Scorecard Best Practices

Financial Services Company⁵

Financial Services Company (FSC), through its brokerage subsidiaries, provides a dynamic balance of investment products and services to benefit its individual investors. The company's services, which include a leading active trader program and long‐term investor solutions, take advantage of a national branch system and relationships with a large network of independent registered investment advisors.

At the beginning of 2003, FSC had reached a point where key strategic choices had to be made and executed effectively. High expectations regarding the performance of the organization by both internal and external stakeholders required improved focus, alignment, and ownership of the corporate strategy.

Scorecard Use

Prior to undertaking the effort to manage performance through the use of scorecards, most strategic discussions at FSC focused on the performance of tangible financial goals. Now, scorecards and a “scorecard process” extend the context for the company's expected financial outcomes by including discussions about:

The specific, relevant, differentiated value that is expected to be delivered to targeted sets of customers

The processes required to deliver this customer value

The set of capabilities, technology, and culture necessary for enabling these processes

The corporate scorecard defines expectations for revenue and productivity improvement for the company overall, while Business Unit and Functional Area scorecards define how the different components ...