The Execution Premium: Linking Strategy to Operations for Competitive Advantage
In a world of stiffening competition, business strategy is more crucial than
ever. Yet most organizations struggle in this area--not with formulating strategy but with
executing it, or putting their strategy into action. Owing to execution failures,
companies realize just a fraction of the financial performance promised in their strategic
plans.
It doesn't have to be that way, maintain Robert Kaplan and David Norton in The Execution
Premium. Building on their breakthrough works on strategy-focused organizations, the
authors describe a multistage system that enables you to gain measurable benefits from
your carefully formulated business strategy. This book shows you how to:
ˇ Develop an effective strategy--with tools such as SWOT analysis, vision
formulation, and strategic change agendas
ˇ Plan execution of the strategy--through portfolios of strategic initiatives linked to
strategy maps and Balanced Scorecards
ˇ Put your strategy into action--by integrating operational tools such as process
dashboards, rolling forecasts, and activity-based costing
ˇ Test and update your strategy--using carefully designed management meetings to review
operational and strategic data
Drawing on extensive research and detailed case studies from a broad array of industries,
The Execution Premium presents a systematic and proven framework for achieving the
financial results promised by your strategy.
Robert S. Kaplan is the Baker Foundation Professor at the Harvard Business
School. He has been a codeveloper of both activity-based costing and the Balanced
Scorecard.
David P. Norton is a founder and director of the Palladium Group, a consultancy
focusing on strategy execution, and is codeveloper of the Balanced Scorecard
Table of Contents:
1 Introduction 1
2 Develop the Strategy 35
3 Plan the Strategy 69
4 Strategic Initiatives: Launching the Strategy into Motion 103
5 Aligning Organizational Units and Employees 125
6 Plan Operations: Align Process Improvement Programs 157
7 Plan Operations: Sales Forecasts, Resource Capacity, and Dynamic Budgets
185
8 Operational and Strategy Review Meetings 221
9 Meetings to Test and Adapt the Strategy 251
10 The Office of Strategy Management 281
Index 305
416 pages, Hardcover