Strategy maps norton pdf

There are, however, several industry standard templates that can be used, not least of which is the kaplannorton balanced scorecard approach. A strategy map is a diagram that describes how a company or organisation can. Managers like to have pagesize diagrams in powerpoint that are proudly called strategy maps. If you do your first strategy map, these steps might sound like too much to assimilate. A complete strategy map template including examples. Norton also the founders of the balanced scorecard movement,strategy mapping is a cuttingedge approach to the art of strategy execution. The strategy map is a visual framework of the cause andeffect relationships among the components of an organizations strategy, and it is used to integrate the four perspectives of a bsc financial, customer, inter nal, and learning and growth. The purpose of this paper is to show how the use of strategy maps substantially improves the implementation success of balanced scorecards bsc. This is our short and simple guide to strategy maps. Kaplan and norton are gungho about the power of strategy maps to provide a conceptual framework for understanding any corporation, public institution or nonprofit organization, but general. The strategy map is a tool especially relevant to document the primary strategic goals of an. Generic strategy map this tool provides an integrated view of the development of a strategy map.

The strategic perspective that kaplan and norton have developed is very valuable. Norton introduced the balanced scorecard, a revolutionary performance measurement system that allowed organizations to quantify. Strategy maps emerged as part of robert kaplans and david nortons seminal work with the balanced scorecard. Use features like bookmarks, note taking and highlighting while reading strategy maps. Convert ing intangible assets into tangible outcomes. The strategic thinking that kaplan and norton have done is very valuable. Before kaplan and norton, most academic strategy courses were dominated by the thinking of. Strategy maps converting intangible assets into trangible outcomes by robert s.

Converting intangible assets into tangible outcomes pdf. Strategy maps, pioneered by balanced scorecard founders robert kaplan and david norton, allow organisations to describe and communicate their strategies concisely and succinctly and close the. Its updated for 2020, and tells you all the basics in plain english. Delivering actionable strategy through business architecture. Strategy maps book strategy maps converting intangible assets into tangible. The strategy map is a device that promotes three stages of conversation during the strategy development, implementation and learning process first to capture a strategy from a management. In the introduction to the new book, they explained that their journey began in 1990 when they undertook a research project to explore ways organizations measured performance. Today, strategy map has an image similar to a business treasure map, a kind of a business road map that is supposed to lead any organization to imminent success. A complete strategy map template including examples we love strategy maps for their flexibility with various industries and strategies.

In a previous paper kaplan and norton 2001b, we described the role for strategy maps and balanced. This video provides an example of a balanced scorecard with strategy maps. Figure 1 on the following page provides an overview of a strategy map. 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. For more information on the balanced scorecard, check. In 2001 kaplan and norton1 published the strategy focused organisation which introduced the strategy map as an integral part of the balanced scorecard performance management system thus transforming it into a strategic management system. Converting intangible assets into tangible outcomes kaplan, robert s. Strategy is based on a differentiated customer value proposition. Strategy map balanced scorecard free download tucows. Explore and explain how the balanced scorecard is implemented into a strategy map. Strategy maps can help chart this difficult terrain.

Although the previous book of kaplan and norton already spent 64 pages on strategy maps, you can find the best and most comprehensive treatment of them including lots of examples in the book on the. The measures from an organisations balanced scorecard are based upon the strategy map, which connects the desired outcomes of the strategy with the measures which will drive. The purpose of this paper is to examine the balanced scorecard bsc adoption experience amongst organisations in connection with the strategy map design. Norton, have created a powerful new tool based on their ongoing research. In that approach,an organization depicts its key objectives in. The strategy map is generally complemented by a balanced scorecard to track how. The strategy map outlines the fundamental business logic of the plan, demonstrates the implications for internal and external stakeholders, codifies the organisational competencies needed, explores what kind of skills and knowledge staff need, and identifies what resources need to be invested. Pdf purpose the purpose of this paper is to show how the use of. Create local versions of the strategy maps with more specific goals and indicators. Norton introduced the balanced scorecard, a revolutionary performance measurement system that allowed organizations to quantify intangible assets such as people, information, and customer relationships. Strategy map powerpoint diagram create a strategy map diagram with traditional 4layers of business strategy. How to develop a balanced scorecard into a strategy map. Pdf a practitioners guide to the design of strategy map. The objectives on the strategy map are arrayed across two or more horizontal bands, and each band is known as a perspective.

A n effective business strategy is a complex series of interconnections a set of causeandeffect relationships. A balanced scorecard shows a series of causeandeffect relationships that show how a companys focus on. Converting intangible assets into tangible outcomes. 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. Strategy maps and balanced scorecards constitute the measurement technology for managing in a knowledgebased economy. Before kaplan and norton, most academic strategy courses were dominated by the thinking of michael porter, who.

Completed generic strategy map asset utilisation figure 2. Norton introduced the balanced scorecard, a revolutionary performance. Click on the graph to download a big strategy map template in. Value is created through internal business processes. Take a look at these six strategy map examples for inspiration. Commentary transforming the balanced scorecard from. Organization, which, in turn, results from strategy maps and balanced scorecards. Learning and growth perspective management theories. Strategy map financial perspective customer perspective internal perspective learning and growth perspective human capital information capital organization capital operations management. Norton s everal years ago, we introduced the concept of a balanced scorecard for motivating and measuring business unit. Linking the balanced scorecard to strategy robert s. Norton is founder and president of the balanced scorecard collaborative in lincoln, massachusetts.