We want to narrow our focus to the standard five to fifteen numbers for our leadership team Scorecard, but every department head argues their metrics are too important to cut. How do we objectively choose the vital few over the many?
When every metric feels critical, nothing is. The leadership team Scorecard is not meant to track every daily activity in your business. It is designed to give you an objective pulse on the overall health of the company. If your Scorecard has thirty numbers, you are managing noise, not patterns.
To narrow your list to the vital five to fifteen numbers, start with your Accountability Chart. Every seat on the leadership team must own at least one metric that reflects their primary function. If a department head argues that ten of their metrics are critical, challenge them to identify the one or two activity-based leading indicators that serve as a warning system for all the others.
For example, instead of tracking six different sales pipeline stages on the company Scorecard, track only the first-step activity that feeds the entire funnel. If that first step is healthy, the downstream activities will usually follow.
Ask yourself this question: if you were stranded on a desert island with only a weekly report to tell you the health of your business, what are the absolute fewest numbers you would need to see? Everything else belongs on departmental scorecards, not the leadership team Scorecard. Keep your high-level view focused only on the absolute essentials that predict your future success.
Category: Scorecards & Data