The Learning-and-Growth Perspective: Quality Improvements

What are the learning-and-growth drivers that improve internal-business-process quality? Formrob’s managers identify the following drivers: (1) recruiting outstanding design engineers, (2) training employees in quality management techniques, (3) lowering employee turnover, (4) increasing employee empowerment and satisfaction, and (5) creating a quality-first culture of identifying and eliminating the root causes of defects. Formrob measures the following factors in the learning-and-growth perspective in the balanced scorecard:

• Experience and qualifications of design engineers
• Employee training (percentage of employees trained in different quality-enhancing methods)
• Employee turnover (ratio of number of employees who leave the company to the average total number of employees)
• Employee empowerment (ratio of the number of processes in which employees have the authority to make decisions without consulting supervisors to the total number of processes)
• Employee satisfaction (ratio of employees indicating high satisfaction to the total number of employees surveyed)