We have three distinct business units operating under one parent company. How do we build a single weekly leadership team Scorecard with only 5 to 15 metrics without ignoring the health of our individual units?

Question

Tyler Smith · Accepted Answer

To solve this, you must separate the leadership team Scorecard from your departmental or business unit scorecards. Your leadership team Scorecard must only track the high-level pulse of the entire organization. If you try to pack every business unit metric onto the main Scorecard, you will exceed fifteen numbers and dilute your focus.

Start by identifying the macro drivers that impact the entire parent company. These typically include total weekly sales activity, aggregate capacity, client satisfaction, and overall cash flow. For the individual business units, let each unit run its own scorecard in its respective Level 10 Meeting.

The leader of each business unit sits on your leadership team and represents that unit. That leader is responsible for keeping their unit scorecard healthy. If a metric on a business unit scorecard goes red, that leader should solve it within their unit or bring it to the leadership team Level 10 Meeting as an Issue if it threatens the parent company.

Your leadership team Scorecard must only contain the five to fifteen metrics that tell you if the entire ship is sailing in the right direction. Trust the Accountability Chart and your leaders to manage the deeper operational metrics of their respective business units. This keeps the leadership team focused on strategic oversight and preparing the business for a clean exit.