1. Indianapolis Life. Insurance Company. Balanced Scorecard
Indianapolis Life Insurance Company Balanced Scorecard Development Template Version September 20th, 1999 e

2. Developing a Scorecard
A scorecard is typically developed in a 3-phased approach
Conduct Interviews, Review Business Plans, etc.
Develop Draft Scorecard
Pre-Workshop
Confirm Critical Success Factors
Identify
Performance
Measures
Confirm Strategy
Workshop(s)
Refine Measures & Establish
Targets
Develop Implementation Plan
Facilitated Session with future “Scorecard Owner” and his/her direct reports or team
Post-Workshop

3. Cascading & Aligning Scorecards
Scorecards are cascaded and aligned through the critical success factors
Enterprise Critical Success Factors (CSF’s)
Enterprise
Strategies
Enterprise
Measures
Enterprise
Tier II Objectives
Tier II CSF’s
Tier II Measures
Tier II
Tier III Goals
Tier III CSF’s
Tier III Measures
Tier III
Linkage
Alignment

4. Establishing Tier II Objectives
Draft
Enterprise critical success factors that are “highly influencable” become “Tier II” objectives… additionally, there may be other objectives which are aligned with the enterprise scorecard
Tier II Objectives: 1) Objectives adopted from enterprise critical success factors
2) Newly developed objectives
Tier II Balanced Scorecard

5. Tier II Balanced Scorecard
Identify Tier II critical success factors and key performance indicators for the objectives
Tier II Objectives: 1) Enter Tier II Objectives

6. Next Steps - Set Targets and Identify Tactics to Reach Targets
Each measure should have a target (short term and long term) and an identified initiative/tactic to bridge the performance gap (current performance - target performance)

7. Tier III Balanced Scorecard
Tier III Mapping
Ability to Influence
A similar process may be undertaken to develop Tier III objectives and scorecards aligned with Tier II
Tier III Objectives: 1) 2) 3)
Tier III Balanced Scorecard

8. Horizontal Alignment
The same process may be used to identify objectives, critical success factors and performance indicators for the other Tier II areas. Additionally, the scorecards should be aligned “horizontally” to ensure internal requirements are met
Sample Tier III “requirements”
Enterprise
Distribution
Cross-selling
# of appointed reps (WA)
Sales per appointed rep (WA)
# of B/D selling agreements / distribution outlets (WA)
Investments
Risk/Reward profile, earned rate (WA)
Shared Services
Timeliness and accuracy of projects (WA)
E-Commerce (WA)
Tier II
Area 1
Tier II
Area 2
Customer Care
Vertical Alignment
Operations
Distribution
Horizontal Alignment

9. New Scorecard Area Responsibilities
Summarization of key responsibilities for scorecard area
Responsibilities
Responsibility

10. Enterprise -- Tier II Mapping
High Level of Influence Lower Level of Influence