In business, you can’t manage what you can’t measure. Nor can you measure what you can’t describe. This is a problem because for many enterprises, more than 75-percent of their market value is generated by intangible assets which traditional financial and accounting metrics simply don’t capture at all.
To address this problem, thousands of companies worldwide have adopted the “Balanced Scorecard” approach which supplements financial measures (which summarize the results of actions taken previously) with nonfinancial measures (of customers, internal processes and learning and growth) to capture the lead indicators of future financial performance. In this way, direct links are formed between the strategy a company chooses and its results. The directness of this link enhances the company’s ability to manage and ultimately execute its desired strategy.
In developing a Balanced Scorecard for each organization, a strategy map is also developed which links intangible and tangible assets with objectives in cause-and-effect relationships. Originally, strategy maps were considered a by-product but managers found these maps were very useful in articulating the strategy of the organization and how that strategy links to the objectives.
Put differently, strategy maps help managers describe and manage strategy at an operational level because they show:
- How value gets created from the organization’s internal and learning and growth perspectives.
- The dynamics of the corporation’s strategy and the processes which are designed to create value.
- How the company’s intangible assets – human, information and organizational capital – are measured and aligned.
Thus, strategy maps may have started out with a minor role but they have now moved to center stage in describing how an organization creates value using both its tangible and intangible assets. They provide a framework by which important management decisions can be made. And as such, every manager needs to understand his or her own organization’s strategy map.
To try and manage without a strategy map in place is like working in the dark. At the very least, any organization which understands its own strategy map has a sustainable competitive advantage over those organizations which adopt a much more hit-and-miss approach.
The strategy map has turned out to be as important an innovation as the original Balanced Scorecard itself. Executives find the visual representation of strategy both natural and powerful. As one executive speaker exclaimed at the start of her talk, ‘I love strategy maps’.
When we post organization’s strategy maps on the walls of rooms where we hold conferences, delegates use their coffee breaks to study each diagram – even for organizations completely different from their own. Strategy maps provide increased granularity for executives to describe and manage strategy at an operational level of detail.
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Growth doesn't just happen -- You Plan For It. Taking your business to the next level isn't just about hard work: it's about vision and planning. It’s about mapping a plan that everyone in your business will follow: from staff & employees, down to your sales force and distributors.
Dickie Aguado and his colleagues at Magna Kultura helped improve many big and medium-sized company’s performance work, providing high-impact, results-driven strategic brand marketing efforts; well-planned and go-to-market trade promotions efforts, and customer-loyalty development in district trading areas. Using community-based marketing and trade promotions management, Magna Kultura explores the market and create action plans that deliver DAY-AFTER SALES RESULT.
In working together, the Magna Kultura group doesn’t just give advice verbally and submit documents, charts, or graphs for you to study and analyze by yourself. They work together with you and your staff to BRING CONCEPT TO ACTION. That is how the partnership support work. We see to it that that the plan works, and more importantly, delivers sales-results.
The Magna Kultura group can help develop a sustainable competitive advantage for companies: it includes Marketing Planning & Strategy Development, Brand Architecture planning and Promotions, Sales Strategy & Promo Implementation, Retail Trade Relations and Community-Based Consumer Promotion.
Call us to see to discuss how we can explore bringing your business to the next level.
For Strategic Marketing Consultancy, contact Dickie Aguado at
Tel. No. 514-5868, via Mobile Nos. 0917-990025 or 0922-8990026.
You may also send an email at grassrootscommunication@gmail.com
For more details of how Dickie handles strategic marketing planning, click to open http://grassrootmarketing.multiply.com/profile/resume/resume.M.
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Magna Kultura conducts Cause-Related Marketing Campaigns and
Corporate Social Responsibility (CSR) programs for Private companies
as an entrepreneurial approach to raise funds for the foundation,
at the same time, sustaining relationship with the communities
serviced by the organization. The synergy between private corporations
and community-based organizations, helps the informal economy
and fosters social enterprises in communities we serve.
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