The Strategy-Focused Organization

by Kaplan, Robert S.

• ISBN13: 9781578512508
• ISBN10: 1578512506
• Format: Hardcover
• Copyright: 2000-09-01
• Publisher: Harvard Business School Pr

Summary

In today's business environment, strategy has never been more important. Yet research shows that most companies fail to execute strategy successfully. Behind this abysmal track record lies an undeniable fact: many companies continue to use management processes-top-down, financially driven, and tactical-that were designed to run yesterday's organizations.Now, the creators of the revolutionary performance management tool called the Balanced Scorecard introduce a new approach that makes strategy a continuous process owned not just by top management, but by everyone. In The Strategy-Focused Organization, Robert Kaplan and David Norton share the results of ten years of learning and research into more than 200 companies that have implemented the Balanced Scorecard. Drawing from more than twenty in-depth case studies-including Mobil, CIGNA, Nova Scotia Power, and AT&T Canada-Kaplan and Norton illustrate how Balanced Scorecard adopters have taken their groundbreaking tool to the next level. These organizations have used the scorecard to create an entirely new performance management framework that puts strategy at the center of key management processes and systems.Kaplan and Norton articulate the five key principles required for building Strategy-Focused Organizations: (1) translate the strategy to operational terms, (2) align the organization to the strategy, (3) make strategy everyone's everyday job, (4) make strategy a continual process, and (5) mobilize change through strong, effective leadership. The authors provide a detailed account of how a range of organizations in the private, public, and nonprofit sectors have deployed these principles to achieve breakthrough, sustainable performance improvements.Presenting a practical, proven framework steeped in rich case study experience, The Strategy-Focused Organization helps solve a universal management problem-not just how to formulate strategy, but how to make it work. Building on one of the most revolutionary business ideas of our time, this important book shows how today's leaders can shape their own companies to meet the challenges and reap the rewards of a new competitive era.Robert S. Kaplan is the Marvin Bower Professor of Leadership Development at Harvard Business School. David P. Norton is President of Balanced Scorecard Collaborative, Inc.

Table of Contents

Preface	vii
Creating the Strategy-Focused Organization	1	(28)
How Mobil Became a Strategy-Focused Organization	29	(36)
PART ONE: TRANSLATING THE STRATEGY TO OPERATIONAL TERMS	65	(96)
Building Strategy Maps	69	(38)
Building Strategy Maps in Private Sector Companies	107	(26)
Strategy Scorecards in Nonprofit, Government, and Health Care Organizations	133	(28)
PART TWO: ALIGNING THE ORGANIZATION TO CREATE SYNERGIES	161	(50)
Creating Business Unit Synergy	167	(24)
Creating Synergies through Shared Services	191	(20)
PART THREE: MAKING STRATEGY EVERYONE'S EVERYDAY JOB	211	(62)
Creating Strategic Awareness	215	(18)
Defining Personal and Team Objectives	233	(20)
The Balanced Paycheck	253	(20)
PART FOUR: MAKING STRATEGY A CONTINUAL PROCESS	273	(58)
Planning and Budgeting	279	(24)
Feedback and Learning	303	(28)
PART FIVE: MOBILIZING CHANGE THROUGH EXECUTIVE LEADERSHIP	331	(38)
Leadership and Mobilization	333	(22)
Avoiding the Pitfalls	355	(14)
Frequently Asked Questions	369	(14)
Index	383	(16)
About the Authors	399