Many organisations have introduced a ‘Customer’ dimension into their ‘Balanced Scorecards’ but are these the right measures and can they drill down into more detailed levels and to causal factors?
The Customer Framework (TCF) approach to Customer Management KPI’s and scorecards is based on the same basic WKDC (Win, Keep, Develop, Costs) structure used throughout the rest of the portfolio. This matches the measures to the planning approach and the structure of the change programme.
The approach focuses on developing both ‘lead’ and ‘lag’ measures to ensure that they are predictive as well as historic. It also encourages creative thinking about the incorporation of measures that may not normally be considered as ‘customer’ measures but which can be hugely insightful to the organisation’s overall Customer Management effectiveness.
The scorecards are always based on a clear recognition that each measure needs to be populated from reliable data which may not be currently available, so a two or three phase scorecard is often developed to allow for an increasing sophistication in a consistent structure.