Strategy maps let an organization describe and illustratein clear and general languageits objectives, initiatives, targets markets. We find that in simple competitive situations there is a onetoone mapping between strategy and business model, which makes it difficult to separate the two notions. From the originators of the balanced scorecard system, strategy maps is a new book that explores how companies can best their competition. At the core of the disruptive innovation theory developed by harvard business school professor clayton christensen is a simple principle. It must deliver greater value to customers or create comparable value at a lower cost, or do both. After publication of the 1992 hbr article, several companies quickly adopted the. It maintains a solid structure while allowing for a great deal of flexibility, so it can represent virtually any segment you operate in and your unique strategy if youre just getting started with your strategy mapping initiative and are looking for some templates and examples, youre in the right spot. A complete strategy map template including examples. Strategy maps provide a disciplined way of linking hypotheses about your. The strategy mapping mag serves as a reference for four principle interest groups. Download it once and read it on your kindle device, pc, phones or tablets. Our balanced scorecard roll out has been fantastic in helping with conversations and dialogue. T ool k it by thoroughly mapping the the customer done, a.
Th en we show how visual strategy mapping vism is an extremely powerful method to support strategic planning. A strategy map is a diagram that shows your organizations strategy on a single page. But when it comes to creating innovative growth businesseswhich is at least as complicated as professional footballmost companies have not developed detailed game plans. In the complex sport of american football, teams rely on playbooks as thick as the manhattan phone directory. Agency strategy map program strategy maps what is strategy mapping. By translating their strategy into the logical architecture of a strategy map and balanced scorecard, organizations create a common understandable point of reference for all their units and employees. Management white paper how to design a strategy map. Strategy mapsconverting intangible assets into tangible outcomesrobert s. Mapping out strategic success article pdf available in journal of the operational research society 655 may 2014 with 1,826 reads how we measure reads. The balanced scorecard strategy map provides a framework to illustrate how strategy links intangible assets to valuecreating processes. As a result, japanese manufacturers enjoyed substantial cost and quality advantages for many years. Org this article is made available to you with compliments of the enterprisers project for your personal use.
We worked with the retailer to create a roadmap with action plans across all channels to provide a more integrated customer experience. Done right, it produces clearly defined objectives with measurable results. Use features like bookmarks, note taking and highlighting while reading hbrs 10 must reads on strategy including featured article what is strategy. This management white paper explains that creating a strategy map is the most important step in building a corporate performance management system or a balanced scorecard. Strategy maps harvard business publishing education. Balanced scorecard, strategy mapping has been the subject of. A strategy map is a visual framework for the corporate objectives within those four areas. Niraj dawar is a professor of marketing at the ivey business school, canada. Many mission and vision statements are often mistakenly portrayed as the ultimate objective to be achieved satisfied customers, service excellence, bestinfield, market leader, lowcost provider and. Its great for quickly communicating bigpicture objectives to everyone in the company. The process of circle mapping prompts leadership teams to formulate a growth strategy by visually mapping the value proposition for future customers in relation to the firms capacity to access the resources and capabilities needed to successfully occupy those spaces. The first diagrams of this type appeared in the early.
Part introduction to strategy 1 mapping w e start part one with a brief discussion of what strategic planning and strategy are. Kaplan and others published having trouble with your strategy. The balanced scorecard has four common perspectives. One of the most important tasks during strategy making is the management of the interface between the many often competing demands of an organizations different stakeholders in relation to its strategic goals. As part of our strategy execution training, we work with business professionals to create a prototype of their balanced scorecard strategy maps. A strategy map is a diagram that is used to document the primary strategic goals being pursued by an organization or management team.
By mapping out every step of the job and locating opportunities for innovative solutions, companies can discover new ways to differentiate their offerings. From the originators of the balanced scorecard system, strategy maps how. Norton robert kaplan is the professor of leadership development at harvard business school. A wellthoughtout strategy map is a beautiful thing. It is a principle method of aligning, planning and communicating the overall business direction and strategy. Mapping your corporate strategy, hbr working knowledge interview with robert kaplan strategy map offers a framework for articulating strategy in a variety of contexts strategy maps, in some cases, try to frame implied solutions by introducing processes into the framework e. With a welldesigned strategy map, every employee can know your overall strategy and where they fit in. Strategy as the basis for competition brings us to another harvard business school professor, michael porter, the undisputed guru of competitive strategy.
How to design a strategy map api white paper how to design a strategy map by bernard marr abstract. Companies innovate faster than peoples lives change. Necessary but not sufficient operational effectiveness and strategy are both essential to superior performance, which, after all, is the primary goal of any enterprise. Strategy maps pages 2, 3 valuecreating processes pages 3, 4, 5 manage risk page 3 innovation through operations page 4 intangible assets pages 5, 6, 7 triple bottomline strategy map page 5 building strategies and strategy maps pages 7, 8 ibms complete customer solution page 8 by robert s. Strategy mapping in a straightforward,easytounderstand format. Foreshadowing the subsequent development of strategy maps, anthony.
Lady gaga and jeff bezos3 the role of strategy in success 6 a brief history of strategy 8 origins 8 the evolution of business strategy 9 strategy today 11 what is strategy. While there is a well established body of literature that discusses stakeholder. The strategy mapping mag fills this gap by providing a set of guidelines that describe how to implement strategy mapping in a practical,stepbystep format. A new online version of our popular relationship mapping strategy. Use it for your school, community organization, or religious group to help ensure everyone has a strong connection to someone else during these challenging times. Creating value through hr hr strategy deloitte united states. Hbrs 10 must reads on strategy mp3 cd audiobook, mp3 audio, unabridged. Strategy mapping is a cornerstone of businessaligned strategies. Business model, we argue, is a reflection of the firms realized strategy. Strategy maps and balanced scorecards constitute the measurement technology for managing in a knowledgebased economy.
It is an element of the documentation associated with the balanced scorecard, and in particular is characteristic of the second generation of balanced scorecard designs that first appeared during the mid1990s. Mapping your corporate strategy harvard business school. The authors created strategy map templates for various industries, including retail, telecommunications. Hbrs 10 must reads on strategy including featured article what is strategy. Circle mapping your firms growth strategy hbr store. A grassroots approach to fundamental work that identifies the customer and what they value. Guideline walks you through a sixstep strategy mapping process, using the case study of a fictitious ice hotel. Developed by michael porter and used throughout the world for nearly 30 years, the value chain is a powerful tool for disaggregating a company into its strategically relevant activities in order to focus on the sources of competitive advantage, that is, the specific activities that result in higher prices or lower costs. Use strategy maps to communicate your strategy hbr store.
The balanced scorecard bsc kaplan and norton is one framework that can be used for strategy mapping. Alignment between strategy and execution unclear impact of organizational dynamics. It has forced our managers to think more strategically and talk to their teams about what is important. Focusing your organization your strategys on strategywith the brilliantbut can you execute it. Th roughout part one and subsequent parts of the workbook, icons are included that cross.
Find all the books, read about the author, and more. Delivering actionable strategy through business architecture. Pdf having trouble with your strategy then map it kate. Strategy mapping is the process of determining objectives and means of getting there.
849 83 1216 1194 452 1228 71 1529 85 312 1476 1400 552 732 651 1037 573 1118 223 1432 859 1334 1281 314 1357 1075 177 1143 553 219 963 288 1458 716 102 279