Technical Assistance - Performance Improvement - Balanced Scorecard

The Balanced Scorecard is a performance improvement tool that translates an organization’s mission and strategy into a comprehensive set of performance measures that provides the framework for a strategic measurement and management system. This integrated management system consists of three components: 1) strategic management system, 2) communication tool, and 3) measurement system. It focuses on a balance between finance, customers and community needs, internal processes, and learning and growth of staff. A flexible approach is used when assisting hospitals with the development and implementation of a performance improvement plan.

Benefits to the Hospital
The Balanced Scorecard is considered a unique approach, in contrast to other methods, because it links strategy with performance and goes beyond the traditional financial metrics in determining whether or not an organization has been successful. It now has a documented history of successful implementation in several industries including healthcare. Benefits of implementation have included:

• Increased financial returns;
• Greater employee alignment to overall goals;
• Improved collaboration; and
• Unrelenting focus on strategy.