How is a Scorecard Different from a Job Description?

The First Failure: Lacking a Blueprint

Before you hire a single person, ask yourself: do you and your entire team have a crystal-clear, shared definition of success for the role?

The first failure point in hiring is being unclear about what is needed in a job. Instead of a concise blueprint, most processes start with a generic, list-based job description that breeds internal debate.

The tool that solves this confusion is the Scorecard.

The Scorecard is your blueprint for success. It’s a foundational document in the A Method that defines A Performance in practical terms. It links the people you hire directly to your strategy, ensuring your A Players are focusing on the right outcomes.

Building the Scorecard: Three Critical Parts

The Scorecard is composed of three interconnected parts: Mission, Outcomes, and Competencies. Together, they clearly describe what a person must accomplish, and how.

1. Mission: The Essence of the Job

The Mission is the executive summary of the job's core purpose. It must be written in plain language, avoiding the "gobbledygook" of vague corporate speak.

The mission is also your defense against the all-around athlete trap. You need to hire the specialist for the problem at hand, not the most impressive generalist. Nick Chabraja, CEO of General Dynamics, learned that hiring a great generalist when he needed an operations specialist led to falling operating margins.

Crucially, the Scorecard must be an evolving document. As your strategy and business phases change, so must the definition of the required talent.

2. Outcomes: Defining What Must Get Done

Outcomes describe the results a person needs to accomplish in a role, replacing the focus on activities typical in old job descriptions.

Most jobs require just three to eight Outcomes, ranked by importance. They should be objective and observable. For a VP of Sales, this might be: "Grow revenue from $25 million to $50 million by end of year three".

Setting high, clear Outcomes serves a dual purpose:

Attraction: A Players thrive on big, specific challenges.
Deterrence: The clear targets will "scare off B and C Players" who prefer ambiguity.

This specificity is liberating for new hires because they know exactly what they will be judged on.

3. Competencies: Ensuring Behavioral Fit

Competencies define how you expect a new hire to operate. They must include traits critical for Cultural Fit. In our interviews, fully one in three CEOs and billionaires cited not evaluating cultural fit as a major reason for hiring mistakes.

Guard Your Culture: The Scorecard ensures that a new hire's behavior aligns with your company's values. A productive salesperson who is openly disrespectful is the wrong hire. As Centerbridge Partners, L.P. demonstrated, explicitly listing "treats people with respect" ensures you have the discipline to pass on behavioral risks.

Scorecard as a Strategic Tool

The Scorecard is not just a document used in hiring; it becomes the blueprint that links the theory of strategy to the reality of execution.

Translates Strategy: Scorecards translate annual business plans into clear Outcomes for the CEO, which then cascades down to the senior team, and so on.
Performance Management: It sets expectations, monitors employee progress, and objectifies your annual review system.

As the CEO of iHealth Technologies noted, linking the business plan to people’s jobs provides a "clear, focused approach" that helps managers and gives hires a higher likelihood of success.

Key Takeaways

End Ambiguity: Replace vague job descriptions with the Scorecard, the blueprint that defines A Performance based on clear outcomes and behaviors.
Define the Specialist: The Mission must be concise and specific, helping you hire the specialized talent needed for your urgent business problem.
Focus on Results: Outcomes must be objective and measurable (e.g., increase X by Y date), ensuring you pay for what must be done, not just activities performed.
Guard Your Culture: Competencies must include traits that ensure Cultural Fit, a factor cited by over 33% of business leaders as a key reason for hiring mistakes.