1. The Balance Scorecard (BSC):
Facilitating Organizational Alignment & Focus
Daniel Hayden, Rare

2. Agenda Outcomes Agenda & Outcomes Why does this matter BSC Basic
Rare’s BSC
Questions & Answers
Understand the basics of the BSC
See where you and your team fit in

3. Because it effects what activities your team does and does not do
Why should I care about the BSC?
Because it is how Rare measures its success toward achieving its mission
Because it effects what activities your team does and does not do
It effects how you are evaluated
Hmmmm … you are still not convinced?

4. We can make this statement because:
BSC informs “how are we doing?”
Good (on balance)
We can make this statement because:
We have made explicit our objectives
We have set targets
We can make comparisons year-to-year
We have reported on those goals
People are being held accountable for those goals
We are making improvements based on data
50 Pride campaigns launched
… but none planned for FY13
99 of campaigns running at some point in FY12
… though this will decline over the next 12 months
$40 Million raised for challenge pool
… and nearly hit our FY12 target
91% of partners who’d recommend us
… an improvement over prior years
75% of campaigns on track with impact measures
… and higher standards every year

5. YES! Does the BSC Change Anything?
Initiatives influenced and supported by BSC:
Emphasis on staff engagement and Rare values was a result of plummeting staff satisfaction
A better IT team was a result of cross functional surveys
Focus on social marketing is due (in part) to low scores around behavior change
New processes to measure Threat Reduction and Conservation results supported by BSC
YES!

6. Agenda
Why does this matter
BSC Basic
Rare’s BSC
Questions & Answers

7. Balance & Scorecard
Photo of acrobat:
Photo athletes:

8. Balance Scorecard Basics
The Balanced Scorecard methodology is an approach that recognizes that organizational sustainability is not about delivering results one year, but the ability to create results over many years.
Mapping Strategy:
Mission
Strategic Themes
Strategic Results
Organizational Alignment
Vision/Mission
Financial
Customer
Learning & Growth / Human Capital
Internal Business Processes

9. Fully implemented Balanced Scorecard
Source: © 2007 by the Balanced Scorecard Institute, a Strategy Management Group company. All rights reserved.

10. Standard Key Definitions
Rare follows method nearly exactly
Each of these elements must be in “in balance” to ensure organizational sustainability
A mission statement defines why an organization exists; the organization's purpose
Vision/Mission
Financial
Timely and accurate funding is essential, but it is “in balance” with other organizational objectives. Financial measures should focus on current and future needs.
Customer
Recognizes the importance of customer focus and customer satisfaction are leading indicators. If customers are not satisfied, they will eventually find other suppliers.
Learning & Growth / Human Capital
Includes employee training and corporate cultural attitudes related to both individual and corporate self-improvement.
Metrics that allow managers to know how well their team is running, and whether its products and services conform to customer requirements (the mission).
Internal Business Processes

11. Agenda
Why does this matter
BSC Basic
Rare’s BSC
Questions & Answers

12. Rare’s Strategy Map
The Strategy Map Defines the Elements that Support Our Mission
Mission: Influencing behavior to protect biodiversity
Strategy: Build Capacity, Change Constituencies and Reduce Threats to achieve Conservation results
Enabling Processes: Maximize the effectiveness of each Pride campaign, take Pride to Scale, Unlock alumni … raise money

13. Departmental Measures
Rare’s Balance Scorecard:
Cascades & Cross Cuts the Organization
Rare Measures
Most Strategic
Cross-cutting
Measures
Priorities
Information
Departmental Measures
Strategy & Ops
Individual Measures
Ops Supporting Strategy

14. BSC Governance Structure BSC Now Sits within Global Programs
CEO & COO
Sets strategy and priorities
Signs off on goals
Manage processes
Aligns groups
Quality assurance
Note in most for profits, the BSC is managed by Finance team
Sr. Director Global Programs
Divisional Heads
Align with global goals
Set divisional goals
Ensure sound methodology
Align with key process
Ensure quality assurance
Internal Experts

15. TBD based on monitoring charter team
Rare’s Balance Scorecard: 3C Mission
Lasting Conservation results require engaged Communities and organizations with the Capacity to lead and sustain change
Reduce Threats and Achieve Conservation Results 1
% of Active Campaigns with Documented Plans on track to Monitor Threat Reduction
100% 2
% of Active Campaigns in Each Cohort that have a Scientifically Rigorous Conservation Result Monitoring Plan on track
50% 3
% of campaign sites with significant TR and CR results within 5 years of the completion of the original campaign
TBD based on monitoring charter team
Change Constituency Attitudes and Behaviors 4
% of total population that have discussed the benefits of the campaign strategy
Based on surveys during the campaign this measures seeks to gauge grass roots buzz for the Pride campaign
TBD based on pilot 5
% of Primary (Threat-Causing) Target Audiences Adopting New Behaviors
The average percentage of our campaigns' target audiences that change their behavior after a Pride Campaign.
30%
Build Local Capacity 6
# Pride trained graduates in current year
The total number of Campaign Managers (CM's) and Fishery Fellows (FFs) or similar who complete the Pride training program and graduate, usually receiving a Masters Degree. (This is cumulative, annual measure). 16 7
% of CM's achieving a passing level on skills assessment
CM's will take a skills assessment after each university phase and will receive a cumulative measure.  The % of CM's receiving a passing grade after each university phase will be calculated.
85% 8
Rare validated MoUs or plans in place for post-graduation campaigning, monitoring, fundraising, and related activities for 3 to 5 years.
A measure of LAP investment in post-campaign activities based on MoUs and plans in place and validated within three months of campaign graduation.
50%
Note: The 3Cs is how Rare achieves its impact, while the theory of change shows how each campaign will create impact

16. Partner / Customer Focus
Maximize the effectiveness of each Pride campaign
Pride is a our signature product and we want each campaign to make an impact on community and our partner
Partner / Customer Focus
Maximize the Effectiveness of each Pride Campaign 9
% Campaigns "Green" on the Pride Scorecard
Based on the Pride Scorecard, how many campaigns are on track to achieve the 3C objectives according to QMI standards.
50% 10
Partner leadership satisfaction index rating
% of Rare partner leadership (executive director, or equivalent) who would recommend to another organization that they should apply for a Pride campaign
80% 11
CM Satisfaction Index Rating
% of Rare partners who would recommend to another organization that they should apply for a Pride campaign
Business Process
Human Capital
Financial

17. Partner / Customer Focus
Take Pride to Scale
We want to ensure a steady pipeline of new high quality partners who will bring Pride to their communities
Take Pride to Scale 12
# of New Campaigns Launched
The total number of campaigns that are launched in a Fiscal Year 13
Average final score of accepted campaigns
Average score of all accepted campaigns based on criteria set in the application form
3.50 14
# of Expressions of Interest
Average number of Expressions of Interest for partnering with Rare submitted (per cohort) 36 15
# of PINs in pipeline (average)
Total number of Project Idea Notes (PINs) in the pipeline over a three month period. 16
# of Feasibility or Country Studies
# of approved Feasibility or Country Strategies that are approved 2
Partner / Customer Focus
Business Process
Human Capital
Financial

18. Partner / Customer Focus
Unlock the Potential of the Network
Great campaigns should inspire people to run more campaigns, teach others … and lay the foundation to address new threats
Partner / Customer Focus
Unlock the Potential of the Network 17
% Of Rare Conservation Fellow Alumni and Local Implementing Partner Alumni that continue to Significantly Utilize Pride Methodology
Percentage of Rare Conservation Fellow and Local Implementing Partner Alumni that continue to significantly utilize Pride methodology as defined by survey response
80% 18
% of recent alumni marine campaigns adopting FF strategies
Percentage of alumni marine campaigns that will be upgraded to a FF strategy
25%
Business Process
Human Capital
Financial

19. Funding and people are the essential pre-requisites of all we do
Expand Fundraising & Organizational Capacity
Funding and people are the essential pre-requisites of all we do
Expand Organizational Capacity 21
% of PPMs passing at least 3 packets per year
Percentage of PPM's passing at least three packets of the Certification in Social Marketing for Conservation
75% 22
% of New Hires Successful in Their Jobs
% of new hires who are still employed and score well (2.50 or higher) on their first annual performance and values review (new hire plan, mind and year-end - or yearend and midyear)
80% 23
Median number of hours of formal training
Median number of hours of formal training that staff complete towards their professional development objectives set with their supervisor 40 24
% of Staff Satisfied with Department Performance
From the staff survey: "% of Staff Satisfied with Department, based on the average response to, "How satisfied are you with the responsiveness of x department" and "How satisfied are you with the quality of product of x department."
Expand Fundraising 19
% of Required Cohort Funding Identified
50% of cohort cost raised or in pipeline by CPP approval or proposals for loan to bridge funding gap (not to exceed 9 months after cohort launch).  
50% 20
% of Projects within Budget
% of all Rare projects that come in within budget
100%

20. Funding and people are the essential pre-requisites of all we do
Expand Organizational Capacity
Funding and people are the essential pre-requisites of all we do

21. BSC improves decision making … it does not make decisions
BSC Provides Balance
Annual perspective Multi-year perspective
Financial Non-financial
Programmatic Operational
Leading indicators Lagging indicators
Results:
Clear goals
Priorities
Tradeoff
Smarter questions
Better decision making
BSC improves decision making …
it does not make decisions

22. Interesting metrics for FY13
% of Primary (Threat-Causing) Target Audiences Adopting New Behaviors
% of recent alumni marine campaigns adopting FF strategies
Staff Engagement

23. Agenda A bit about Rare What are Balanced Scorecards
What is Rare’s Balanced Scorecard
How Rare uses the Balanced Scorecard
Execution Tricks
Questions & Answers

24. Clarity Explains How to Implement Our Strategy
Four Pillars of Rare’s Strategy:
Scale Pride
Improve Impact of Pride
Leverage networks
Build an enduring institution
Strategy maps explain how we create value
Highlight what we believe are the key organizational ingredients
Visually show how elements interact
The Balanced Scorecard drives action
Links to the strategy map
Shows the objectives
Shows the measure
Clarity
Clarity does NOT equal agreement – it just focuses us on specific issues

25. Rare and Departmental Balanced Scorecard
Programmatic Reporting Flow Connects Strategy with Execution
Rare and Departmental Balanced Scorecard
Strategy Flows Down
Summary Report
Pride Scorecard
Average status of a group of campaigns
Summary of status of a group of campaigns
Comprehensive view of the long-term status of an individual campaign
Data Flows Up from Regions

26. BSC measure … which then translates to your IBSC
You and the BSC
In our Work Planning Process all initiatives (and budget items) must align to a
BSC measure … which then translates to your IBSC

27. BSC Everywhere … Part of every Board pack
Part of all Board committee meetings
One measure discussed regularly at Leadership Team meetings
Part of every monthly reporting pack to Dale and RVPs
Key questions in the Monthly Pride Scorecard
Basis of the annual work plan
Integral to the IBSC
Core part of the bonus system

28. See Updates in January Reporting Tool: ClearPoint Browser Password
Online Reporting Tool for BSC
See Updates in
January
Browser Password
website:
username:
password: rare1234

29. Agenda
Why does this matter
BSC Basic
Rare’s BSC
Questions & Answers

30. Questions….

31. Have We Achieved the Desired outcomes?
Understand the basics of the BSC
See where you and your team fit in 31

32. Appendix

33. Definitions of Balanced Scorecard Strategic Planning & Management Terms
Customer Value Proposition - The Customer Value Proposition is the unique added value an organization offers customers through its operations; the logical link between action and payoff that the organization must create to be effective.  Three aspects of the proposition include Product/Service Attributes (Performance/ Functionality considerations such as quality, timeliness or price), Image and Relationship.
Mission - A mission statement defines why an organization exists; the organization's purpose
Performance Measures - Performance Measures are metrics used to provide an analytical basis for decision making and to focus attention on what matters most.  Performance Measures answer the question, 'How is the organization doing at the job of meeting its Strategic Objectives?'  Lagging indicators are those that show how successful the organization was in achieving desired outcomes in the past.  Leading indicators are those that are a precursor of future success; performance drivers.
Perspectives - A Perspective is a view of an organization from a specific vantage point.  Four basic perspectives are traditionally used to encompass an organization's activities.  The organization's business model, which encompasses mission, vision, and strategy, determine the appropriate perspectives. 
Strategic Initiatives - Strategic Initiatives are programs or projects that turn strategy into operational terms and actionable items, provide an analytical underpinning for decisions, and provide a structured way to prioritize projects according to strategic impact.  Strategic Initiatives answer the question, ‘What strategic projects must the organization implement to meet its Strategic Objectives?’
Strategic Objectives - Objectives are strategy components; continuous improvement activities that must be done to be successful.  Objectives are the building blocks of strategy and define the organization's strategic intent.  Good objectives are action-oriented statements, are easy to understand, represent continuous improvement potential and are usually not 'on-off' projects or activities.
Strategic Result - Strategic results are the desired outcome for the main focus areas of the business.  Each Strategic Theme has a corresponding Strategic Result.
Strategic Theme - Strategic Themes are key areas in which an organization must excel in order to achieve its mission and vision, and deliver value to customers.  Strategic Themes are the organization's "Pillars of Excellence.“
Strategy Map - A Strategy Map displays the cause-effect relationships among the objectives that make up a strategy.  A good Strategy Map tells a story of how value is created for the business. 
Strategy - How an organization intends to accomplish its vision; an approach, or “game plan”.
Targets - Desired levels of performance for performance measures
Vision - A vision statement is an organization's picture of future success; where it wants to be in the future
Source: © 2007 by the Balanced Scorecard Institute, a Strategy Management Group company. All rights reserved.

34. Technology: Enables Information Flow A mix or proprietary and off-the-shelf tools support Rare
Purpose: Project management of campaigns, organizing and storing campaign data
Audience: Leadership team, Quality Management
Reports: Pride Scorecard, Summary Reports, Weekly Flash Reports
Purpose: Managing fundraising and the Pride application process
Audience: Development team, Recruiting/Partnerships team
Reports: Fundraising status, cohort development
Purpose: Managing timesheets, vacations, etc.
Audience: Finance team
Reports: Hours of training, vacation balances, expenses
Purpose: Budgeting, tracking expenses, handling payroll
Audience: Finance team
Reports: Budget-to-actual, expense summaries
Purpose: Outline organization’s Balance Scorecard
Audience: Department heads, Board
Reports: Organization-wide and departmental balanced scorecards

35. Fully implemented Balanced Scorecard
Source: © 2007 by the Balanced Scorecard Institute, a Strategy Management Group company. All rights reserved.