Holloway Consulting

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Holloway Consulting
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Class Announcements

• Service Learning Assignment
• Progress Report should be completed one week
  after initial meeting with the client
• Final Exam 700pm April 11, 2014
• Assignment 4 due March 24th available on-line

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Class Objectives

1. Approaching the implementation of strategy
   through the Balanced Scorecard (BSC)
2. Using the four perspectives of the BSC in
   context.
3. Considering objectives, measures and target for
   BSC implementation in context.

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The Balanced Scorecard
Financial Perspective How do we lookto the
firms owners?
Internal OperationsPerspective In which
activities must we excel?
Customer Perspective How do our customers see us?
Innovation andLearning PerspectiveHow can we
continuallyimprove and create value?
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Balanced Scorecard
Illustrative
Strategy Map
Objective
Measure
Target
Initiative
Strategic Theme Internal Product Development
Financial
Customer
Internal
People Knowledge
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Implementation Objectives

• Are concise statements that articulate what the
  organization hopes to accomplish
• Tell the story of the strategy through the
  cause-and-effect relationships in each of the
  four balanced scorecard perspectives
• The companys balanced scorecard would typically
  contain an extensive (3-5 sentence) description
  of each objective

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Implementation Measures

• Measures describe how success in achieving an
  objective will be determined
• Provide specificity and reduce the ambiguity that
  is inherent in word statements
• Specifying exactly how an objective is measured
  will give employees a clear focus for their
  improvement efforts

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Implementation Targets

• Once the objectives have been translated into
  measures, managers select targets for each
  measure
• Targets establish the level of performance or
  rate of improvement required for a measure
• Should be set to represent excellent performance
• Should, if achieved, place the company as one of
  the best performers in its industry
• Even more important would be to choose targets
  that create distinctive value for customers and
  shareholders

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HCS Context

• HCS provide customized information systems
• develop customized information systems that
  integrate outsourcing with internal support
  services
• Characterized by rapid growth
• as they grow how retain customer intimacy
• Follow a customer intimacy strategy
• tailoring services to the precise needs of the
  client
• requires retaining expert staff
• Corporate intellectual assets are firms primary
  competitive advantage
• success depended on both internal and external
  relationships

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HCS Issues

• 1) Operationalizing Strategy
• Manage growth and maintain culture
• Customer Intimacy Strategy
• Human Capital team of experts
• 2) Performance Measurement
• Balanced Scorecard
• Performance objectives, metrics, etc.
• 1.Financial - To grow the company
• 2.Customer - To know and understand customer
  needs
• 3.Internal business processes -To encourage and
  promote knowledge sharing
• 4.Learning and growth - To maintain an open and
  collaborative culture

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HCS Balanced Scorecard
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