Strategy Maps

A selection of editable strategy maps

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Any intelligent fool can make things bigger and
more complex. It takes a touch of genius – and a
lot of courage – to move in the opposite direction

Albert Einstein

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The Strategy Map

A Strategy Map is a diagram that describes how a company or organisation can create value by linking
strategic objectives in a cause and effect relationship.
• It is based on the four Balanced Scorecard Perspectives: Financial, Customer, Internal Processes and
Organisational Capacity.
• The key element of the Strategy Map is that it is linked to the ‘scorecards’ that monitor the progress
towards the Strategic Objectives.
• The ‘scorecards’ will include: metrics, targets for the metrics and strategic initiatives to drive
performance towards achieving the objectives.

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The Strategy Map

The Balanced Scorecard is a strategic planning and management method used to:
• align business activities to a vision and strategy of an organisation
• improve internal and external communications
• monitor organisational performance against strategic goals.

The design of Balanced Scorecard concerns itself with:

• the identification of a small number of financial and non-financial measures referred to as Perspectives
• setting targets for the measures and then
• measuring them on a regular basis to determine success or failure.

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Templates

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A classic generic Kaplan and Norton styled strategy map

Productivity Strategy Growth Strategy

Financial Long-Term
Shareholder
Perspective Value

Expand Enhance
Improve Cost Increase Asset
Revenue Customer
Structure Utilisation
Opportunities Value

Customer Customer Value Proposition

Perspective
Price Quality Availability Selection Function Service Partnership Brand

Product / Service Attributes Relationship Image

Operations Management Customer Management Regulatory and Social

Internal Processes Processes
Innovative Processes
Processes
Perspective Supply Selection Opportunity Identification Environment
Production Acquisition R&D Portfolio Safety and Health
Distribution Retention Design / Develop Employment
Risk Management Growth Launch Community

Organisational Human Capital

Capacity
Information Capital

Organisational Capital
Culture Leadership Alignment Teamwork

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Private sector example with ‘strategic themes’

Financial Increase Shareholder

Perspective Value

Improve position in Increase Profitability

Defined Markets Increase Revenue
Streams

Customer Intimacy Technology Driven Operational Excellence

Customer Improve Advisor
Perspective Position Improve Flexible Improve Repeat
Solutions Business Rate
Increase
Added Value

Internal
Improve
Perspective Increase
Resourcing
Knowledge
Services
Base Usage
Improve Integrated
Strengthen 3rd Business Processes Improve Cost
Improve
Party Management
Solution
Relationships Processes

Organisational
Capacity Improve Operational
Enhance Relationship
Management Skills
Skills

Improve Solution
Improve Industry Management Enhance Career
Knowledge Planning

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Public sector example with content and strategic themes

Value to Taxpayer
Customer &
Stakeholder
Safe and Convenient Bus On Time as
Services Promised

Financial Balance Budget

Support Business and Create Business Cases Lower Cost of Bus
Commerce and Secure Funding Transportation Services

Internal Relationship Innovation Operational

Processes Easy to do
Management Drive Innovation in New Excellence
Business With
Transport Systems
Deliver World Class Bus
Streamline Services
Improve
Regulatory
Sustainability
Approval Accelerate
of Communities Develop and
Processes Economic
Introduce New
Development Provide Cost Optimise
Transport
through Route Effective Availability
Technology
Open and Frequent Investment Solutions of Busses
Communication to Impacted
Customers

Improve All
Optimise Planning of Bus Understand New Route Aspects of Bus
Stop Position and Needs (and Old) Safety
Construction

Organisational
Empowered Customer Service Integrated Knowledge
Capacity Highly Skilled Bus Drivers
Agents Management Systems

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 Capacity Processes Customer Financial
Basic Strategy Map Background

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Basic empty template with oval objectives

Financial
Perspective
What are our most
important financial
outcomes?

Customer
Perspective
How should we appear
to customers?

Process
Perspective
At what do we need
to excel to fulfill
customer
expectations?

Organisational
Capacity
Perspective
How will we sustain our
ability to improve?

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Empty frame with vision, mission and core values

Vision:

Mission:

Financial

Customer

Internal Processes

Organisational Capacity

Core Values:

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Empty frame with strong colours

Vision

Financial

Customers

Internal Processes

Organisational Capacity

Core Values:

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Multi Coloured with Branding

Financial
Improve
Revenue
Acme Strategy Map
Customer
Improve
Marketing

Process
Improve
Processes

Capacity
Improve
Knowledge

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An integrated strategy map

Vision Transforming people’s lives positively through an interconnected information society

Purpose We will build a connected society that enhances socio-economic progress, embraces everyone and does not come at the cost of our planet.
Strategic
Content Partnerships Customer Service Brand Awareness
Priorities

Strategic Strong supply chain for content and information Clarity in offering that surpasses anything in the Reinvigorated brand based on successes, to
Results services, exclusive agreements market today, best user interface attract a wider and younger audience

Strategic Objectives KPIs Targets Projects

Financial • Net profit • ↑ 5% per year • Implement new financial

Increase • Operating costs • ↓ 3% per year accounting system
Decrease • Revenue in target • ↑ 12% per year
Increase Profitability • Simplify billing operations
Operating markets
Revenue
Costs • Competitive end user
requirements market studies for
new UK regions
Customer • % Market share index • ↑ 3% per year
• “Improve the Offering” two year
• % Customer
Improve Improve Improve satisfaction index • 85% this year programme
Clarity of Market Customer • % Focus group user • Create improved offering
Offering Perception Satisfaction index • > 90% each focus selection process
session
• Hook into ‘Improve the
Offering’ programme
Internal • New products as % of • 12% this year
• Training programme for new
Processes sales
Improve Improve Improve • Brand awareness • ↑ 5% per year offerings and user interface
Improve Cost
Offering Information Stock score
Control • Product and marketing training
Selection Services Reliability • Cost efficiency index • > 90% every programme
reporting period
• 2 year content supply
agreements
Organisational • Employee • 95% in place
• Technology improvement
Capacity development plans
Improve • Technology training • 90% efficient programme including data centre
Improve Improve upgrade
Knowledge index
Technology Supply Chain • Supply chain • 95%
and Skills
efficiency index

Customer Focus - Integrity - Quality - Helpfulness - Community - Efficiency

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The strategy map element of the integrated strategy map

Transforming people’s lives positively through an interconnected information society

A connected society that enhances socio-economic progress, embraces everyone and does not come at the cost of our planet

Content Partnerships Brand awareness Customer Service

Financial
Increase
Decrease
Increase Profitability
Operating
Revenue
Costs

Customer
Improve Improve Improve
Clarity of Market Customer
Offering Perception Satisfaction

Internal
Processes Improve Improve
Improve Stock Improve Cost
Offering Information
Reliability Control
Selection Services

Organisational
Capacity Improve
Improve Improve
Knowledge
Technology Supply Chain
and Skills

Honesty - Integrity - Helpfulness - Community - Efficiency

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Rectangular objectives rather than ovals

Mission: Company Vision:

Name

Strategic Themes
Theme One Theme Two Theme Three

Financial Strategic Objective 1 Strategic Objective 2

Strategic Objective 3
Customer

Internal

Capacity

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A different approach (does not lend itself to causal relationships)

Vision: Mission:

Financial

Customer Internal

Capacity

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A Radical approach

Financial

This circular version is

occasionally used to focus

Fin
an
everything towards the

ci al
Ob
mission and strategy, as a

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lO rally-call it works well.
1
Mission a
er n
In t
However it lacks in its ability
Customer

Internal
Vision
Mission to present causal linkages

ti ve
1
Tesco used this approach
b j ec

tom
e rO Le
ar
n during their ‘Every Little
s
Cu
ing
Ob
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Helps’ campaign
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1

Learning

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Output from Spider Impact

Using PowerPoint to create a

strategy map is a good first
step. The application will
allow you to create any visual
representation that you might
require.

However, PowerPoint will not

update the data automatically
next month, or the month
after that.

Generating a strategy map

using an application like
Spider Impact is easy and will
ensure your data is always up
to date.

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Using Spider Impact to manage your balanced scorecard and strategy maps

Software is not required to implement a Strategy Map or Balanced Scorecard, but it really helps. A good
software tool will allow user to:
• create meaningful Strategy Maps with minimum fuss
• organise key metrics in a meaningful way
• display data and combinations of data
• provide management teams with a clear business overview
• allow users to input data easily and frequently
• Provide the means to ‘drill down’ to the underlying data should the need arise to question a specific
activity

Intrafocus recommends Spider Impact to those companies that want to take a structured approach to
rolling out Strategy Maps and Balanced Scorecards

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Thank You

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