1. Balanced Scorecard: The Balanced Scorecard is a strategic management tool that enables organizations to measure and track their performance across multiple perspectives, including financial, customer, internal business process, and learning and growth. It provides a balanced view of the organization's performance and helps align its activities with its overall strategy.
2. Core objectives and measures: Core objectives and measures refer to the key goals and performance indicators that are essential to achieving an organization's strategy. These objectives and measures are typically focused on critical areas of the business and are used to monitor progress and drive improvement.
3. Customer perspective: The customer perspective is one of the four perspectives of the Balanced Scorecard and focuses on measuring and managing the organization's performance from the perspective of its customers. It includes measures related to customer satisfaction, loyalty, retention, and other key metrics that reflect the organization's ability to meet customer expectations.
4. Customer value: Customer value refers to the perceived benefits and worth that customers receive from a product or service. It encompasses factors such as quality, price, convenience, service, and other attributes that contribute to the overall value proposition for customers.
5. Cycle time (manufacturing): Cycle time in manufacturing refers to the total time it takes to complete a production cycle, from the start to the finish of a product or process. It is an important measure of efficiency and productivity in manufacturing operations.
6. Double-loop feedback: Double-loop feedback is a type of feedback mechanism that goes beyond simply providing information on performance outcomes. It involves reflecting on and questioning the underlying assumptions, strategies, and processes that led to the outcomes, and making adjustments or changes accordingly. It promotes learning and adaptation within an organization.
7. External measures: External measures are performance indicators that are derived from external sources, such as customer surveys, market research, or industry benchmarks. These measures provide an objective and independent perspective on the organization's performance and can help identify areas for improvement.
8. Financial measures: Financial measures are performance indicators that focus on the financial aspects of an organization's operations. They include measures such as revenue, profit, return on investment, cash flow, and other financial ratios that reflect the organization's financial health and performance.
9. Financial perspective: The financial perspective is one of the four perspectives of the Balanced Scorecard and emphasizes the financial goals and measures that are important for the success of the organization. It includes financial objectives such as profitability, revenue growth, cost management, and shareholder value.
10. Innovation process: The innovation process refers to the systematic approach and activities that organizations undertake to develop and implement new ideas, products, services, or processes. It involves activities such as idea generation, research and development, testing, and commercialization of innovative solutions.
11. Internal business process perspective: The internal business process perspective is one of the four perspectives of the Balanced Scorecard and focuses on measuring and improving the organization's internal operational processes. It includes measures related to process efficiency, quality, responsiveness, and other key operational metrics.
12. Internal measures: Internal measures are performance indicators that are derived from internal data sources within an organization. These measures provide insights into the organization's internal operations and help monitor and improve performance.
13. Lag measures: Lag measures are performance indicators that are based on historical or past data and reflect the outcomes or results of actions taken in the past. They are typically used to assess the ultimate impact or success of certain strategies or initiatives.
14. Lead measures (performance drivers): Lead measures, also known as performance drivers, are indicators that are predictive of future performance outcomes. They are typically focused on activities or actions that can be influenced to drive desired performance outcomes.
15. Learning and growth (infrastructure) perspective: The learning and growth perspective is one of the four perspectives of the Balanced Scorecard and emphasizes the importance of developing the organization's human capital, infrastructure, and capabilities for long-term success. It includes measures related to employee training and development, technology and systems infrastructure, organizational culture, and other factors that support organizational learning and growth.
16. Mandatory measures: Mandatory measures are performance indicators that are required by regulations, industry standards, or other external requirements. Organizations must track and report these measures to demonstrate compliance and meet legal or contractual obligations.
17. Nonfinancial measures: Nonfinancial measures are performance indicators that do not directly relate to financial outcomes but provide insights into other aspects of the organization's performance, such as customer satisfaction, employee engagement, operational efficiency, or environmental impact.
18. Objective measures: Objective measures are performance indicators that are based on quantifiable data and facts. They are not influenced by personal opinions or biases and provide an objective view of performance.
19. Operation process: The operation process refers to the series of steps and activities that are performed to transform inputs into desired outputs. It involves planning, organizing, executing, and controlling activities to achieve operational goals and objectives.
20. Optional measures: Optional measures are performance indicators that are chosen based on the specific needs and priorities of an organization. They are not mandatory but are selected to provide additional insights or focus on specific areas of performance that are relevant to the organization's strategy.
21. Post-purchase costs: Post-purchase costs refer to the expenses or costs that are incurred by customers after they have made a purchase. These costs may include maintenance, repairs, upgrades, or other expenses associated with using or owning a product or service.
22. Post-sales service process: The post-sales service process refers to the activities and processes that organizations undertake to support customers after they have made a purchase. It includes activities such as installation, training, technical support, warranty services, and customer assistance.
23. Process value chain: The process value chain refers to the sequence of activities and processes that are performed to create and deliver value to customers. It includes all the steps involved in transforming inputs into outputs, including sourcing, production, distribution, and customer service.
24. Single-loop feedback: Single-loop feedback is a type of feedback mechanism that focuses on correcting and adjusting specific actions or behaviors to improve performance. It involves identifying and addressing issues or problems without questioning the underlying assumptions or strategies.
25. Strategic-based control system (SBCS): A strategic-based control system (SBCS) is a management system that integrates strategic planning, performance measurement, and control mechanisms to align organizational activities with its strategic objectives. It provides a framework for monitoring and managing performance in line with the organization's strategy.
26. Strategy: Strategy refers to the long-term plan or approach that an organization develops and implements to achieve its goals and objectives. It involves making choices about where and how to compete, allocating resources, and aligning activities to create and sustain a competitive advantage.
27. Strategy map: A strategy map is a visual representation or diagram that illustrates the cause-and-effect relationships between the strategic objectives and measures of an organization. It provides a clear and coherent picture of how different elements of the organization's strategy are interconnected and contribute to overall performance.
28. Stretch targets: Stretch targets are ambitious goals or performance targets that go beyond current levels of performance. They are designed to challenge and inspire individuals and organizations to achieve higher levels of performance and drive continuous improvement.
29. Subjective measures: Subjective measures are performance indicators that are based on personal opinions, judgments, or perceptions. They may involve qualitative assessments or subjective evaluations of performance.
30. Testable strategy: A testable strategy is a strategy that can be objectively evaluated and assessed based on measurable outcomes or performance indicators. It is important to have testable strategies to ensure that progress can be monitored and adjustments can be made if necessary.
31. Velocity: Velocity refers to the speed or rate at which tasks, processes, or activities are completed. In the context of performance measurement, velocity can be used to assess the efficiency and effectiveness of operations and identify opportunities for improvement.
