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Balanced Scorecard

Balanced ScoreCards (BSC) provide a framework to describe and communicate strategy in a consistent and insightful way.  Strategy maps, fundamental tools of a BCS program, are not only effective for communicating strategies, but serve to align and engage all business units, support units and employees with them.

Optimal will help you devise scorecards and associated strategy maps for key strategies of your enterprise, and begin the shift to a strategy-focused culture. Great scorecards provide a logical and comprehensive way to describe strategy, clearly communicate desired outcomes, and hypothesize about how such outcomes can be achieved. They are important vehicles to align actions with the strategies they serve, and create accountability for follow-through.

Scorecards are "balanced" because they create a strategic framework that equally considers the strategies for value creation from four key perspectives:


The Financial Perspective encompasses strategies for growth and profitability, along with managing the risks inherent in those strategies.  In some types of corporations, strategies in the Financial Perspective will serve as drivers for the other perspectives.


The Customer/Partner Perspective encompasses strategies of value creation as perceived by customers and partners.  This externally-focused perspective ensures that the impact on the corporation's image, brands and operational relationships are carefully considered and leveraged to achieve the goals of the enterprise.


The Internal Perspective embraces strategic priorities for cross-functional business processes and business automation, which ultimately create customer and shareholder satisfaction and establish optimal internal service levels that foster and support that satisfaction.


The Learning & Growth Perspective establishes priorities that focus on maximizing "people" assets.  These strategies serve to foster growth and ingenuity through organizational change, innovation, knowledge-sharing, communication and business intelligence.

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The most powerful aspect of a BSC is that organizations stop focusing on departmental issues, and start focusing energy on strategic themes.  Imagine the power of that in your organization.

already using
Balanced ScoreCards:

Sears, Roebuck & Co
Fannie Mae
Shell Oil Company
United Parcel Service
FMC Corporation
Store 24
United Way
General Motors
J.P. Morgan
GTE Service Corporation
(and many more)

Read a related Optimal
article on BSC ...

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