Satellite Clinic: Developing a Balanced Scorecard & Key Metrics

This presentation outlines the process of developing a balanced scorecard to assess the financial viability of opening a satellite clinic. It identifies and describes key financial metrics such as net revenue and sales growth year-to-date, alongside non-financial metrics including market share, demographics, customer relations, and innovation. The presentation explains the significance of these metrics in evaluating the clinic's potential success and details how each metric affects planning for the new clinic. It further elaborates on setting up a monitoring and adjustment program to ensure the new clinic's success through continuous evaluation and strategic realignment. The presentation concludes that opening the satellite clinic is feasible based on a comprehensive assessment using both financial and non-financial factors.

DEVELOPING A BALANCED
SCORECARD
Satellite clinic

INTRODUCTION
 This PowerPoint presentation reflects the
learning exercise in which the being the
business it has been asked to research for
the financial viability of opening a satellite
clinic.
 In addition, it includes the things that the
manager will measure to determine if they
will open the Satellite clinic.

FINANCIAL AND NON-FINANCIAL
METRICS
 Net revenue
 Return on total
assets
 Return on capital
employed
 Sales growth year to
date
 Operating expenses
 Market share
 Demographics
 Customer relations
 Customer
experience
 Company reputation
 Competitiveness
 Innovation
Financial Non-Financial

SELECTION OF METRICS
The list of the financial and non –financial metrics
helps the company in making the selection for the
most important. The selected metrics include
 Net revenue- Internal
 Sales growth year to date- Internal
 Market share- External
 Demographics- External
 Customer relations- External
 Innovation- Internal
Financial Non-
Financial Metrics

SIGNIFICANCE
The significance of these metrics is: -
 It includes both financial and non-financial
metrics which helps in checking the viability
from both the perspective for the clinic.
 These metrics guide management for right of
the new clinic and their success in the
market.

GATHERING OF DETAILS
 The details can be obtained and gather from
the annual report of the company who is
willing to open a satellite clinic. The annual
report will include all the details which are
must to be transparent to the investors and
stakeholder due to which it includes all the
financial and non-financial metrics.

DESCRIPTION OF METRICS
 Net revenue: - It is the amount of a company's
revenue net of discounts and returns. The
importance of net revenue is this that it helps
the company in getting the exact amount which
is earned by them through the entire operations
of the clinic.
 Sales growth year to date: - The growth in
the sales from the year to date is the indicator
that reflects the rise in profit of the satellite
clinic. It is the strategic indication which is used
by the management to make the decision.

CONTINUE…
 Market share: - Market share is
the % of a market accounted for
and by a specific entity. It helps
the companies in measuring the
market leadership and their
success that is related to other
companies in the same market.
 Demographics: - The
demographics include the data
related to the population that
are present. In the market
demographic vary for the
business.

CONTINUE…
 Customer relations: - The customer relations
are must to be formed by the clinic in the present
market. The relation takes place between the
business and the person who is making use of
services and product offered by the clinic.
 Innovation: - The innovation is a new idea or
method that is used by the business in the
market for operating the business and for offering
the effective services to the customers.

EACH METRIC AFFECT THE PLANS
FOR THE NEW CLINIC
Both the financial and the non-financial metric
can affect the plans related to the new clinic
which is discussed below: -
 Net revenue is a must for the survival of the
Satellite clinic because if in case the clinic is
not able to attain the profit then they will be
no plans for opening a new clinic.

CONTINUE…
 Sales growth can affect the
plans for the new clinic
because the growth will decide
the future steps.
 If the satellite clinic is able to
achieve the good sales growth
then the business will expand
its operations further but in
case it is not able to achieve
the desired growth then
Satellite clinic need to adopt
some strategies.

CONTINUE…
 Market share has a direct effect on plans; the
good market share comes when the need of
the satellite clinic will increase in the market
and this sort of business is able to acquire
the large % of the market.
 The preference of the demographic and
needs of the people for the satellite clinic
leads to the formation of the plans for the
new clinic and this is found that the need of
such clinic is likely to increase.

CONTINUE…
 The customers are forming the relations with
the clinic doctor to get the good treatment.
Moreover, the clinic also tries to form the
relations with more people so that they can
bring the rise in demand which affects the
new clinic plans.
 The new innovation in the satellite clinic can
bring the changes in plan or update in same.
Along with this, the innovation can also stop
the plans for the new clinic.

SET UP A MONITORING AND
ADJUSTMENT PROGRAM
Required steps
 Determining the purpose and scope of
monitoring and evaluation
 Review the concepts and objective of clinic
 Assessing the stakeholders information
needs
 Formulate the indicator and data
 Organizing the data
 Critically organizing the events and
processes
 Developing reporting and communication
process

MONITORING, EVALUATING, AND
ADJUSTING STRATEGY LEADS TO
SUCCESS OF NEW CLINIC
 Monitoring and evaluation is essential for
determining the most valuable and efficient use
of resources.
 Monitoring and evaluation offer the necessary
data which leads to effective strategic planning
and leads to the success of new clinic.
 The allocation and re-allocation of resources can
be done effectively which helps in success of
operations.

TWO EVENTS THAT CAN
SUCCESSFULLY BE MONITOR
 Setting the goals
 Identifying the
actual data
 Comparing it with
the set goals
 Implementing
strategies
 Setting the audit
process
 Conducting the
audit
 Identifying the gaps
 Taking prompt
actions
Monitoring of KPI Monitoring of internal
control System

CONCLUSION
 In the end, it can be concluded that it is
feasible to open the Satellite clinic.
 The financial and non-financial metrics has
been used to assess the viability.
 Each of the metrics is described with its
impact on business.

REFERENCES
 Cunha Callado, A. A., & Jack, L. (2015). Balanced
scorecard metrics and specific supply chain
roles. International Journal of Productivity and
Performance Management, 64(2), 288-300.
 Himme, A., & Fischer, M. (2014). Drivers of the cost
of capital: the joint role of non-financial
metrics. International Journal of Research in
Marketing, 31(2), 224-238.
 Keyes, J. (2016). Implementing the IT balanced
scorecard: Aligning IT with corporate strategy.
Auerbach Publications.
 UN women. (2018). Why is monitoring and
evaluation important?. Retrieved from:
http://www.endvawnow.org/en/articles/331-why-is-
monitoring-and-evaluation-important.html