Our Scorecard metrics are almost always green during our Level 10 Meeting™, yet we are still missing our quarterly revenue goals. How do we diagnose and fix this disconnect between our weekly numbers and our actual business performance?

Question

Tyler Smith · Accepted Answer

If your weekly Scorecard is entirely green but you are still missing your high-level goals, you are tracking the wrong numbers. A healthy Scorecard must consist of leading indicators, not lagging indicators. If you are only tracking activities that are easy to green-light, you are creating a false sense of security while your business drifts off course.

To fix this, you must audit your Scorecard. Review the five to fifteen weekly numbers on your tracker and ask if they actually predict your future success. For example, tracking the number of sales meetings booked is a leading indicator of revenue; tracking closed revenue is a lagging indicator. If your sales meetings are green but revenue is red, you may need to track the quality of those meetings or the conversion rate instead.

Every metric must have a direct correlation to your quarterly Rocks and your V/TO® goals. If a number is green every week but has no impact on your strategic targets, it is a vanity metric that is wasting valuable space on your agenda.

Work with your leadership team to replace weak metrics with high-leverage, predictive numbers. If a number goes red, it should be an early warning sign that allows you to course-correct during IDS® weeks before it impacts your bottom line.