Question

Well, both leading and lagging indicators can be related to economic (financial) and non-economic (non-financial) factors.

For example, in my question above about measuring customer satisfaction, the number of projects or orders delivered on time or within the budget would leading indicators of customer satisfaction, whereas the customer satisfaction index and repeat customers would be lagging indicators of it.

So, suppose you have been asked to help a restaurant that is really struggling with its dining room experience, food choices, kitchen management, and overall profitability. Profit is declining because weekly sales are declining. Getting new customers and retaining existing customers has been an issue. What are some non-financial performance measures that you will recommend in building a balanced scorecard (in all three non-financial areas of it) for this business

Answer 1

Set customer expectations early- taking customer expectation from the restaurant into account through some interaction with the customer with loyalty and fulfil their expectation. this will enhance understanding with customers. it will help in making a good menu card.

Categorise customers into different categories and make strategy accordingly - there may be different categories of customers which can be identified and grouped in different categories according to income or services they need. this will help to provide services according to customers desire.

Take a survey after service through Email or SMS- Easy way to know your customer and how to enhance quality services. take feedback and make strategy.

Follow trnads of the best restaurant- There are always some best or ideal restaurant in terms of best dining system, food test, and other facilities which attract customers

These are some non-financial measure which can generally applied to get more customers. this measures should bo complemented with financial measures like best prices and cost saving etc.