectives level.
When the discussion says that cascading occurs at the objective level, it is a way of saying it appears at a level that is not the top (perspectives by default) or the bottom (KPIs by default). Any custom levels are implied in this discussion.
You can also create multiple levels of cascaded items. For example, you can create cascaded objectives from a cascaded objective.
For example, say an organization has the following hierarchy:
Corporate scorecard
| Marketing Division | ||
| Americas Marketing | ||
| US Marketing | ||
| Canada Marketing | ||
| AsiaPacific Marketing | ||
| Japan Marketing | ||
| Hong Kong Marketing | ||
| EMEA Marketing | ||
| Germany Marketing | ||
| UK Marketing |
In the following example, you might have 200 scorecards, where each scorecard has 4 perspectives, 20 objectives, and 30 KPIs. The total collection of scorecards has 4 perspectives, 2000 objectives, and 30 KPIs. The Delight the Customer, Excel at Invoicing, and Deliver Robust Software objectives are linked across the scorecards.
|
Corporate |
Finance |
Development |
|
|---|---|---|---|
|
Perspective |
Customer |
Customer |
Customer |
|
Objective |
Delight the Customer |
Excel at Invoicing |
Deliver Robust Software |
|
KPI |
Repeat Order Value |
Invoice Error Rate |
Bug Report Rate |
|
KPI |
Customer Churn Rate |
Error Correction Rate |
Bug Correction Rate |