How can Balanced scorecard (a measurement of performance tool) be used in ISO 9001?

[s_warin]

They say that the Balanced scorecard is the measurement of performance tool developed by Schneider at GE in 80. It is brought to popularity by Norton and a comrade at Harvard in 90.

The question is how can we use the balanced scorecard in ISO 9001?

[David Mullins]

It helps you get your accountnant interested in the QMS.

In the BSC environ, 9001 becomes an element of the strategies of the org.

[Claes Gefvenberg]

David Mullins said:

It helps you get your accountnant interested in the QMS.

-----x----

And that my friends, is a very good idea at any rate.

/Claes

[ccochran]

Howdy, folks:

I was glad to see the mention of the Balanced Scorecard concept. As you know, the concept promotes a balanced portfolio of metrics that reflect on the success of the organization in the short, medium, and long term. We're not talking about a long laundry-list of metrics, but a short focused list that truly reflects the organization's strategy. Now, how does this fit in with ISO 9001? The strategic metrics that make up your organization's balanced scorecard become your so-called quality objectives. Does it matter that the metrics of the balanced scorecard are more strategic and less quality-related (in a traditional sense) than what people would expect from something called quality objectives? No, of course not. The more strategic and significant you can make your "quality objectives," the better. I promote the practice of not even using the term quality objectives; it gives people the wrong idea.

The Balanced Scorecard concept has influenced my own thinking quite a bit. I make mention of Kaplan and Norton's book in the first chapter of my own book on Continual Improvement
(http://Elsmar.com/Forums/showthread.php?t=76240). My prescription for the development of "key measures" is quite similar to the Balanced Scorecard concept, but more focused and easier to implement (in my opinion). All these concepts are saying the same thing, though: 1) figure out the few measures that really matter to your success, 2) Communicate what the measures mean and why they're important, 3) Tell everybody exactly how they can help contribute to measures, 4) Track and communicate progress, 5) Build a lean, streamlined management system that enables everyone to focus on the things that really matter.

I'd love to hear some other thoughts on this...

Craig

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Craig Cochran
Center for International Standards & Quality
Georgia Institute of Technology

[Greg B]

Craig,

I agree. We use the balanced Score Card system and have done for a number of years. Over the past few months, I have been trying to convince (and I think I have won) Senior management that the metrics involved in the score cards are our key objectives and therfeore should make up the Quality Objectives of our policy and the basis of our QMS.

I promise, I will finish your book shortly and post a review. I had a GMP audit yesterday and I'm preparing for our Annual surveillance audit in mid February.

Greg B

[ccochran]

Greg,

They're lucky they have you over there getting them straight. I always have to remind myself that the Senior Management requires remedial education in the most obvious things...

Craig

[Marc]

Originally Posted by ccochran

I always have to remind myself that the Senior Management requires remedial education in the most obvious things...

Yes - How true this statement is.