A related observation is that employees in the SBG both accepted the scorecard system and used it as an effective management-control tool, whereas there was only minimal acceptance and use in the NSBG. Often, the benefits of a scorecard system are soft ones, but organizations in our survey also reported documented benefits such as a reduction in overheads of 25% in three years and "significant improvement in employee satisfaction and the highest sales and profit ever." This result isn't unexpected: if communicating strategy and aligning employee behaviour with strategy aren't top priorities of a scorecard system, employees won't see value in using the system.
The study reveals a much stronger link between measures appearing on the scorecards and the compensation and reward system for the SBG than for the NSBG. As one company noted, "Employees throughout the organization have become more aware of business plan goals and objectives and strive for higher performance" due to scorecard implementation.
In sharp contrast, 43% of the NSBG reported no tie at all to strategy.