Our weekly Scorecard is consistently green and showing that we are hitting all of our operational targets, yet our overall financial results and profitability are still lagging. How do we diagnose and fix this disconnect?
When your weekly Scorecard is green but your financial results are red, you are measuring the wrong things. Your Scorecard should be a compilation of leading indicators that predict your future financial health, not just administrative tasks that are easy to check off.
If you have a disconnect, your metrics are likely too activity-focused rather than outcome-focused. For example, your sales team might be hitting their target of fifty outbound calls a week (making the Scorecard green), but if those calls are targeted at the wrong audience, your actual sales and revenue will continue to slide.
To fix this, you must review and refine your Scorecard numbers. Look at the relationships between your weekly metrics and your financial outcomes. Every number on your Scorecard must have an owner who is accountable for its performance, and every number must directly correlate to business growth or operational efficiency.
This is where the guidance of a Professional EOS Implementer® is invaluable. An experienced implementer will help you stress-test your Scorecard, pushing you to move past superficial metrics and design forward-looking indicators that truly predict your financial success. By committing to the one way to do EOS the right way, you ensure your weekly numbers are directly aligned with your long-term financial targets.
Category: EOS Implementation