The document discusses the balanced scorecard approach and organizational capabilities. It presents the four perspectives of the balanced scorecard: learning and growth, internal business process, customer, and financial. It then lists and defines 12 key organizational capabilities such as talent, innovation, customer connectivity, and efficiency. For each capability, it provides an explanation and suggestions for ways to evaluate and track that capability within an organization.

1. Balanced Scorecard presented by Mariam Khan

2. Vision statement outlines what a company wants to be

3. To achieve our vision, how will we sustain our ability to change and improve?

4. A map is handy to communicate (=Strategy map) how you plan to get (=Strategy) from where you are (=Mission) to where you want to be (=Vision)

5. Strategy is a long term plan of action designed to achieve a particular goal, most often "winning"

7. Capitalizing on Capabilities Comes in .. Our only limitations are those which we set up in our minds or permit others to establish for us." – Elizabeth Arden

8. Learning perspective Process perspective Customer perspective Financial perspective Acquiring knowledge Summarizing knowledge Customer satisfaction Profitable growth insert ¥€$ :-)

9. Capability defined . Capability represents the identity of your firm as perceived by both your employees and your customers. It is your ability to perform better than competitors using a distinctive and difficult to replicate set of business attributes. Capability is a capacity for a set of resources to integratively perform a stretch task

10. Organizational capabilities An organizational capabilities An individuals leadership ability Social An organizations core -competence An individual’s functional competence Technical Organizational Individual X

11. Calculate a company’s break-up value; Compare the break-up value to the current market value of the assets. This is working across boundaries, ensuring efficiency and leverage. Collaboration 5 Examine the tools you use to manage performance (i.e., appraisal forms, variance in compensation based on employee performance, etc.) This is being good at obtaining high performance from employees. Performance accountability becomes an organizational capability when employees realize that failure to meet their goals would be unacceptable to the company. Accountability 4 Measuring the degree of consensus among employees when they are all asked what the top three things are that the company wants to be known for in the future. This is the organizational capability that ensures that employees and customers have positive and consistent images of and experiences with an organization. Shared Mind-Set & Coherent Brand Identity 3 How long it takes to go from concept to commercialization, or from the collection of customer data to changes in customer relations; This is the ability to recognize opportunities and to act immediately. Speed 2 Productivity measures, retention statistics, employee surveys, and direct observation. Talent is the organizational capability that attracts, motivates and retains competent and committed people. Talent 1 Ways to evaluate/track this capability Explanation Organizational Capability

12. Inventories, direct and indirect labor, capital employed, and costs of goods sold can all be viewed on balance sheets and income statements Being good at managing costs. Efficiency 11 A vitality index (for instance, one that records revenues or profits from products or services created in the last three years) Doing something new in both content and process. Innovation 10 Note how consistently employees respond when asked about the company’s strategy. Articulating and sharing a strategic point of view. There are three levels of strategic unity: intellectual, behavioral and procedural Strategic Unity 9 Identify your key accounts and track the share of those important customers over time; Frequent customer-service surveys may also offer insight into how customers perceive your connectivity. Building long-lasting relationships of trust with certain customers. When a large number of employees have meaningful exposure to or interaction with customers, connectivity is enhanced Customer Connectivity 8 You can track your organization’s leadership brand by monitoring the pool of future leaders. Being good at embedding leaders throughout the organization. Consistently producing effective leaders is generally an indication of a clear leadership brand. Leadership 7 Look at what other companies are doing; Hire or develop people with new skills and ideas. This is generating and generalizing ideas with impact. New ideas can be generated by benchmarking, experimenting, continuously improving, etc. Learning 6

13. Learning perspective Process perspective Customer perspective Financial perspective How will we sustain our ability to change and improve? What business processes must we excel at? How should we appear to our customers? How should we appear to our shareholders? insert ¥€$ :-)

14. Internal Gurantee helps.. Commitment by one part of an organization to another To deliver its product or service to the complete satisfaction of the internal customer. If it fails to do so, it will incur a meaningful penalty, monetary or otherwise. Moreover, it is the employees involved--not management--who devise the commitment. The result? And an environment of blameless error takes hold in which employees are rewarded, not punished, for identifying problems instead of sweeping them under the rug. How to achieve this ? A department must first identify its mission in the organization. The ability to state exactly who its internal customers are. Third, the department should identify what its internal customers need. Fourth, drawing on their input, the department should design a guarantee that reflects those needs Finally, those involved must decide on a penalty that is meaningful to the internal customer as well as to the supplier

15. Thank you ..