Begin your journey toward a more balanced life, and pursue your biggest dreams with a personal balanced scorecard.
We all want and need balance in our life.
Today, America faces what many describe as a mental health crisis, dimming the collective happiness of the nation. For instance, 1 in 5 U.S. adults live with mental illness, according to the Centers for Disease Control and Prevention. Plus, 50% of Americans state they aren’t “very satisfied” with their lives, as reported in a 2023 study by Gallup.
Stress, work pressures, and an “always-on” culture aren’t harmonious with human wellness. It’s easy to get pulled away from what truly matters in the whirlwind of modern life.
What you need is balance. You need to balance your time and efforts across 8 categories: health, relationships, wealth, work, home, leisure, growth and purpose.
Understand that your time is precious; channeling all your energy into one area of life demands sacrifices elsewhere. However, by distributing your time among various meaningful pursuits, you’ll experience a deeper sense of fulfillment and harmony in your life.
The personal balanced scorecard is a simple technique that can redirect your attention to what matters. Drawing from business, this approach will empower you to craft life habits and prioritize your time for activities that cultivate harmony.
In this GoodLiife article, you’ll learn what a personal balanced scorecard is, and how you can apply this method in your life using the given 4-step guide.
What Is a Personal Balanced Scorecard?
You’ll learn more about the personal balanced scorecard later in this article, with a step-by-step guide on crafting your own.
What may surprise you is that this approach isn’t new – the technique has been borrowed from the business world. Yes, you heard it right! Originally designed for businesses, the Balanced Scorecard approach helps managers understand where the business is doing well, where the business can do better, and how the business can operate more smoothly.
Use the Business Balanced Scorecard for Your Life
The Balanced Scorecard was developed by Robert S. Kaplan and David P. Norton, proposed in 1992, and published by the Harvard Business Review.
The approach begins with a company’s vision statement – what is the business trying to do?
Next, this vision is used to set business goals according to the following four categories:
- Business financial performance;
- Business customers;
- Internal operations within the business;
- Innovation and learning;
These goals direct action to support each category, with key measures set to track progress.
Balanced Scorecard Image
Now that you understand how the business Balanced Scorecard works, it’s time to think about: How can you implement this system to enhance your life?
How to Create a Balanced Scorecard (4-Step Guide)
To adapt the Balanced Scorecard approach to your own life, you must translate each business category into a personal one. To save you time, this has been done for you below.
- Business Financial Performance → Personal Financial Health
- Business Customers → Your Relationships
- Internal Operations Within the Business → Your Physical and Mental Health
- Business Innovation and Learning → Self-Growth and Personal Development
With the above in mind, you’re now ready to personalize this approach by completing the below 4-step guide.
Step #1: Define Your Life’s Vision
Your life vision is a reflection of your deepest values, passions, and the impact you wish to make on yourself and the world.
Pause for a moment to consider what truly moves you and what lofty heights you aim to reach. Then, distill these thoughts into a crystal-clear statement that embodies your aspirations. This is your life’s vision.
Examples include:
- “I will prioritize my relationships with loved ones and dedicate my time and resources to helping those in need.”
- “I will make a positive difference in the world by living sustainably, supporting nature, and helping those less fortunate. I will work hard but ensure my work doesn’t detract from time spent with loved ones.”
- “I will achieve financial independence to support my family and friends. I will strive to continuously learn new things and become an expert in my field.”
- “My time is my priority. I want to have enough time to pursue my hobbies, have adventures, and spend quality time with loved ones.”
Hopefully, you get the gist. Complete step #1 by writing out your own life’s vision statement.
Step #2: Define Your Category-Specific Goals
Next, use your life’s vision to shape your goals in each category of your balanced scorecard.
Your goals should be specific, measurable, and time-bound objectives that propel you toward your life’s vision (step #3 will help you set such goals).
For step #2, consider the following questions:
Finance
- What are your financial needs and aspirations?
- What financial obligations do you have?
- How well are you meeting your financial needs currently?
Example Goal: “Expand my skill set and secure a 2% pay raise within the next year.”
Personal Relationships
- How often do you connect with loved ones?
- Do you have a supportive inner circle?
- Do your relationships uplift you?
Example Goal: “Plan weekly date nights with my partner to explore new hobbies together.”
Physical and Mental Health
- What activities boost your well-being?
- Do you prioritize self-care?
- How do you manage negative thoughts?
Example Goal: “Start each day writing down 3 things I’m grateful for and practice 10 minutes of meditation daily.”
Self-Growth and Learning
- How do you prefer to learn?
- What subjects interest you?
- What skills do you want to develop?
Example Goal: “Devote 10 minutes daily to learning French, aiming to reach B1-B2 proficiency by the year-end.”
Write out a few goals for each category to enrich your balanced scorecard journey.
Step #3: Reflect and Refine Your Personal Goals
Once you’ve defined your goals and written them down, take some time to reflect on each one. You can use the SMART criteria to ensure your personal goals are:
- Specific: Clearly state what you want to accomplish.
- Measurable: Identify how you will track and quantify your progress.
- Achievable: Determine if your goal is realistic and within reach.
- Relevant: Ensure that your goal aligns with your life’s vision.
- Time-bound: Set a deadline or time frame for achieving your goal.
Step #4: Track Your Progress
Once you’ve outlined your goals within each category, you’ll need to devise a way of monitoring your progress.
One tip would be to use a journal to check off small daily victories like practicing gratitude, staying hydrated, and exercising. You can use your online calendar or phone reminders to ensure you complete daily tasks that align with each goal.
As the month draws to a close, reflect on each facet of your life. For instance, for the relationship goal example given above, you could ask yourself: “How has the quality of my relationship improved now that I’ve committed to weekly date nights?”
Utilize the GoodLiife Scorecard as your trusty companion to complete this step. The GoodLiife Scorecard will ask you how you feel about different areas of your life now that you’re working toward your new goals. This is your monthly check-in to track your progress. Here you can celebrate your wins, and pinpoint life areas for improvement.
Think about:
- Are there new goals and aspirations to be added?
- Are there challenges hindering your progress that need a fresh approach?
- Are there certain goals you’re finding difficult to implement? How can you ensure you complete these goals for a more balanced life?
This review stage is very important, as it will ensure you continuously progress toward your life’s vision while creating a fulfilling and balanced life.
Create a Balanced Life Using a Personal Balanced Scorecard
By defining your life’s vision and setting specific goals across key categories like finance, relationships, health, and personal growth, you empower yourself to live a more intentional and harmonious life.
Be sure to use the GoodLiife Scorecard to reflect on your progress each month, and to regularly refine your goals. This will help you stay aligned with your vision and continue to evolve toward your fullest potential.
So, what are you waiting for? Use this 4-step guide to create your unique personal balanced scorecard. Your future self will thank you for it.
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