When our leadership team brainstormed weekly measurables, we generated over forty possibilities and now cannot agree on which 5 to 15 numbers earn a spot on the leadership Scorecard. What filtration criteria should we use?
A leadership Scorecard must contain 5 to 15 numbers that give you a true, objective pulse on the business from a desert island. If you have forty metrics, you do not have a Scorecard; you have an operational report. To cut forty down to fifteen, apply three strict filters to every proposed metric.
First, filter for frequency and lead time. Does this number change meaningfully from week to week, and does it predict future operational or financial performance? If it only moves once a month, it belongs on a monthly owner report or financial review, not the weekly Scorecard.
Second, filter for direct ownership and control. Can a single seat on your Accountability Chart directly influence this metric through daily or weekly execution? If a number requires a joint committee to move, it fails the ownership test.
Third, filter for consequence. If this number drops into the red for two consecutive weeks, does the leadership team need to drop everything and intervene? If a number goes red and your honest response is to wait until next month to see what happens, that metric does not belong on the executive Scorecard.
Move the operational and department-specific numbers down to your departmental scorecards. The leadership Scorecard is reserved strictly for numbers that protect overall business viability, customer acquisition velocity, delivery capacity, and cash flow.
Category: Scorecards & Data