In their recent book “Strategy Maps”, Robert Kaplan and David Norton stated that “73 percent of companies achieving outstanding performance clearly communicate their strategy and strategic measures, whereas only 28 percent of the underperformers take such an action.” What is becoming more evident is that there far more to performance management than just technology or implementing scorecards. This session will take you through the various steps you can take to transform your organisation and achieve outstanding performance. This session will show how you can implement a performance management system that is aligned to your organisation’s strategic direction • Why implementing scorecards is not “strategic management” • What are the steps involved in moving from a scorecard application to an enterprise strategic performance management system. • Help take your performance management system to the next level

1. Moving from Scorecards to
Strategic Management
Nikita Atkins (nikita.atkins@au1.ibm.com)

2. Photo courtesy Andrew Grochocki
Why?
> Less than 10% of companies successfully execute
their strategy (Fortune Magazine)
• Mediocre growth
• Lost market share
• Lower profitability

3. > 10% of employees reported that they understood their
company’s strategy (Kaplan and Norton)
> 40% of organisations linked their budgets to their
strategies (Kaplan and Norton)
> 66% of corporate strategy is never executed. (Ernst &
Young)
> 82% percent of Australasian executives say timely
access to higher quality information would improve
profitability (Deloitte)
> 85% of executives teams
spend less than 1 hour per
month discussing strategy
(Kaplan and Norton)

4. The Out and Under Performers
Out Performers
> 73% communicate their
strategy
> 63% align business units to
strategy
> 77% translates strategy into
measures
> 60% have IT SLAs
> Ownership & Accountability
> Comprehensive Business
View
Under Performers
> 28% communicate their
strategy
> 28% align business units to
strategy
> 43% translate strategy into
measures
> 41% have IT SLAs

5. > Visualise metrics in a report or dashboard
> Metrics not strategically aligned
> No formal targets
> Basic performance monitoring
Scorecarding Readiness Level
Scorecarding Readiness
PerformanceManagementImpact
Metrics Monitoring

6. > Visualise metrics in a report or dashboard
> Metrics not strategically aligned
> No formal targets
> Basic performance monitoring
> Standardised Metrics
> Departmental or across teams/franchises
> Metrics ownership and accountability
> Common metrics framework
> Metrics linked to BI reports &
analysis
> Not part of top-
down, enterprise
initiative
Scorecarding Readiness Level
Scorecarding Readiness
PerformanceManagementImpact
Scorecarding
Metrics Monitoring

7. > Visualise metrics in a report or dashboard
> Metrics not strategically aligned
> No formal targets
> Basic performance monitoring
> Standardised Metrics
> Departmental or across teams/franchises
> Metrics ownership and accountability
> Common metrics framework
> Metrics linked to BI reports &
analysis
> Not part of top-
down, enterprise
initiative
Scorecarding Readiness Level
Scorecarding Readiness
PerformanceManagementImpact
> Clear Strategy
> Leadership
> Standardised
> Well Measured
> Translate Strategy
> Aligned
> Motivate
> Optimise
> Governance
Scorecarding
Strategy
Management
Metrics Monitoring

8. 9 Key Strategic
Management
Processes

9. Strategy
> Vision, Mission & Values
> Strategic Framework
> Strategic Shifts or Strategic
Change Agenda (From/To)
> Strategic Analysis
(Internal / External)
> Strategy Formulation
Photo courtesy Andrew Grochocki

10. Enterprise Strategy –
Seven Scores of
Success
Courtesy: John Petty, Petty Presentations

11. > Technical vs Non-technical
> Finance and IT
> Performance Management
Strategic Framework
> PM Vision
> Strategic Change Agenda
Photo courtesy Andrew Grochocki

12. 7 Scores of Success
For A PM Strategy

13. Leadership
> Board & Executive
Sponsorship
• Board & Executive Scorecard
• CIO & CFO are actively involved
> Regular Reviews
> Dedicated Strategy Agenda
Item
> Not Another Project
> Walking the Talk
> Transparent Roadmap

14. IBM Cognos
Performance Management
Roadmap
IBM Cognos
Performance
Management
Roadmap
Roadmap
Bluprint
Vision
Assess /
Review
Discovery
Launch /
Implement

15. Standardise
> Processes
> Objectives & Goals
> Data
> Language
> Dimensions
> Rules
> Information
> Tools and Enablers
> Reports
> Processes
> Roles & Skills
> Decision Making

16. Standardisation
> IBM Cognos Metrics Studio
> IBM Cognos BI & Reporting
> Business Viewpoint
> Data Warehousing
> Business Glossary
> Framework Manager
> IBM Infosphere
Business Glossary
Manage Business Terms
Data Architect
Design Enterprise
Models
Capture Design
Specifications
Monitor
Data Flows
IBM Industry Models
Leverage Industry
Practices
Discover Data Content
Information Analyzer
FastTrack Metadata Workbench
Business Glossary
Manage Business Terms
Data ArchitectData Architect
Design Enterprise
Models
Capture Design
Specifications
Monitor
Data Flows
IBM Industry Models
Leverage Industry
Practices
Discover Data Content
Information Analyzer
FastTrackFastTrack Metadata WorkbenchMetadata Workbench

17. Measure
> Aligned
> Cross Functional
> Ratios
> Targets
> Defined
> Balanced
> Forecasting & Predictive
> Positive
> Responsibilities
> Timely

18. Translate
> Goals & Business Plans
> Actions and Projects
> Calendar
> Balanced Scorecards
> Strategy Maps
> Impact Diagrams
> Dashboards
> Operational &
Tactical Reports

19. Align
> Business Units
> Support and Service Units
> Suppliers and Customers
> Processes
> Reports
> KPIs and Metrics
> Information
> Systems

20. Alignment
> Metrics Description & Owner
> Metric History
> Metrics Strategies & Views
> Metrics Impact Diagrams
> Metrics Strategy Maps
> Drill-Through

21. Motivate
> Communication
> Marketing
> Training
> Education
> Positive Benefits
> Personal Goals
> Partnerships

22. Educate & Motivation
> CBTs and E-Learning
> Classroom Training
> User Adoption Services
> Learning Assessment Service
> Proven Practices & TechTalk
> Guardian and Assist Services

23. Optimise
> Strategic Planning
> Budgeting
> People
> Processes
> Systems
> Reports
> Manual Processes
> Data Quality
> Performance

24. Analytics & Optimisation
> Analysis & PowerPlay Studio
> Event Studio
> EP & TM1
> Innovation Centre &
Blueprints
> BAO
> Infosphere
> SPSS
> Analytical Applications
Business Glossary
Manage Business Terms
Data Architect
Design Enterprise
Models
Capture Design
Specifications
Monitor
Data Flows
IBM Industry Models
Leverage Industry
Practices
Discover Data Content
Information Analyzer
FastTrack Metadata Workbench
Business Glossary
Manage Business Terms
Data ArchitectData Architect
Design Enterprise
Models
Capture Design
Specifications
Monitor
Data Flows
IBM Industry Models
Leverage Industry
Practices
Discover Data Content
Information Analyzer
FastTrackFastTrack Metadata WorkbenchMetadata Workbench

25. Governance
> Corporate Performance Management
> Employee Performance Reviews
> Portfolio and Project Management
> Review, Change and Enhance Strategy
> BICC, PMCC or SMO
> CPM Drives Strategy

26. IBM
Cognos
Service
Offerings
Photo courtesy Andrew Grochocki

27. BICC & PMCC
UNCONTROLLED
PM BEHAVIORS
PM STANDARD
PROCLAIMED
PM STANDARD
ENFORCED
PM Projects
Random Projects Project Registration Project Prioritization
Knowledge
Knowledge Silos Gathering/Grouping Shared and Leveraged
BICC /
PMCC
Expanded/Enhanced
Formal
Culture of Best Practice
COGNOS
BICC / PMCC
Program Office

28. IBM Cognos
Performance
Management
Roadmap
IBM Cognos
Solution
Implementation
Methodology
(SIM)
IBM Cognos Performance Management
Roadmap

29. IBM Cognos PM2 Rapid Scorecard Service
Build the
Strategic
Linkages
Determine
Indicators
of Success
Link Processes
& Projects
Build
Management
Processes
Launch

30. IBM Cognos BICC Service
Best Practice
Knowledge Repository
Support
Training
Promotion
Business
Analytics
License
Management
Advise &
Consulting
BI Services
Technology /
Infrastructure
Data Governance
& AvailabilityIBM COGNOS
BICC Program
Office
Assess
AlignmentIdentify
Establish
Process
Promote
Standardisation
Delivery
Best
Practices

31. Cognos Professional Services – The Enablers
Solution Planning Services
Business Improvement Services
Solution Implementation Services
Guardian
Services
Assist
Services
Project
Services
Assist
Services
Guardian
Services