- Service Industry Components
- Business Performance Measurement Challenges in the Service Industry
- The Balanced Scorecard
- Business Performance Evolution
- Service Scorecard
- Establishing the Service Scorecard Measurements
- Take Away
Establishing the Service Scorecard Measurements
Identifying and establishing Service Scorecard measurements requires that we identify the purpose of the Service Scorecard and its expected value proposition. Is the purpose of the scorecard to display some information in the form of some dashboard, or to analyze and use the information to identify and exploit opportunities for improvement? The Service Scorecard can be used for realizing the fundamental business strategy of achieving sustained profitable growth, to monitor profit, or to communicate information with stakeholders. To establish measurements in different areas, answering the following questions can be helpful:
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What does one do?
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Why does one do it?
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Who does one do it for?
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How will one know one has done it?
The measures are identified based on strategic outcomes, client benefits, and the process outputs. Another way of establishing measurements for an element of the scorecard includes answering the following questions:
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What is the purpose of the Service Scorecard for an organization?
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What is the purpose of each element of the scorecard?
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What is the expected deliverable as a result of each element of the scorecard?
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What is the measure of success for each element of the scorecard?
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What are the activities to be performed in implementing the required measurement?
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What are the critical elements of the activities to be performed?
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What are measures of success for critical elements in question 5?
Opportunities abound for a service operation to be striving for excellence. In the so-called "service economy," our experience shows more customers are dissatisfied with the service due to a variety of reasons. The Service Scorecard can create the "love" for customers, improve business performance, and foster high employee participation and joy.