The Strategy MapPresentation Templates
The Strategy Map
• A Strategy Map is a diagram that describes how a company or organisation can create value by linking strategic objectives in a cause and effect relationship.
• It is based on the four Balanced Scorecard Perspectives: Financial, Customer, Internal Processes and Learning & Growth.
• The key element of the Strategy Map is that it is linked to the ‘scorecards’ that monitor the progress towards the Strategic Objectives.
• The ‘scorecards’ will include: metrics, targets for the metrics and strategic initiatives to drive performance towards achieving the objectives.
The Balanced Scorecard
• The Balanced Scorecard is a strategic planning and management method used to: • align business activities to a vision and strategy of an organisation • improve internal and external communications • monitor organisational performance against strategic goals.
• The design of Balanced Scorecard concerns itself with: • the identification of a small number of financial and non-financial
measures referred to as Perspectives• setting targets for the measures and then • measuring them on a regular basis to determine success or failure.
Customer Value Proposition
Strategy Map – Classic Kaplan/Norton
Productivity Strategy
Operations Management Processes
SupplyProductionDistribution
Risk Management
Customer Management Processes
SelectionAcquisitionRetentionGrowth
Innovative Processes
Opportunity IdentificationR&D Portfolio
Design / DevelopLaunch
Regulatory and Social Processes
EnvironmentSafety and Health
EmploymentCommunity
Human Capital
Information Capital
Organisational Capital
Product / Service Attributes
Long-Term Shareholder Value
Improve Cost Structure
Increase Asset Utilisation
Expand Revenue Opportunities
Enhance Customer Value
Growth Strategy
Relationship Image
Price Function Service Partnership BrandQuality Availability Selection
Culture Leadership Alignment Teamwork
FinancialPerspective
CustomerPerspective
InternalPerspective
Learning &GrowthPerspective
CustomerPerspective
Internal Perspective
Learning & GrowthPerspective
Financial Perspective
Strategy Map - Generic example
Improve Cost Structure
Increase Asset Utilisation
Enhance Customer
Value
Expand Revenue
Opportunities
Price Quality Availability Selection Function Service Partnership Brand
Productivity Strategy Revenue Growth Strategy
Production Service Attributes Relationship Image
Operations Management Processes
Processes that produce and deliver products and
services
Customer Management Processes
Processes that enhance customer value
Innovative Processes
Processes that create new products and
services
Regulatory and Social Processes
Processes that improve communities and the
environment
Human Capital
SkillsTraining
Knowledge
Information Capital
SystemsDatabasesNetworks
Organisational Capital
Skills / TrainingKnowledgeTeamwork
Sustained Shareholder Value
+ +
Customer Value Proposition
Vision: Leading with inspiration and courage, passionate about future possibility and change
Mission: Managing with greatness and strength, improving everything daily
CustomerPerspective
Internal Perspective
Learning &GrowthPerspective
Customer Intimacy Technology Driven Operational Excellence
Financial Perspective
Increase Shareholder Value
Leader in defined Markets
Achieve profitabilityAdd New Revenue Stream
Trusted Advisor
Deliver Added Value
Satisfy All Needs
Flexible Solutions
Deliver Complete Solutions
Consistently Exceed
Expectations
Frequent Repeat
Business
Build Lifelong Relationships
Capture and Utilise
Knowledge
Build 3rd Party Relationships
Create Enterprise Solutions
Integrate Business
Processes
Improve Resourcing
Services
Effective Cost MgmtImprove
Solution Processes
Develop Relationship Skills
Improve Industry Knowledge
Improve Solution Management
Engender Innovation
Improve Operational Mgmt Skills
More Successful Career Planning
Example with ‘Strategic Themes’
Relationship Management
Innovation Operational Excellence
Public sector example
Value to Taxpayer
Safe Convenient
Bus Services
Clear and Accurate
Timetables
Support Business and
Commerce
On Time as Promised
Create Business Cases and Secure Funding
Balance Budget
Lower Cost of Bus Transportation Services
Highly Skilled Bus DriversEmpowered Customer Service
AgentsIntegrated Knowledge Management Systems
Easy to do Business With
Streamline Regulatory Approval
Processes
Improve Sustainability
of Communities
Open and Frequent Communication to Impacted
Customers
Optimise Planning of Bus Stop Position and
Construction
Drive Innovation in New Transport Systems
Accelerate Economic
Development through Route
Investment
Develop and Introduce New
Transport Technology
Understand New Route Needs (and Old)
Deliver World Class Bus Services
Provide Cost Effective Solutions
Optimise Availability of Busses
Improve All Aspects of Bus
Safety
StakeholderPerspective
CustomerPerspective
Inte
rnal
Pro
cess
esP
ersp
ecti
ve
Learning &GrowthPerspective
Process Perspective
Customer Perspective
Financial Perspective
Learning & Growth Perspective
How should we appear to customers?
At what do we need to excel to fulfill customer expectations?
How will we sustain our ability to improve?
What are our most important financial outcomes?
Empty template
Financial Perspective
Customer Perspective
Internal Perspective
Learning and Growth Perspective
Theme one Theme Two Theme Three
Focus on Internal Themes
Internal Themes + Vision and Mission
Financial Perspective
Customer Perspective
Internal Perspective
Learning and Growth Perspective
Theme one Theme Two Theme Three
Company Core Value Statement
Company VISON Statement
Company MISSION Statement
Internal Themes + Vision
Financial
Customer
Internal
Learning and Growth
Core Value:
Vision:
Internal Themes + Vision
Financial
Customer
Internal
Learning and Growth
Vision
Internal Themes + Vision
Customers
Productivity
Risk and Capital Management
People
Vision
Core Value:
Internal Themes + Vision
Customers
Productivity
Risk and Capital Management
People
Vision
Core Values:
Template with Mission, Vision and Themes
Mission: Vision:Company Name
Financial
Customer
Internal
Learning
Strategic Objective 1 Strategic Objective 2
Strategic Objective 3
Strategic Themes Theme One Theme Two Theme Three
A Less Colourful Version
Mission: Vision:Company Name
Financial
Customer
Internal
Learning
Strategic Objective 1 Strategic Objective 2
Strategic Objective 3
Strategic Themes Theme One Theme Two Theme Three
A Slightly Different Approach
Financial
Learning
InternalCustomer
Vision: Mission:
A More Radical Approach
• This circular version is occasionally used to focus everything towards the mission and strategy, as a rally-call it works well. However it lacks in its ability to present causal linkages
• Tesco used this approach during their ‘Every Little Helps’ campaign
Cus
tom
er Internal
Financial
Learning
MissionVision
Mission
Financial Objective 1
Customer Objective 1
Learning Objective 1
Internal Objective 1
The Quickscore Application
• Software is not required to implement a Strategy Map or Balanced Scorecard, but it does help.
• A good software tool will allow user to:• create meaningful Strategy Maps with minimum fuss• organise key metrics in a meaningful way• display data and combinations of data• provide management teams with a clear business overview• allow users to input data easily and frequently• Provide the means to ‘drill down’ to the underlying data should the
need arise to question a specific activity
• KYODO recommends the product to those companies that want to take a structured approach to rolling out Strategy Maps and Balanced Scorecards
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