Kaplan & Norton (Balanced Scorecard gurus) on Strategy
Posted By Rob Millard - 0 Comments -
Here's a very succinct statement on strategy, and in particular on performance management systems, by Robert Kaplan and David Norton, authors of The Balanced Scorecard and Strategy Maps:
"Strategy must be understood and executed by everyone. The organization must be aligned around its strategy, and performance management systems help create that alignment. Herein lies one of the major causes of poor strategic management. Most performance management systems are designed around the annual budget and operating plan. They promote short-term, incremental, tactical behaviour. While this is a necessary part of management, it is not enough. You cannot manage strategy with a system designed for tactics."
Quoted from an Ivey Business Journal report titled Building a Strategy Focused Organization.
Hat tip to MBA Depot.
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