CONTROLLED DOCUMENT: WI-ABM-1002
QMS STANDARDS
BUSINESS UNIT:
ABM 551 Fifth Avenue, Suite 300, New York, NY 10176
STANDARD TYPE:
Work Instruction
PROCEDURE TITLE: Developing a Strategy Map
AREA: Quality TYPE OF PROCEDURE:
Management System
DOCUMENT NUMBER: WI-ABM-1002 REVISION: 1.0
PROCEDURE STATUS IMPLEMENTED DATE REVISION DATE
Released 11/18/13 11/18/13
UNLOCK DOCUMENT TO EDIT BEYOND THIS POINT 1.0 PURPOSE/SCOPE
“Less than 10% of strategies effectively formulated are effectively executed. Most organizations don’t know how to execute strategy.” -- Fortune Magazine An organization’s ability to describe, manage and execute Strategy is achievable through Balanced Scorecards (BSC), a concept developed by Drs. Kaplan and Norton of the Harvard School of Business. When successfully implemented, BSC can result in a Strategy Focused Organization (SFO). The first step in the implementation of BSC is the development of a Strategy Map. This Work Instruction (WI) provides steps and tools in the development of a Strategy Map. Ideally, a Strategy Map should be cascaded from corporate to its business units, divisions, locations, shared services groups and finally each employee through personal scorecards. However, it can also be implemented without the use of the Corporate Strategy Map. The tools provided in this WI allow for both scenarios. 2.0 RESPONSIBILITIES 2.1 TASK RESPONSIBILITIES
It is the responsibility of all participants of a Strategy Mapping exercise to read and understand the provisions of this WI. It is the responsibility of the leaders of a team embarking in the implementation of BSC to communicate the purpose and importance of the process to their team members prior to commencing with the process. It is the responsibility of the ABM Learning and Quality (ABMLQ) team to ensure that the contents of this WI are current and accessible
Procedure Title: Developing a Strategy Map
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CONTROLLED DOCUMENT: WI-ABM-1002
QMS STANDARDS
2.2 APPROVAL / ESCALATION RESPONSIBILITIES The Senior Vice President of ABM Learning and Quality (ABMLQ) is the point of escalation for matters contested or inquired upon in this WI. 3.0 PROCEDURE (SOP OR WI STEPS) 3.1 WHAT IS STRATEGY? An organization’s strategy describes how it intends to create VALUE for its shareholders, customers and employees. Managing strategy is managing change. Therefore, to execute strategy is to execute change at all levels of an organization. 3.2 WHY IS STRATEGY IMPORTANT? Many factors make it difficult to implement strategy today. The pace of change continues to accelerate, technology changes frequently and the workforce is more diverse and mobile than ever before. But the underlying reason it is difficult to implement strategy today is because business and business strategy are fundamentally different today than they were even fifteen years ago. The industrial age has been replaced by the knowledge age, with transformational effects on the economy and the workplace. The differences that have come from the knowledge age, make Strategy more important but more difficult to execute. Through Balanced Scorecards, organizations can overcome the hurdles common to most and more recently, exemplified by a select few. Balanced Scorecards allow an organization to do the following: Describe strategy Manage strategy Execute strategy The first step in the implementation of BSC is the development of a Strategy Map. 3.3 STRATEGY MAP A Strategy Map is comprised of: Strategic Theme Mission Statement Vision Statement Strategic Objectives in each Perspective A Strategy Map has Four Balanced Perspectives: Financial or Stakeholder (private or public) Customer Internal Process Organizational Learning and Growth
Procedure Title: Developing a Strategy Map
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CONTROLLED DOCUMENT: WI-ABM-1002
QMS STANDARDS
3.4 STEPS TO DEVELOPING A STRATEGY MAP A Strategy Mapping session is typically an intensive face-to-face exercise facilitated by a Moderator. In most cases, the leaders or managerial staff of the team is in attendance. However, in other cases, representation from a cross-section of the team can also be advantageous; it can give the team a varied outcome. All the tools listed below can be found via abmlq.com: http://www.abmlq.com/sfobsccollateral STEP
1. 1Review the concept . of SFO through BSC with the participants
Prior to session
COMPETENCY (WHO) Leaders
2.
Review examples of ABM Strategy Maps
During session
Moderator
3.
Create Strategic Theme Create Mission and Vision Statements Create Strategic Objectives for each perspective Publish final Strategy Map
During session
Participants
During session
Participants
During session
Participants
Post session
ABMLQ
7.
Release to your employees to create awareness
Post session
Leaders
8.
Develop strategic initiatives and measures and targets
Post session
Team
4. 5.
6.
WHAT
Procedure Title: Developing a Strategy Map
WHEN
HOW (TOOLS) This Work Instruction
Examples of ABM Strategy Maps: http://www.abmlq.com/strate gymaps http://www.abmlq.com/sfobs cstrategictheme http://www.abmlq.com/sfobs cmissionvision http://www.abmlq.com/sfobs cobjectives Strategy Map Template: http://www.abmlq.com/sfobs ccollateral Suggested formats of release: a. Through abmlq.com: http://wwwabmlq.com/sfobsc group b. Print map and post in common areas c. Discuss in regularly scheduled meetings d. Refer to an objective when conducting a meeting to validate its purpose WI-ABM-1003 Strategic Initiatives WI-ABM-1004 Measures and Targets of Strategic Initiatives
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CONTROLLED DOCUMENT: WI-ABM-1002
QMS STANDARDS
4.0 SPECIAL DEFINITIONS THE FOLLOWING TERMS ARE REFERRED TO IN THIS STANDARD; TO VIEW THE DEFINITION OF EACH TERM PLEASE CLICK ON THE ABM LEXICON LIBRARY LINK: LEXICON LIBRARY TERM ABM LQ, Learning and Quality BSC, Balanced Scorecards Dr. Kaplan Dr. Norton Mission Statement SFO, Strategy Focused Organization Strategic Objectives Strategic Theme Vision Statement
5.0 ASSOCIATED REFERENCE DOCUMENTS THE FOLLOWING DOCUMENTS PROVIDE ADDITIONAL INFORMATION: DOCUMENT NAME ABM Strategy Maps WI-ABM-1003 Strategic Initiatives WI-ABM-1004 Measures and Targets of Strategic Initiatives
LOCATION http://www.abmlq.com/strategymaps http://www.abmlq.com/wiabm1003 http://www.abmlq.com/wiabm1004
6.0 ASSOCIATED KNOWLEDGE DATABASE THE FOLLOWING KNOWLEDGE DATABASES PROVIDE ADDITIONAL INFORMATION: KNOWLEDGE DATABASE
Procedure Title: Developing a Strategy Map
LOCATION
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CONTROLLED DOCUMENT: WI-ABM-1002
QMS STANDARDS
7.0 ASSOCIATED TOOLS THE FOLLOWING TOOLS MAY BE REQUIRED FOR COMPLIANCE TO THIS STANDARD: ASSOCIATED TOOLS R-WI-ABM-1002-1 Developing a Strategic Theme R-WI-ABM-1003-2 Developing Mission and Vision Statements R-WI-ABM-1003-3 Developing Strategic Objectives SFO BSC Collateral/Implementation Tools
LOCATION http://www.abmlq.com/sfobscstrategictheme http://www.abmlq.com/sfobscmissionvision http://www.abmlq.com/sfobscobjectives http://www.abmlq.com/sfobsccollateral
8.0 REVISION HISTORY REVISION (X.X) DATE OF LAST REVISION (MM/DD/YY) LAST APPROVAL DATE (MM/DD/YY)
1.0 11/18/13 11/18/13
DOCUMENT AUTHOR: Greg Lush; Melissa Cipriani
DOCUMENT MANAGER: Melissa Cipriani
REASON FOR CHANGE:
Revision 1.0
SECTION / PARAGRAPH CHANGED All
CHANGE MADE
Initial Entry
DATE OF REVISION MM/DD/YY 11/18/13
9.0 ELECTRONIC NOTIFICATION LIST: ELECTRONIC NOTIFICATIONS PLEASE CLICK HERE TO VIEW THE NAMES OF PERSONNEL CURRENTLY HOLDING THESE POSITIONS. ABM Learning and Quality, Senior Vice President ABM Learning and Quality Team
Procedure Title: Developing a Strategy Map
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CONTROLLED DOCUMENT: WI-ABM-1002
10.0
QMS STANDARDS
APPROVALS
PLEASE GO TO THE LINK BELOW FOR THE ELECTRONIC RECORD OF THE REVIEW AND APPROVAL OF THIS POLICY. DOCUMENT REVIEW FIRST APPROVER NAME: GREG LUSH BUSINESS UNIT: ABM
TITLE: SENIOR VP, LEARNING AND QUALITY SIGNATURE: ELECTRONIC APPROVAL
SECOND APPROVER NAME: BUSINESS UNIT: TITLE: SIGNATURE:
THIRD APPROVER NAME: BUSINESS UNIT: TITLE: SIGNATURE:
DOCUMENT HISTORY SECTION: Document Created on 11/18/13 by Melissa Cipriani
Procedure Title: Developing a Strategy Map
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