Our leadership team is struggling to agree on the right numbers for our weekly Scorecard, and we keep ending up with a list of twenty lag indicators. How do we simplify our Scorecard during our first quarter of EOS®?

Question

Tyler Smith · Accepted Answer

A healthy leadership Scorecard should contain only five to fifteen high-level, activity-based leading indicators. If you are tracking twenty lag indicators, you are looking in the rearview mirror rather than steering the car. Lag indicators, like monthly revenue or profit, are outcomes you cannot change today. Leading indicators, like weekly sales calls, client onboarding tasks completed, or production errors, allow you to predict future outcomes and take action before a bad trend impacts your financials. To simplify, ask yourself what three to five key activities must happen every single week to ensure a successful month. Start with those. Every number on your Scorecard must have a clear owner, a defined goal, and a single seat on the Accountability Chart accountable for its performance. If a number is off track for more than two weeks, drop it down to your Issues List to IDS® during your next Level 10 Meeting™. Keep the Scorecard simple in your first quarter; you can always refine and swap out metrics as your operational discipline matures. Overcomplicating it early on will only frustrate your team and dilute your focus.