Why does HR Need a Balanced Scorecard? / Why Use the Balanced Scorecard for HR?

As we have identified the fundamental role that HR plays in the business, it is important to pin point where the problem arises.

If the communication between the shareholders, executive teams and the rest of the employees is weak, most likely strategies will fail and organizational goals will not be met.

Although HR is that perfect bridge, in most companies HR work is mostly focused on operational tasks and not strategic ones. Statistics show that only about 35% of companies use HR as a strategic partner.

Therefore, by not aligning HR objectives with organizational objectives, the companies out there are not maximizing HR performance and overall employee performance.

The solution to that lack of strategic alignment is the Balanced Scorecard analysis, more specifically incorporating the BSC into Human Resources.

Using the BSC performance management tool will help to measure and improve HR performance, maximize the strategic contribution that HR brings to the organization. The HR BSC analysis will also ensure that the bridge that HR creates aligns strategic objectives with employee objectives, and organizational goals are achieved.

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Balanced Scorecard Examples

Balanced Scorecard Software - BSC Designer