A balanced scorecard shows a series of causeandeffect relationships that show how a companys focus on learning and. The management dictionary covers over 7000 business concepts from 6 categories. It is a great read after you have read balanced scorecard and strategy focused organization. Click on the graph to download a big strategy map template in. Converting intangible assets into tangible outcomes, authorrobert steven kaplan and david p.
Read strategy maps converting intangible assets into tangible outcomes by robert s. Kaplan and norton recently published strategy maps, the third book in their series. Download for offline reading, highlight, bookmark or take notes while you read strategy maps. Figure 1 on the following page provides an overview of a strategy map. At the time, they believed that knowledgebased assets. Take a look at these six strategy map examples for inspiration. Using survey data from managers of 91 italian organisations the paper seeks to verify whether. Porters work helps managers formulate their strategy. 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 readers are likely to shake their head at jargonheavy reformulations of the obvious like the ideal customer experience is a product that meets customer. The strategy map idea featured in several books and articles during the late 1990s by robert s. You can get started easier by using this free strategy wizard tool that will guide you through these steps and will create a strategy map for you.
Converting intangible assets into tangible outcomes. Converting intangible assets into tangible outcomes kaplan, robert s. 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. Norton is founder and president of the balanced scorecard collaborative in lincoln, massachusetts.
The impact of the strategy maps on balanced scorecard. 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. This book will help you to stay out ofthe failed troops. Since then, kaplan and norton have produced several other articles, a series of books, and a consulting company, all committed to elaborating the themes laid down in the initial balanced scorecard article. Kaplan is a professor at harvard university and david p. Oct 25, 2012 introduction to strategy maps a book by robert s kaplan and david p norton 1. One increasingly popular framework to combine these qualities is the balanced scorecard. Finally the book from norton kaplan that links scorecarding to intangible assets management and. Norton introduced the balanced scorecard, a revolutionary performance measurement system that allowed organizations to quantify intangible assets such as people, information, and customer relationships. Yet, bsc implementations that actually use strategy maps appear to be rather successful.
Pioneered by robert kaplan and david norton also the founders of the balanced scorecard movement,strategy mapping is a cuttingedge approach to the art of strategy execution. Converting intangible assets into tangible outcomes book is not really ordinary book, you have it then the world is in. The strategy map allows compa nies to describe the links. Our nk work provides the discipline to ensure that the formulated strategy has specific objectives for shareholders. Turku university of applied sciences, turku, finland. Introduction to strategy maps a book by robert s kaplan and.
Value is created through internal business processes. It provides tons of ideas on how to assemble the various components of the strategy map, as well as revisits the selection of overall strategy themes. You can click on the graph to download a bigger one in pdf format. The objectives on the strategy map are arrayed across two or more horizontal bands, and each band is known as a perspective. Their original book in 1996, the balanced scorecard, translating strategy into action, contained diagrams which are later called strategy maps, but at this time they did not refer to them as such. Strategy maps and balanced scorecards help companies translate, communicate, and measure their strategies. Create local versions of the strategy maps with more specific goals and indicators.
In the 2001 book the strategy focused organization, kaplan and norton transform their balanced scorecard. A complete strategy map template including examples we love strategy maps for their flexibility with various industries and strategies. An example of a generic strategy map can be seen below. The strategy map is generally complemented by a balanced scorecard to track how. Pdf the impact of the strategy maps on balanced scorecard.
In that approach,an organization depicts its key objectives in a graphical and illustrative i. Strategy map financial perspective customer perspective internal perspective learning and growth perspective human capital information capital organization capital operations management processes customer management processes innovation processes regulatory and social processessupply production distribution risk management. Norton, have created a powerful new tool based on their ongoing research. Strategic management converting intangible assets into. The impact of the strategy maps on balanced scorecard performance. Strategy maps can help chart this difficult terrain.
Browse the definition and meaning of more terms similar to strategy map kaplan norton. If you do your first strategy map, these steps might sound like too much to assimilate. Norton kaplan strategy maps consider the difference between porters five forces model and the norton kaplan nk strategy maps per robert kaplan. Converting intangible assets into tangible outcomes robert s. Strategy maps converting intangible assets into trangible outcomes by robert s. Converting intangible assets into tangible outcomes pdf. Convert ing intangible assets into tangible outcomes. During the past 30 years, much attention has been focused on how companies can formulate new strategies for sustainable advantage.
The purpose of this paper is to examine the balanced scorecard bsc adoption experience amongst organisations in connection with the strategy map design. A complete strategy map template including examples. In a previous paper kaplan and norton 2001b, we described the role for strategy maps and balanced scorecards to develop performance. Sms are a strategic part of the balanced scorecard framework to describe strategies for value. 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. In this first of two articles on strategy development, adapted from kaplan and nortons. The purpose of this study is to investigate the integration of strategic management and quality assurance in higher education. 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.
Commentary transforming the balanced scorecard from. 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 right. Strategy maps describe how organisations create value by building on strategic. Delivering actionable strategy through business architecture. More strategic management and corporate finance models. 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 gap between formulation and successful implementation of strategy. In a previous paper kaplan and norton 2001b, we described the role for strategy maps and balanced scorecards to develop performance objectives and measures linked to strategy. The study presents how the value chain can be described in the strategy and quality maps, which are. We find that only 15 studies have dealt with the topic of strategy maps. Organization, which, in turn, results from strategy maps and balanced scorecards. A strategy map is a diagram that is used to document the primary strategic goals.
Converting intangible assets into tangible outcomes kindle edition by kaplan, robert s. Converting intangible assets into tangible outcomes harvard business school press, 2004 is a sequel to their classic the balanced scorecard hbsp, 1996. Companies with themebased strategy maps avoid these problems by. Oct 23, 2018 this video provides an example of a balanced scorecard with strategy maps. Learning and growth perspective management methods. This is absolutely chock full of example and sample strategy maps. Strategy is based on a differentiated customer value proposition.