Internal Benchmarking - Case for the Fair Scorecard

Quality improvement, customer engagement, performance metrics, pay-for-performance are all expressions used in conjunction with improvement and performance measurement programs within organizations. In any program, data are collected over time, and performance measures are calculated and evaluated for the organization and components of the organization. These studies established performance criterion from either internal or external benchmarks, establishing comparison rules using trended data or across reporting units within the organization.

In this paper, we examine the use of internal benchmarks, and we introduce the concept of fair scorecards. We present a case study from the managed healthcare industry illustrating an internal benchmark that can be unfair and how the fair scorecard approach is applied.

In this video, John Vidmar, President of U.S. Public Affairs, discusses the process of Ipsos' fair scorecard approach.

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