Does your IT scorecard show nothing but green while your customers are seeing red? Take a minute before you answer. Is it possible your IT scorecard is committing the classic IT sin? That is, publishing an IT scorecard that your customers don’t accept or worse, are offended by the impression you are trying to create.
Defining Success Internally
Perhaps the most common reason your customers view the IT scorecard as a work of fiction is that the IT scorecard reflects the IT view of the world. How you define success and what constitutes good, is based on IT judging those elements internally instead of reflecting your customers view of success and what good is.
So if your IT scorecard doesn’t include key performance indicators that are meaningful to your customers or don’t reflect your customers experience in using your services this is the place to start fixing your IT scorecard.
Right Metric Wrong Measurement
Right metric wrong measurement can also be thought of as “right KPI wrong metric” and many other variants. This happens when the IT scorecard presents a performance indicator but is using the wrong method of measuring for it or the wrong source for the data.
There are numerous ways in which this can happen. Oftentimes the right metric wrong measurement is simply a decision to use a number that is generated by a system that may not actually be a measure of what it says it is. Sometimes it is simply IT managers not really understanding the metric and how one variation is different from another.
Imbalanced IT Scorecard
If you don’t have a balanced IT scorecard you shouldn’t be surprised to learn your customers reject the IT scorecard. A balanced IT scorecard can mean a lot things to people, so be sure you focus on what it means to your customers (Refer to Defining Success Internally).
Here is a list of categories often found on balanced IT scorecards where each category would have an appropriate set of metrics for the category:
- Customer Perspective
- Internal Process Perspective
- Financial Perspective
- Learning and Growth Perspective
- Targeted Improvement Areas
For those who might be a bit more adventurous, here is another list of categories that are increasingly popular for use in creating a balanced IT scorecard:
- Business/IT alignment
- Value delivery
- Cost management
- Risk management
- Synergy achievement
IT Scorecard of Sausage Making
Balanced or not, if your IT scorecard is focused too heavily on how you make the sausage, consider having two IT scorecards.
One IT scorecard for the IT department that can be chock full of IT process metrics and data from your monitoring tools. You use this internally for process improvement and performance management.
The other IT scorecard is the balanced IT scorecard that you show to the organization. This version of the IT scorecard uses the internal IT stuff very sparingly and focuses on presenting those performance metrics your customers care about and that are meaningful to the organization.