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A dashboard or scorecard is an easily readable one-page summary of key performance indicators for an organisation, a business unit, or a division or an individual leader.

A dashboard contains both quantitative and qualitative data at monthly, quarterly or annual intervals for the key performance indicators.

The purpose of maintaining a dashboard or scorecard of key performance indicators is to manage the overall health of your organisation through a mixture of lead, and lag indicators. Lead indicators provide early warning of possible difficulties. Lag indicators indicate results.

Most companies have organisational dashboards at two levels—an organisation–wide dashboard, and a business or working unit dashboard that reflects the individual responsibilities of each of the members of the leadership team. These dashboards are regularly reviewed by the leader and the leadership team.

A dashboard for an organisation should include causal indicators, output indicators, and outcome indicators. Causal indicators are usually lead indicators. They provide quantitative and qualitative data about situations that are causing dysfunction and if left unchecked could result in significant performance issues. For more information on these three types of indicators go to Measuring Performance.

The key causal predictor of performance in any organisation, business unit or division is the level of cultural entropy. Cultural entropy is highly correlated with employee engagement and revenue growth. Low levels of entropy lead to high levels of employee engagement and revenue growth. High levels of entropy lead to low levels of employee engagement and revenue growth.

As far as leaders are concerned, low levels of personal entropy are correlated with low levels of cultural entropy, and high levels of personal entropy are correlated with high levels of cultural entropy. One of the key impacts of a breakdown in internal cohesion and internal stability is a rise in cultural entropy.


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