The Scorecard in Practice
The scorecard is a pragmatic and flexible tool that is designed to help boards to fulfil their responsibilities to contribute to and oversee strategy effectively. It is important to emphasise that it remains the role of the management team to develop and propose the strategy – it is not for the board to undertake the detailed strategic planning. The board’s focus should be to challenge the strategy constructively, endorse it and monitor its implementation.
It is also important to note that the implementation of the scorecard assumes that the organisation has already determined its broad strategic direction and has a strategic plan in place. The scorecard represents a process for developing and moving this strategy forward in a dynamic way.