In a Harvard Business Review article titled, “Having Trouble with Your Strategy? Then Map It,” Drs. Kaplan and Norton say this about strategy maps:
Strategy maps are first and foremost a communication tool, so theyshould never be overly complicated or perplexing. While this white paper is not an exhaustive study, it does include a few strategy map best practices as well as a number of useful examples.
“The key to executing your strategy is to have people understand it – including the crucial but perplexing processes by which intangible assets will be converted into tangible outcomes. Strategy maps can help chart this difficult terrain.”
Strategy mapsare used by many social and public sectors organizations to clearlycommunicate their strategic plan. A good strategy map should identify key “landmarks”such as financial constraints and customer expectations. Strategy maps can also highlight areas that, if neglected, may hinder mission success. Using this map, a leadership team can explain how they expect to achieve success.
3
Strategic Perspectives
Typically, a strategy map starts with a few broad perspectives. Using the Balanced Scorecard methodology, broad areas may include the customer’s perspective of success, a financial perspective of success, an internal process perspective, and a final perspective, learning and growth, which describe culture and capacity. Each of these perspectives serves as a frame of reference for tangible objective statements.
Objective State
ments
The next step in building a strategy map is to begin identifying the most critical objectives in each perspective. Objectives are short statements that define what an organization must continuallydo to achieve its mission. Objective statements can be phrases or complete sentences. They can be written as declarative statements (“We must develop new technology”) or in the voice of the customer (“My family received the best care”).
Building Consensus
Building a strategy map is a team effort that requires real time and discussion, especially at the highest levels of leadership. Each of the example strategy maps below illustrates a strategicplan designed for an organization in a particular situation. Certain maps may have elements that resonate with your team; however, it is recommended that a leadership team only adopt a strategymap after thorough discussion of the situation and selection of the few critical pieces that will contribute to mission success.
Figure 1: Perspectives in a Nonprofit Organization
4
Hospital Strategy Map
* Strategy Map is Modified for Educational Purposes
Example Strategy Map Template for a T
eaching Hospital
Teaching hospitals are very important institutions and play a major role in training the next generation of healthcare providers in addition to developing advanced new medical treatments.This healthcare organization’s leadership team has placed an emphasis on research as it drives innovation, attracts top talent, improves the bottom line, and even serves as a great communityrelations conduit through which amazing stories of healing can be shared. However, while research is critical, the top row of this strategy map still focuses on the patient. While the research, finances,and community relations are all important, healing and comfort for patients and their families is really the most important goal for this entire system.
5
Example Strategy Map Template for a Growing Healthcare
Syste
m
This healthcare organization’s leadership team has placed an emphasis on growth. By investing in infrastructure, optimizing efficiencies, and attracting new talent, they expect to expand the healthcare system’s reach into new fields. Growth is an ambitious challenge. With a solid strategy map and an energized leadership team ready to expand their organization’s impact, there is a good chance the medical team and the community will also get excited. By consistently sharing their vision and this roadmap for success, the hospital will continue building momentum behind an expansion of geographic reach as well as improving the breadth and quality of services provided to the surrounding community.
Hospital Strategy Map
* Strategy Map is Modified for Educational Purposes
Quality, convenient and compassionate medical care
Improve access for patients and referring MD’s
Grow Volume/ Revenue
Recruit & Retain the Most Talented Individuals
Improved Access
Quality care with accessto cutting edge tools and support staff
Manage Costs
Expand Accessto wider Geographic Regions
Research & Teaching Excellence
Quality Patient Care
AttractResearch Funding
Achieve BestClinical Outcomes in Our Specialties
Create the most efficient Operating Rooms
Set Expectations and Hold Teams Accountable
Investin our Infrastructure
Develop Residents, fellows & students into Tomorrow’s Leaders
Providing unparalleled clinical careto patients; Conducting cutting-edgeresearch to eradicate disorders;and,Developing advanced skills intomorrow’s medical specialists.
To care for our patients and their familiesas if they were our own
6
Hospital Strategy Map
* Strategy Map is Modified for Educational Purposes
Example Strategy Map Template for a Regional Healthca
re
Syst
em
This healthcare organization provides services to a historically underserved population. Rather than tryto make all the changes themselves, this leadership team plans to expand their impact by leveraging a number of powerful local organizations who are also committed to improve the health of the community.So while this organization does spend a majority of its resources on traditional medical care, it also directs considerable effort and energy towards community health and community education programs that aim to prevent the causes of illness at the source. By going beyond traditional procedures and ensuring clean water,educating about health and diet, and providing vaccination and dental care through local partners – this organization can extend its impact in the fight to increase regional health.
Provide Responsive & Accessible Services
Promote Ourselves as the Leading Health Services Provider
Increase Revenue
Hire theRight People
Establish a Reputation of Excellence
Provide Respectful & Culturally Sensitive Treatmentand Services
Support Successful Health Outcomes
Budget and Manage Resources Appropriately and Efficiently
Encourageand Equip Peopleto Better Manage Their Health
Improve Partnerships & Collaborations
Provide Customer Focused Health Services
Manage the Business
Partner with Community Stakeholders
Improve & Expand Accessto Care
Improve Health Outcomes
Make the Healthcare SystemEasier to Navigate
Improve Resource ManagementImprove Administrative ProcessProduce, Analyze & Act UponPerformance Data
Develop a Competent Workforce
Be Ethical, Transparent & Accountable
Provide Quality Healthcare, Health Educationand Public Health Services that will enableour community to become healthier.
7
Medical Association S
trategy Map
* Strategy Map is Modified for Educational Purposes
Example Strategy Map Template for a Medical and/or Healthcar
e Association
Medical associations provide important services to the providers, hospitals, and the greater communities in which they exist. Services such as information sharing about new tools and methods of care, the latest news on regulatory changes, training, providing a forum for discussing relevant challenges, and even serving as a quality advocate, all serveto increase the effectiveness of medical services providers. This medical association uses its Balanced Scorecard and strategymap to ensure it is balancing its efforts across each major perspective to ensure maximum impact for both providers and the sur-rounding community who relies on quality healthcare services.
WillResultinService Excellence
Help improve care and foster disease preventions
Deliver cost-effective products and services for all member segments
Add value to our professional seal of approval
Disseminate tools and best practices
Turning knowledge into practice toimprove patient care andincrease value of membership.
Improve patient engagement and outcomes
Communicate effectively Drive Health System Reform to deliver highest quality care
Develop clinical standards
Collaborate effectively with other health related organizations
Identify the latest advances
Run programs and services inan effective and efficient manner
Promote good governance
Cultivate leadership among engaged members
Maximize sales revenues
Ensure a healthy mix of funding sources
Acting in Strategic Ways
Plus Our People
Our Resources
8
Co
nclusion
Successful strategy maps come in a number of shapes, styles, structures, and complexities. Aside from sector–by-sector differences, varying formats can be found across many languages, cultures,and strategic environments. The one unifying goal is to make a communication tool that engages the entire team and community behind a shared plan of action to achieve the mission at hand.
ClearPoint Strategy
Balanced Scorecard Software
ClearPoint’s reporting software is built by managers, for managers. It’s made for the value-conscious organization that needs a single place to organize and analyze all of its data. If you’re ready to find a solution for your organization, or want to try out ClearPoint for free, let’s talk.