Balancing Your Legal Scorecard - Part 2

Written by Richard Hall

Continued from page 1

In short, there is no doubt thatrepparttar effective development of staff can have a direct impact onrepparttar 119228 bottom line and can also directly affect all ofrepparttar 119229 increases in profit possible through operational improvements. Simply increasing staff efficiency by 1% can often haverepparttar 119230 effect of improving profitability by twice as much.

Linking The Balanced Scorecard To Strategy

The objective of any measurement system should be to motivate managers and staff to implementrepparttar 119231 organization’s strategy. By translating strategy into measures withinrepparttar 119232 Balanced Scorecard, objectives and targets can be communicated to everyone. They can then focus onrepparttar 119233 critical drivers and align initiatives and actions torepparttar 119234 meeting of strategic goals.

Why is it important for a Scorecard to communicaterepparttar 119235 strategy?

•It describesrepparttar 119236 organizational vision to all departments •It ensures thatrepparttar 119237 meeting of performance targets contributes to achieving strategic objectives •It focuses effort onrepparttar 119238 key objectives and measures

How can we build a Scorecard that translates a strategy into action?

•By establishing cause-and-effect relationships between measures •By creating a framework against which underpinning objectives and actions can be assessed, valued and prioritized •By ensuring that cause-and-effect paths link through to on-going financial strength

An effective Scorecard enables an organization’s strategy to be inferred simply fromrepparttar 119239 cause-and-effect links between measures. Outcome measures signalrepparttar 119240 ultimate objectives ofrepparttar 119241 strategy and performance drivers indicate actions or initiatives that are required in order to create future value. Ultimately,repparttar 119242 Scorecard retains a strong emphasis on outcomes and financial outcomes in particular.

Benefits Of The Balanced Scorecard

The Balanced Scorecard’s prescriptive approach to performance measurement requires performance measures defined in each ofrepparttar 119243 non-financial perspectives to be linked to each other and torepparttar 119244 financial measures, ensuring thatrepparttar 119245 organization’s ultimate goal; that of continuing to be successfully in existence, remains paramount.

The extent to which business results can be improved by decisions taken based on a Balanced Scorecard view ofrepparttar 119246 organization is significant. Furthermore, these business results tend to be very sensitive to minor improvements in performance in key areas (such asrepparttar 119247 legal department). The following table illustratesrepparttar 119248 point:

Balanced Scorecard PerspectivePotential ImpactTypical Profit Impact (*) OrganizationDecrease in legal costs7%

Legal DepartmentReduction in wastage2%

Innovation and LearningImproved efficiency and identify best practices5%

TOTALIncrease in profit14%

(*) Based on historical LexTech,Inc. figures

Information Systems To Support The Balanced Scorecard

Information systems play an invaluable part in assisting managers to analyze beyondrepparttar 119249 summary level Balanced Scorecard measures. When an unexpected signal appears onrepparttar 119250 Balanced Scorecard, managers need access to underlying data to investigaterepparttar 119251 cause of any problem or to analyze trends and correlations.

Ifrepparttar 119252 information system is unresponsive, however, it can significantly impactrepparttar 119253 effectiveness of performance measurement.

Such an information system must then incorporate all ofrepparttar 119254 following features:

•At-a-glance exception alerting •Rapid access to summarized data •Drill down to successive levels of detail •Easy to follow dependency paths to identifyrepparttar 119255 causes of performance •Reporting initiative, objective and process information •Reporting of impacts of underlying objectives upon Scorecard measures •Reporting ofrepparttar 119256 impacts of objectives upon each other •Graphical creation and modification of objectives, measures and relationships •Support for dynamic re-planning for change •Integration with other office tools •Inclusion of rich text information •Graphical trending and tabular representation of data •End user configuration and analysis options •Integration with existing organizational data sources – with support of additional direct entry of values and annotations


To meetrepparttar 119257 challenges ahead, legal departments need to develop a perspective onrepparttar 119258 role ofrepparttar 119259 legal function in both qualitative and quantitative business terms. They may use a Balanced Scorecard of metrics that integratesrepparttar 119260 law-department’s short-term actions with long-term organizational objectives. Effective solutions should meet this criteria:

•Be specifically designed to supportrepparttar 119261 implementation and ongoing evolution of a Balanced Scorecard measurement system, alone or integrated with other performance management approaches and initiatives, such as Six Sigma, process review and benchmarking. •Be backed by expert consultancy for strategy and training •Implement services withoutrepparttar 119262 need of additional staff or technology. •Enable corporate legal managers to put into every day userepparttar 119263 best practice recommendations that inrepparttar 119264 past may have seemed impossible to achieve, with minimal additional overhead, time or other resources. •Maximizerepparttar 119265 benefits to be attained from existing performance measurement and management.

The Balanced Scorecard, with a comprehensive information system to support it, provides a means to make a real difference throughoutrepparttar 119266 legal department, and organization as a whole, from individual team member satisfaction right through to significant improvements inrepparttar 119267 bottom line.

Richard Hall is founder/CEO of Hall’s Benchmarks & LexTech, legal information companies that help public & private entities Manage the Business of Law©. Rich’s meld of technology & statistics produced a techno-analytical model of law practice. In 1994, he invented linguistic SW which automatically budget codes, reports GAAP accrual financials & conducts compliance analysis. t 530.820.4070, f 530.820.4071,

The Well Being of Society

Written by Dane Lyons

Continued from page 1

It isrepparttar intent that constitutesrepparttar 119227 presents or lack of morality. Ifrepparttar 119228 intent is just butrepparttar 119229 action is not we can not punish those who commitrepparttar 119230 action. To do so would be to hinderrepparttar 119231 well being of society. Ifrepparttar 119232 action does not coincide withrepparttar 119233 intent how can we assume that further actions will not. We also can not assume if one killed while intending to preserve then that persons future intent would be to kill. The only thing we can assume is that if one intended to preserve that their future intent is going to be to preserve. If we hinder those future actions we must also assume that we are hinderingrepparttar 119234 well being of society.

Every man at some point will intend to kill rather than preserve. That is why we can not judge, based on a single intent,repparttar 119235 worth of a man. To accurately judgerepparttar 119236 whole of ones intent must be taken into account. If that whole is in favor of preservation then we must assume further intent will coincide. If that whole is not to preserve then we must also assume their further intent will coincide. In such a case to ignore this would be to ultimately harm society. In either case, ifrepparttar 119237 harm to preserve ratio of ones intent is high enough some action must be taken. If rehabilitation is possible to swingrepparttar 119238 ratio in favor of preservation then that isrepparttar 119239 proper action. Otherwiserepparttar 119240 influence of that persons intent must be taken away from society in such a manner thatrepparttar 119241 action itself doesrepparttar 119242 least harm to our well being.

Dane Lyons is the webmaster of and

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