Executive Summary (This is a document excerpt)

The Balanced Scorecard (BSC) has gained significant traction within our client companies at the corporate level and with IT organizations. IT organizations are successfully using the BSC as a measurement and management tool to improve the effectiveness and efficiency of their operations, as well as to communicate the value of IT throughout the enterprise. Our research has demonstrated that the key to a successful BSC is almost entirely dependent on quality (metrics that are jointly developed with end users) and quantity (fewer are better). Before an IT organization can evolve into a value center, it must first establish credibility within the enterprise that it is both effective and efficient at delivering IT services. Key to this is operational excellence — the third perspective in the IT BSC. Operational excellence is measured in a number of key areas: process excellence, responsiveness, project management, and security. Process metrics developed across these four areas will significantly increase the probability of a successful BSC implementation.

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