Scribd
Upload
57 views7 pages

Tesco Strategy Map and Scorecard

Mapa estrategico para Tesco

Uploaded by

paliana
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
57 views7 pages

Tesco Strategy Map and Scorecard

Mapa estrategico para Tesco

Uploaded by

paliana
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 7

Learning from Tesco Strategy Map and Scorecard

bscdesigner.com/tesco-balanced-scorecard.htm

September 20, 2013

A great lesson of how Balanced Scorecard works can be learned from global retailer
Tesco. This company is known for its state of art Business Intelligence (BI) system.
Balanced Scorecard is published yearly on tescoplc.com as part of Tesco’s BI system and
is a must-see business performance tool. It even has its own name, “steering wheel.”

Source: www.tesco-careers.com

In this article, I’d like to review the Tesco’s BSC for the year 2013 and suggest some
insights that any business professional might adopt in his business.

It is not classical BSC


If you ever start discussions about BSC or what BSC is, you’ll end up with some expert
saying that BSC is not what you have in your company because you don’t have some
important component. As was discussed before, there is no fixed recipe for the BSC.

1/7
Companies use this framework and modify it according to their needs. What is more
important is that the company sees the improvement in business performance.

Tesco did the same trick. Taking a classical Balanced Scorecard as a framework method
and adopting it to the needs of the company.

Source: tescoplc.com

Let’s have a quick look at what was modified and what is missing:

In the very beginning, it is stated that there are five perspectives: community,
operations, people, finance, customer. Remember that classical Balanced
Scorecard suggests four perspectives that are a little bit different.
Another difference from the classical BSC is that strategy map is not included. If
you’re checking the BSC on Tesco’s website, it is not possible to learn what
strategic objectives the company has and how it is going to achieve them.
Obviously, that strategy map just was not published here, and one can find a so-
called “7 part” strategy of Tesco with strategic objectives and target measures.
Check out this strategy map guide if you want to learn more about strategy maps.
Finally, as we know in classical BSC, any business objective should be aligned to
KPI and action plan. It is easy to see that the publicly available BSC of Tesco does
not contain all the details, such as an action plan, but comments tell us what the
general vector of the company is and for sure make more sense for employees.

Let’s continue the review and find best practices that one can adopt in his own business.

From my viewpoint, one of the most important innovations is that the Balanced Scorecard
(well, at least some significant part of it) is publicly available. It makes sense for
company employees, it makes sense for partners and clients. I believe publishing BSC
online in public access is the best way to declare that BSC is important for your company,
and you are using it for performance management.

2/7
Achievement marks
Now, let’s pay attention to the marks used in the BSC. Achieved or unachieved targets
are marked with a tick or a cross that gives a quick picture of what is doing well and what
needs to be improved.

Source: www.tescoplc.com

Also, a minor feature, but I think it is really nice – when the first value is introduced for
2008, it is not marked with tick or cross, it just said that it is “new.”

Strategy Map Wizard – Balanced Scorecard in 6 Minutes

Answer simple questions - build a professional strategy map in 6 minutes.

Strategy formulation and description might be a time-consuming project even for an


experienced strategist. This Strategy Scorecard Wizard will make the whole process fast
and intuitive.
Start now!

More Examples of the Balanced Scorecard

3/7
4/7
5/7
Conclusions
It is not 100% classical BSC
Strategy map with objectives is available apart from BSC
It is published online
Simple marks are used to display current state and progress

About Aleksey Savkin


CEO | Trainer | Author

BSC Designer is a Balanced Scorecard software that is helping companies to better


formulate their strategies and make the process of strategy execution more tangible with
KPIs.

6/7
If you prefer to receive posts like these by email sign up to our newsletter.

BSC Designer

How Business Professionals Use BSC DESIGNER

Capture their thoughts about strategy on a strategy map

Track leading and lagging indicators to calculate performance

Engage employees in strategy execution and keep team accountable


Learn more...
© 2021 BSC Designer – Strategy Execution Software

7/7

You might also like