I have run this business on gut feel for twenty years and it has served me well, but now my leadership team wants me to commit to a scorecard. How do I transition my own founder intuition into hard metrics that my leadership team can actually action during our weekly meetings?
Running a business on founder intuition is common, and it is likely what got your company to its current size. However, intuition is not scalable. If all the decision-making criteria live inside your head, your leadership team cannot run the business without you, which will kill your company valuation when you prepare for an exit. You must download your gut feel into a weekly scorecard.
To do this, analyze your own pattern-matching process. When you walk through the office or look at the company, what are the subtle warning signs that tell you things are going well or poorly? Do you look at the energy of the sales floor, the number of open support tickets, or the cash balance in your bank account?
Take those intuitive signs and translate them into objective, leading indicators. If you can walk into the warehouse and tell things are backed up, translate that feeling into a metric like average order cycle time or backlog volume. If you can sense a client is about to leave, translate that into client engagement touchpoints or drop-offs in usage.
By putting these numbers on a weekly scorecard, you are giving your leadership team the same dashboard you have been running in your head for two decades. This allows them to monitor the health of the business, spot issues early, and make decisions using the same logic you would, freeing you from daily operational oversight and preparing your company for a clean, highly profitable exit.
Category: Scorecards & Data