STRATEGY MAP TEMPLATES 1

STRATEGY MAP TEMPLATES 1

Focus, focus, focus! “Any intelligent fool can make things bigger and more complex. It takes a touch of genius – and a lot of courage – to move in the opposite direction” Albert Einstein A strategy map will allow you display your entire strategy on a single page 2

What is a 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 Organisational Capacity. The key element of the Strategy Map is that it is linked to a ‘scorecard’ that monitors the progress towards the Strategic Objectives. The ‘scorecard’ will include: objectives, measures, targets and strategic initiatives/projects to drive performance towards achieving your vison and goals. 3

Templates 4

Classic Generic Kaplan and Norton Style Growth Strategy Productivity Strategy Financial Perspective Long-Term Shareholder Value Improve Cost Structure Expand Revenue Opportunities Increase Asset Utilisation Customer Value Proposition Customer Perspective Price Quality Availability Selection Function Service Product / Service Attributes Internal Perspective Enhance Customer Value Partnership Relationship Brand Image Operations Management Processes Customer Management Processes Innovative Processes Regulatory and Social Processes Supply Production Distribution Risk Management Selection Acquisition Retention Growth Opportunity Identification R&D Portfolio Design / Develop Launch Environment Safety and Health Employment Community Organisational Capacity Human Capital Information Capital Organisational Capital Culture Leadership Alignment Teamwork 5

Private sector example with ‘strategic themes/priorities’ Increase Shareholder Value Financial Perspective Improve position in Defined Markets Customer Intimacy Customer Perspective Technology Driven Improve Advisor Position Improve Flexible Solutions Increase Added Value Internal Perspective Increase Knowledge Base Usage Strengthen 3rd Party Relationships Organisational Capacity Improve Integrated Business Processes Operational Excellence Improve Repeat Business Rate Improve Resourcing Services Improve Solution Processes Improve Cost Manageme nt Improve Operational Management Skills Enhance Relationship Skills Improve Industry Knowledge Increase Profitability Increase Revenue Streams Improve Solution Management Enhance Career Planning 6

Public Sector example with content and strategic themes Customer & Stakeholder Value to Taxpayer Safe and Convenient Bus Services On Time as Promised Financial Balance Budget Support Business and Commerce Internal Processes Relationship Management Streamline Regulatory Approval Processes Easy to do Business With Improve Sustainability of Communities Open and Frequent Communication to Impacted Customers Optimise Planning of Bus Stop Position and Construction Organisational Capacity Highly Skilled Bus Drivers Lower Cost of Bus Transportation Services Create Business Cases and Secure Funding Innovation Drive Innovation in New Transport Systems Accelerate Economic Development through Route Investment Develop and Introduce New Transport Technology Understand New Route Needs (and Old) Empowered Customer Service Agents Operational Excellence Deliver World Class Bus Services Provide Cost Effective Solutions Optimise Availability of Busses Improve All Aspects of Bus Safety Integrated Knowledge Management Systems 7

Capacity Processes Customer Financial Basic strategy map background 8

Basic empty template with oval objectives Financial Perspective What are our most important financial outcomes? Customer Perspective How should we appear to customers? Process Perspective At what do we need to excel to fulfill customer expectations? Organisational Capacity Perspective How will we sustain our ability to improve? 9

Empty frame with vision, purpose and core values Vision: Purpose: Financial Customer Internal Processes Organisational Capacity Core Values: 10

Multi coloured with branding Financial Acme Strategy Map Improve Improve Revenue Revenue Customer Improve Improve Marketing Marketing Process Improve Improve Processes Processes Capacity Improve Improve Knowledge Knowledge 11

An integrated strategy map with content Vision Transforming people’s lives positively through an interconnected information society Purpose We will build a connected society that enhances socio-economic progress, embraces everyone and does not come at the cost of our planet. Strategic Priorities Strategic Results Content Partnerships Customer Service Strong supply chain for content and information services, exclusive agreements Clarity in offering that surpasses anything in the market today, best user interface Strategic Objectives Financial Increase Profitability Increase Revenue Customer Improve Clarity of Offering Internal Processes Organisational Capacity Improve Offering Selection Improve Market Perception Improve Informatio n Services Improve Knowledge and Skills Customer Focus Decrease Operating Costs Improve Customer Satisfactio n Improve Cost Control Improve Stock Reliability Improve Technology - Integrity Brand Awareness Improve Supply Chain - Quality - Reinvigorated brand based on successes, to attract a wider and younger audience KPIs Targets Projects Net profit Operating costs Revenue in target markets 5% per year 3% per year 12% per year Implement new financial accounting system % Market share index % Customer satisfaction index % Focus group user index 3% per year Simplify billing operations Competitive end user requirements market studies for new UK regions 85% this year “Improve the Offering” two year programme 90% each focus session Create improved offering selection process New products as % of sales Brand awareness score Cost efficiency index 12% this year Hook into ‘Improve the Offering’ programme Employee development plans Technology training index Supply chain efficiency index 95% in place Helpfulness - 5% per year 90% every reporting period 90% efficient 95% Community - Training programme for new offerings and user interface Product and marketing training programme 2 year content supply agreements Technology improvement programme including data centre upgrade Efficiency 12

Blank copy version Vision Vision Purpose Purpose Strategic Priorities Priority 1 Priority 2 Priority 3 Strategic Results Strategic Objectives Financial KPIs Targets KPI Target Strategic Objective Projects Project Project KPI Customer Target Internal Processes Organisational Capacity Core Value - Core Value - Core Value - Core Value - Core Value 13

Strategy map section isolated Transforming people’s lives positively through an interconnected information society A connected society that enhances socio-economic progress, embraces everyone and does not come at the cost of our planet Content Partnerships Brand awareness Financial Customer Service Increase Profitability Increase Revenue Decrease Operating Costs Customer Improve Market Perception Improve Clarity of Offering Internal Processes Improve Offering Selection Organisational Capacity Improve Information Services Improve Knowledge and Skills Honesty - Integrity Improve Customer Satisfaction Improve Cost Control Improve Stock Reliability Improve Supply Chain Improve Technology - Helpfulness - Community - Efficiency 14

Rectangular objectives rather than ovals Vision Strategic Themes Financial Theme One Strategic Objective 1 Company Name Theme Two Purpose Theme Three Strategic Objective 2 Strategic Objective 3 Customer Internal Capacity 15

A different approach (does not lend itself to causal relationships) Vision: Mission: Financial Internal Customer Capacity 16

A radical approach Financial a Fin je Ob ial nc cti ve 1 a ern Int Vision Mission 1 a Le in rn gO er tom s Cu ve cti e j Ob e1 Internal Customer Mission tiv jec b lO 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 ve cti bje 1 Tesco used this approach during their ‘Every Little Helps’ campaign Learning 17

Using Spider Impact to create strategy maps Software is not required to implement a Strategy Map or Balanced Scorecard, but it really helps. 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 Intrafocus recommends Spider Impact as the best tool to manage strategy maps 18

Thank You 19