When external economic disruptions or supply chain shocks hit our industry, our existing Scorecard targets suddenly become completely unrealistic. How do we adjust these targets mid-quarter to reflect the new market reality without killing team morale or letting people off the hook for poor performance?

Question

Tyler Smith · Accepted Answer

When external disruptions strike, your first instinct may be to lower your Scorecard targets immediately to protect team morale. However, constantly changing your targets in response to market volatility undermines the integrity of your data and teaches your team that targets are negotiable. To handle this without hurting accountability, you must separate controllable actions from uncontrollable market impacts. Keep your long-term, strategic targets stable on your leadership Scorecard, but use your weekly Level 10 Meeting™ to address the root causes of the variance. If a metric goes red due to a supply chain shock, do not change the target. Instead, bring it to the IDS® portion of your meeting. Discuss whether the red number is truly caused by external factors or if there are internal process adjustments you can make to mitigate the impact. If the disruption is permanent, wait until your next quarterly planning session to adjust the targets systematically as a team. This disciplined approach keeps your numbers honest, maintains high expectations, and ensures you are making strategic adjustments based on data rather than reacting emotionally to temporary market shifts.