We use Kaplan and Norton comprehensive Strategy Management Systems, as applied by thousands of the most successful leading organizations around the world. We use LEGO® SERIOUS PLAY® to harness brain power and introduce culture change methodologies to reduce resistance to change.
Kaplan-Norton Comprehensive Strategy Management System™ model (XPP) is designed to support organizations in developing strategy and cascading it down to teams, functions and individuals. Although strategy development and execution are not new in consultancy world, our approach holds unique differences.
Why is our approach to strategy execution different?
First: Your organizational culture matters to us. Strategy development and execution are representations of your organizational culture. Strategy development and execution prove to be challenging for small and well established organizations alike; we support you in dealing with issues of conflict, resistance to change, and provide cultural assessments and change methodologies as part of a comprehensive service.
Second: We use LEGO® SERIOUS PLAY® (LSP) innovative tool during the six XPP stages. This enables creative strategy execution process, and maximizes involvement and participation. LSP is used to execute strategy into teams, departments individual levels using Team and Personal Development LSP. The use of LSP includes problem solving and establishing linkages between functions.
Kaplan and Norton Six Stages for Strategy Execution
The following six Palladium stages are:
1. Develop the Strategy
Your organization must be able to state exactly what business you’re in, identify the key issues you face, and determine how best to compete. Developing the strategy uses an array of strategy tools such as mission, values, and vision statements; external competitive, economic, and environmental analyses; methodologies such as Michael Porter’s five forces and competitive positioning framework, the resource-based view of strategy, and blue ocean strategies, as well as scenario planning, dynamic simulations, and war-gaming.
2. Translate the Strategy – Your organization must be willing to develop strategic objectives, measures, targets, initiatives, and budgets that will ultimately guide action and resource allocation. You’ll need to be able to describe your strategy, measure your plan, identify plans of action, figure out how to fund your initiatives, and decide who will lead the strategy execution process. Translating the strategy uses such tools as strategy maps and Balanced Scorecards, along with targets and strategic initiatives.
3. Align the Organization – Your organization must be able to link company strategy to the strategies of individual business units while both aligning and motivating employees to optimize strategy execution. You align the organization with the strategy by cascading strategy maps and Balanced Scorecards to all organizational units, by aligning employees through a formal communications process, and by linking employees’ personal objectives and incentives to strategic objectives.
4. Plan Operations – Your organization must link long-term strategy with day-to-day operations, aligning strategy with operating plans and budgets while focusing on those process improvements that are most critical to the strategy. Planning operations uses tools such as quality and process management, reengineering, process dashboards, rolling forecasts, activity-based costing, resource capacity planning, and dynamic budgeting.
5. Monitor and Learn – Your organization must be committed to monitoring performance results once a strategy has been developed, planned and implemented, enabling you to determine if the strategy is being properly executed. It requires monitoring and learning about problems, barriers, and challenges. This process integrates information about operations and strategy into a carefully designed structure of management review meetings.
6. Test and Adapt – Your organization must also test fundamental strategic assumptions to determine if you, indeed, do have the right strategy. This involves testing and adapting the strategy, using internal operational data and new external environmental and competitive data—thus launching a new cycle of integrated strategy planning and operational execution.
For more information on how to apply the six stages model, contact us.