What must targets in a scorecard be?

Targets in a scorecard must be numerical, and they can indeed be either positive or negative. This numerical nature allows for objective measurement and assessment of performance against specific goals. By setting targets in quantifiable terms, organizations can clearly evaluate their progress, make informed decisions, and identify areas that require improvement.

Establishing numerical targets also facilitates comparison over time and enables stakeholders to track trends and performance metrics effectively. The flexibility of having targets that can be both positive and negative acknowledges that there are various dimensions of measurement beyond just growth or improvement, including areas where a decrease may be desired, such as cost reduction.

In contrast, the other options do not adequately capture the essential nature of scorecard targets. While subjective and qualitative aspects can be important in some evaluations, they lack the precision needed for concrete performance measurement. Consistency and unchanging targets could hinder growth and adaptability, making it crucial for targets to evolve as the organization’s goals and objectives change over time. Defining targets solely in percentages would limit the scope and applicability of performance metrics, reducing the ability to measure certain essential aspects of performance that can also be expressed in absolute numbers.