Establishing Motivation

This chapter presents the key findings from the SHAPs (i.e., SUNY, Hyperion, and Pepperdine scorecard) study and analyzes with respect to best practices in implementing a scorecard system to achieve significant benefits. The SHAPs study results indicate that organizations want to use their scorecard systems to motivate employees and most have achieved some success in doing so. The vast majority agree with the idea that their scorecard measures motivate employees to work in congruence with the organization's objectives. The use of targets in a scorecard system can have a motivating or de‐motivating effect on employees and management, depending on how they are created and used. A great de‐motivator for employees is the use of measures unrelated to the strategy of the organization. When measures used to evaluate performance do not relate to strategy, employees have the impression that their efforts are not related to the strategy and, therefore, they are not important to the company–a despondent feeling, to be sure.