A good strategy must incorporate not only the current business opportunities, but the results of the detailed risk analysis as well. Here are some opinions of BSC Designer users that mapped their Key Risk Indicators in BSC Designer.
Manage and Display Key Risk Indicators (KRIs) with BSC Designer
We use the software to control major indicators that will allows us to solve the development of a very specific software as efficiently as possible.
Berset, Project manager, GoldenTech, Switzerland
First we identified the major indicators associated with our activity. A risk analysis was conducted for each aspect very carefully. Then we have selected the more critical and relevant ones in order to fill our foreseen Balanced Scorecard.
At this stage, I decided to try BSC Designer Light software. I found it quite easy to use. First I entered the indicators data selected before. Software provided various ways to manage and display ongoing activities. Certainly, will I continue to use BSC Designer.
A note from developers
Glad to hear you discovered BSC Designer Light on time. This is a freeware edition of BSC Designer that provides basic functionality to manage KPIs. There are much more functions in Standard and PRO edition. Check out this table to see the difference.
In your case PRO edition could help a lot. I think that you had to manage the results of risk analysis in some way. The best idea is to map out the risk factors on the strategy map and how the relationship between each risk factor and risk control measure compares with others.
The next step is identifying key risk indicators (KRIs). In BSC Designer PRO there is a special type of measure units “Risk.” For risk indicators BSC Designer shows a risk diagram:
The good thing is that once you have the results of a risk analysis on a strategy map and you have KRIs on KPIs tab, then you can align these KPIs with risk factors from the map.
As you can see on the picture above, once KRI are aligned with risk factors, BSC Designer displays this next to the object on the strategy map. Finally, one can add a risk management plan using the “Initiatives” function in BSC Designer. These initiatives can be communicated to others using reports function and can be visualized on a dashboard.
In this way BSC Designer software can work as a single center to map the results of your research, manage your KRIs and generate reports to stakeholders.
Business Risk Management with the Balanced Scorecard
We are using BSC Designer for the business risk hazard management relating to to all occupational health, safety and environmental.
Mr. Tony Barnes, Senior HSE Advisor
Saizeriya Australia, Melton
Having used the program, I was pleasantly surprised as to how versatile the product was and how relevant to the intended context it was trialed for. My associates have been looking for a product to suit the manufacturing component of the business and may consider looking at the program in more depth in the near future.
A note from developers:
There were a lot of discussions about risk management and the Balanced Scorecard. It seems that both business frameworks are talking about the same problem, but are trying to solve it from different points of view. The Balanced Scorecard concept focuses on the strategy planning and execution, which is obviously not possible without researching and managing risks.
In its turn professionals from risk management communities insist that risk management is a separate discipline and should be treated accordingly. As far as we know from the discussions on LinkedIn some authors are preparing to publish books about Risk Management and the Balanced Scorecard in 2014. I think it will be interesting to explore their ideas. Probably we will see a new hybrid concept soon.
As a developers of BSC Designer, a business performance management software, we were following requirements from our users and tried make it easier map and manage risks in the Balanced Scorecard. In BSC Designer one will find a special “risk” measure units for a KPI item.
One can change the measure units to risk for any KPI. BSC Designer will treat this KPI as a KRI (Key Risk Indicator). Risk manager will be able to enter risk probability and impact. BSC Designer will also show a risk diagram that is a standard risk visualization mean.