1. Managing Strategy The BSCsolutionTM Aligning Strategy with Execution and Transforming Intangible Assets Into Tangible Outputs David Allinson

2. Misalignment & Miscommunication of Organizational Strategy How does an organization assure their strategies are understood and internalized by all employees to assure the Mission is achieved?

4. Evidenced-based management

5. Flexibility to shift strategy

6. Enterprise-wide AccountabilityCreating ActionableStrategy Mobilizing Change Value Add Process Establishing Accountability And Focus Driving Organizational Awareness

7. The 12Critical Strategic Readiness Areas Commitment Developing a strategically focused culture 1 Committed to a systemic process 12 Business Reviews 2 Documented mission & strategy 4 11 Budget & operations management 3 Buy-in from leadership team 4 5 2 4 10 Communicate Strategy/State of Business 1 Strategy mapped to top objectives 5 1 2 1 4 5 9 2 Individual Objectives / Scorecards Targets established 3 6 8 Appraisals linked to Incentives Executive Dashboard Monitoring Scoring: 1 = No or unaware. 2 = No, but have discussed/considered. 3 = Yes, but only recently implemented. 4 = Yes, but still not ingrained in culture. 5 = Yes, well established process in culture. 7 A Strategically Focused Organization has a “5” in all 12 Areas.

10. Measurable targets

11. Owners and timelines

13. THEFOUNDATION Departmental Scorecard

14. Scorecards & Cross-Organizational Collaboration Product Management/R&D Scorecard Initiative Target Due Date Ownership Objective 1 Create a web-based interactive community. Marketing Scorecard Finance Scorecard Objective 1 Increase market awareness for new PSO capabilities Initiative Initiative Target Target Due Date Due Date Ownership Ownership Objective 1 Improve revenue predictability Strategy Mapping Sales/Distribution Scorecard Initiative Target Due Date Ownership Objective 1 Shift revenue mix to solutions BSC is a powerful tool for focused Strategy, execution and feedback

15. Benefits CHRONIC EXECUTION GAPS CLOSED Measuring forward-looking financial and non-financial targets produces early gap identification. Cause and effect relationships are identified and controlled. STRATEGY TRANSLATION AND COMMUNICATION Executive team communicates to employees, partners and investors in a common operating language based on the BSCsolution TM. Employee attrition rates decrease, financial and non-financial targets are achieved and Board meetings are more effective. CROSS ORGANIZATIONAL COLLABORATION INCREASES Interdependent initiatives drive accountability across organizations. Silos diminish, critical functional linkages are measured. FINANCIAL AND MARKET PERFORMANCE IMPROVE Discretionary capital and resource decisions have focus on strategic statements. Cash dependent cycles compress and operating margins improve. Go-to-market plans and value drivers are monitored, corrected and optimized. STRATEGY MEASURED/CORRECTED Strategy feedback process proactively identifies risk/opportunity to the business plan. Executive team becomes nimble at recognizing, mitigating risks, pursuing the right opportunities and tuning strategy.

16. BSCsolutionTM - Five Phase Implementation 1 5 4 3 2 Developing Strategically Focused Culture Creating Actionable Strategy Driving Organizational Awareness Establishing Accountability & Focus Mobilize Change Align Assess Sustain Key Activities: Understanding of how CEO/CFO think about the business, its mission and supporting strategies as well as the management of those strategies. Determine the organization's level of strategic "readiness". Educate CEO/CFO on the organization's level of strategic "readiness". Determine initial communication plan to employees. Establish personal employee objectives and targets. Link employee appraisals to objectives and an incentive plan for achieving targets. Create incentive plans tightly linked to achieving targets. Establish an on-going employee communication program. Establish mid-quarter business reviews. Establish monthly financial reviews. Create a Strategy Map Create Departmental Scorecards Obtain buy-in on the departmental Scorecards Example of Key Deliverables & Outputs: Document interview for CEO and CFO. Document Mission Statement and top strategies in support of the Mission. Spider gram A Strategic Map of objectives and targets that support strategies Final approved departmental scorecards Content for communication (e.g., town hall meeting, Web cast, emails, etc.) Employee information packets (e.g., Strategy Map and Departmental Scorecards). Individual scorecards Revised appraisals for executives, managers & individual contributor. Incentive plans for executives managers and individual contributors. Communication plan and calendar Framework for mid-quarter business reviews Framework for monthly financial review.

18. Availability of qualified leaders at all levels to mobilize the organization towards its strategy.

19. Alignment of people, budgets, process and incentives with the strategy at all organization levels.

20. No boundaries on communication, knowledge sharing and cross-organizational collaboration.Culture Leadership Alignment Teamwork Commitment to An On-Going Reporting Tool For Both Management and the Board.