Creating a Compelling Scoreboard

Microfinance Supervisor’s ForumMarch 11-12, 2005

Crown Hotel, Naga City

Creating a Compelling Scoreboard

• A compelling scoreboard starts with clear goals.

• It emanates from a shared vision-mission of the organization.

• The vision-mission of the organization is owned by everyone – from top management to rank and file.

Creating a Compelling Scoreboard

• As managers and supervisors, yours is the RESPONSIBILITY for “operationalizing” this vision-mission.

• “Operationalizing” means translating the vision-mission into objectives and goals.

• How do we then “operationalize” the vision-mission?

Creating a Compelling Scoreboard

• Begin with the End in Mind! (Stephen Covey’s 7 Habits of Highly Effective People)

“Create a mental vision for any project, large or small, personal

or interpersonal.” “ Don’t just live day-to-day with no clear purpose in mind.”

“ Identify and commit yourselves to the principles, relationships

and purposes that matter most to you.”

A Compelling Scoreboard

• The importance of a scoreboard: People play differently when they’re keeping a score.

• Without a scoreboard, how does a team determine if it is winning or not.

• The benefit of the scoreboard then is that it tells us whether or not we are succeeding in our goals. Strategies and plans are built around the scoreboard.

• The scoreboard answers the questions: From what? To what? By when?

A Compelling Scoreboard

How to create a compelling scoreboard?

• Identify top priorities or “wildly important goals*” that the unit must achieve.

*WIG – these are goals that when we fail to attain them carries serious consequences and render all other achievements relatively inconsequential.

A Compelling ScoreboardHow to create a compelling scoreboard?

• Create a scoreboard for each one with these elements:

- The current result (where we are now)

- The target result (where we need to be) - The deadline (by when)

• Post the scoreboard and ask people to review it every day, every week, as appropriate. Meet over it, discuss it and resolve issues as they come up.

The Microfinance Unit Scoreboard

Name of Account Officers 2005 Monthly Loan Actual Week 1 Week 2 Week 3 Week 4Loan Releases Releases Target Accomplishment 104,167

Target 1/15/2005 312,501 625,002 937,503 1,250,004 1 Juan Dela Cruz 5,000,000 416,667 254,167 104,167 150,000 2 Pedro Bayani 5,000,000 416,667 200,000 100,000 100,000 3 Maria Liwanag 5,000,000 416,667 300,000 150,000 150,000

TOTAL 15,000,000 1,250,000 754,167 354,167 400,000

Bangko Pinoy

ROXAS BRANCH MFUMONTHLY/WEEKLY LOAN RELEASES

The Microfinance Unit Scoreboard

Name of Account Officers 2005 Cumulative Actual % ofLoan Releases Monthly Target Accomplishment Accomplishment

Target As of Jan. 29, 2005 As of Jan. 29, 2005 As of Jan. 29, 20051 Juan Dela Cruz 5,000,000 416,667 416,667 8%2 Pedro Bayani 5,000,000 416,667 416,667 8%3 Maria Liwanag 5,000,000 416,667 416,667 8%

TOTAL 15,000,000 1,250,000 1,250,001 8%

CUMULATIVE LOAN RELEASESROXAS BRANCH MFU

Bangko Pinoy

The Microfinance Unit Scoreboard

Juan Dela Cruz Pedro Bayani Maria LiwanagPerformance Indicators TOTALProjected Target

1 No. of Active Borrowers 150 100 130 3802 No. of New Borrowers 0 10 5 153 No. of Repeat Clients 25 10 20 55

Actual Accomplishment1 No. of Active Borrowers 150 100 130 3802 No. of New Borrowers 0 10 5 153 No. of Repeat Clients 25 10 20 55

Name of Account Officers

ROXAS BRANCH MFUNO. OF ACTIVE BORROWERS

For the Month of February

Bangko Pinoy

The Microfinance Unit Scoreboard

MFUJuan Dela Cruz Pedro Bayani Maria Liwanag

Performance Indicators TOTAL1 Loan Balance 2,575,000 1,800,034 2,200,689 6,575,723 2 PAR Amount over 7 Days 75,000 50,000 20,000 145,000 3 PAR Ratio over 7 Days 3% 3% 1% 2%4 PAR Amount over 30 Days 5,000 2,000 - 7,000 5 PAR Ratio over 30 Days 0.2% 0.1% 0.0% 0.1%

Name of Account Officers

ROXAS BRANCH MFUPORTFOLIO QUALITYAs of February 4, 2005

Bangko Pinoy

The Microfinance Unit Scoreboard

For Crecom ApprovalName of Account Officers New Loans Repeat Loans

1 Juan Dela Cruz2 Pedro Bayani3 Maria Liwanag

TOTAL

For Processing For Loan Disbursement

Bangko Pinoy

ROXAS BRANCH MFUMonitoring of MFU Activities

For Week 2: February 7-11, 2005

Assumptions

• Microfinance Loan Budget• Performance Standards• Adequate MIS• Staff Training Program• Effective Communication System