AIESECBalanced Scorecard : AIESECBalanced Scorecard 2010 Revision
When the Scorecard is not in place : When the Scorecard is not in place
When the Scorecard is in place : When the Scorecard is in place
Quality : Quality Growth Consistency Bigger and Better
Strategy : Strategy
What is strategy? : What is strategy? Gives focus & direction to organization’s activities;
Helps define what not to focus on, what not to do;
Aims to create a unique competitive position in the long-run
STRATEGY CHOICES : STRATEGY CHOICES Product Leadership Product Customer Revolutionary and unique products/service
Superior quality
Superior functionalty
Develop products and then create customer demand, educate the market Cost Business Logic Market Position Individualism
Enterprize
Risk-taking
Fantasy – unconventional thinking
Knowledge Values
Balanced Scorecard : Balanced Scorecard
What is Balanced Scorecard? : What is Balanced Scorecard? The balanced scorecard is a strategic planning and management system that is used extensively in business and industry, government, and nonprofit organizations worldwide to align business activities to the vision and strategy of the organization, improve internal and external communications, and monitor organization performance against strategic goals. BSC Institute.org
Why does AIESEC need a BSC? : Why does AIESEC need a BSC? Gives direction and focus to countries;
Ensure global alignment of what we are and what we have to do;
To have clear steps to achieve our goals.
Steps of a BSC implementation : Steps of a BSC implementation Balanced Scorecard Translating and clarifying the vision and strategy:
Clarifying the vision;
Establishing consensus. Communicating and setting links:
Communication and setting links;
Setting goals;
Linking reward to performance assessment. Planning and setting goals:
Setting goals;
Aligning strategies initiatives;
Allocating resources;
Setting reference points. Feedback and strategic learning:
Developing the holistic view;
Improve the strategic feedback;
Facilitate the strategic review and feedback.
Slide 12 : The AIESEC Way AIESEC 2010 Strategic triangle and numeric goals Product Leadership Balanced Scorecard (CSFs & KPIs) BSC design PROCESS Goals Strategy Execution &
Management Mission Vision
Business logic models : Business logic models “How the business perspectives are arranged in a Scorecard is adjusted to the business logic of the organization” Traditionally, profit organizations perspectives are arranged as
Slide 14 : Business Logic AIESEC of Our new understanding…
Our IT platforms and members build the capacity needed to execute our internal processes
The excellence of our processes enable the organization to run its operations to fulfill the needs of our customers ensuring the financial sustainability of AIESEC
By providing leadership experiences, international exchanges and a global learning environment, we develop individuals for a positive impact on society
The new business logic drives the operations and strategy of the organization towards the AIESEC Way CUSTOMERS SUSTAINABILITY THE WAY WE DO IT INTERNAL PROCESSES LEARNING & CAPACITY
The New Strategy Map : The New Strategy Map
Slide 16 : THE WAY WE DO IT HIGH VOLUME OF HIGH QUALITY @XPS IMPACT INCREASING
EXCHANGE XPS PROVIDING HIGH QUALITY AIESEC XPS GENERATING
LEADERSHIP XPS RECRUITMENT & INDUCTION MANAGING TALENT CUSTOMERS INTERNAL PROCESSES LEARNING & CAPACITY RELATIONSHIP MANAGEMENT WITH PARTNERS AND ALUMNI PLANNING & REVIEW MANAGING INFORMATION IT INFRASTRUCTURE GOVERNANCE & ACCOUNTABILITY FINANCIAL SUSTAINABILITY MARKET ANALYSIS SUSTAINABILITY OFFERING THE RIGHT OPPORTUNITY FOR OUR MEMBERS CAPITALISING ON
NETWORKS, MARKETS AND
ISSUES EXTERNAL POSITIONING FOR STUDENTS AND ORGANISATIONS
Slide 17 : SUSTAINABILITY THE WAY WE DO IT HIGH VOLUME OF HIGH QUALITY @XPS IMPACT INCREASING
EXCHANGE XPS PROVIDING HIGH QUALITY AIESEC XPS GENERATING
LEADERSHIP XPS RECRUITMENT & INDUCTION MANAGING TALENT CUSTOMERS INTERNAL PROCESSES LEARNING & CAPACITY OFFERING THE RIGHT OPPORTUNITY FOR OUR MEMBERS CAPITALISING ON
NETWORKS, MARKETS AND
ISSUES RELATIONSHIP MANAGEMENT WITH PARTNERS AND ALUMNI PLANNING & REVIEW MANAGING INFORMATION IT INFRASTRUCTURE GOVERNANCE & ACCOUNTABILITY FINANCIAL SUSTAINABILITY MARKET ANALYSIS MEMBERSHIP ADMINISTRATIVE MANAGEMENT MARKET AND RELATIONSHIP MANAGEMENT OPPORTUNITIES EXTERNAL POSITIONING FOR STUDENTS AND ORGANISATIONS
Understandingthe CSFs : Understandingthe CSFs
Learning & CapacityPERSPECTIVE : Learning & CapacityPERSPECTIVE
Slide 20 : RECRUITMENT AND INDUCTION Key Performance Indicators “ ” We have quality recruitment and induction processes
that ensure we have the right people to run the
organization and meet our goals . Processes Performance Indicators Processes Talent Marketing Talent Planning Talent Induction Talent Selection
Slide 21 : MANAGING TALENT Key Performance Indicators “ ” Our people are allocated in the best roles for their
development and for the organization’s performance . Processes Talent Allocation Talent Goal Setting Processes Performance Indicators Members education
Slide 22 : IT INFRASTRUCTURE Processes Key Performance Indicators “ ” LC Administration rights of IT Systems We have the access to the needed Information technology
resources to run our activities and processes effectively. Processes Performance Indicators
Internal ProcessesPERSPECTIVE : Internal ProcessesPERSPECTIVE
Slide 24 : GOVERNANCE & ACCOUNTABILITY Processes “ ” Internal & External Reporting Legal Compliance By aligning our operations with legal and financial
aspects, we ensure the transparency and quality
of our organization. Key Performance Indicators Processes Performance Indicators
Slide 25 : MANAGING INFORMATION Key Performance Indicators “ ” We manage information effectively to run our operations,
facilitate communications and ensure continuity. Processes Usage of myaiesec.net Internal Communication Processes Performance Indicators
Slide 26 : PLANNING & REVIEW Processes “ ” We have planning & review processes that support
our people in the achievement of our personal
and organizational goals. Planning & Budgeting Talent Orientation, Reward & Recognition Key Performance Indicators Processes Performance Indicators
Slide 27 : RELATIONSHIP MANAGEMENT WITH PARTNERS AND ALUMNI Key Performance Indicators “ ” The relationship with our partners (TN-takers, University)
and alumni results in a high retention and engagement
towards the organizational activities. Processes Account Management Partnership Management Servicing Processes Performance Indicators
Slide 28 : MARKET ANALYSIS Key Performance Indicators “ ” We know our position in the market and we are able to
identify the best opportunities for AIESEC to
capitalize on. Processes Brand perception External Research Market Segmentation Processes Performance Indicators
CustomersPERSPECTIVE : CustomersPERSPECTIVE
Slide 30 : EXTERNAL POSITIONING FOR STUDENTS & UNIVERSITIES Processes Key Performance Indicators “ ” We are able to position AIESEC effectively in order
to secure maximum benefit from the right target audiences. University Relations Processes Performance Indicators Promotion & Marketing
Slide 31 : CAPITALIZING ON NETWORKS, MARKETS AND ISSUES Processes Key Performance Indicators “ ” We increase the quality and quantity of diverse AIESEC
experiences by making proper use of our networks,
markets and issues related to country trends and work fields. Sales Management and TN Raising Processes Performance Indicators Supply & Demand Management
Slide 32 : OFFERING THE RIGHT OPPORTUNITY Processes Key Performances Indicators “ ” We offer the right opportunities to our members to
ensure they will develop themselves through the
AIESEC Experience. Internal Promotion of X & EP Raising Internal Promotion of LR & LR Offered Processes Performance Indicators Supply & Demand Management Talent review
SustainabilityPERSPECTIVE : SustainabilityPERSPECTIVE
Slide 34 : FINANCIAL HEALTH & SUSTAINABILITY Processes Key Performance Indicators “ ” By running our operations effectively we
are financially healthy and sustainably. Revenue Generation Reserves and investment Management Processes Performance Indicators
The way we do itPERSPECTIVE : The way we do itPERSPECTIVE
Slide 36 : INCREASING EXCHANGE XPS Key Performance Indicators “ ” We are continuously increasing the number of
exchange experiences we deliver to our members
and to the market. Processes Exchange Servicing Exchange Matching Processes Performance Indicators Supply and Demand management Exchange pipeline management
Slide 37 : GENERATING LEADERSHIP EXPERIENCES Processes Key Performance Indicators “ ” We generate leadership experiences required to
meet the needs of the organization and the
expectations of our members. Talent selection Processes Performance Indicators Talent tracking and pipeline management
Slide 38 : QUALITY OF AIESEC EXPERIENCES Processes Key Performance Indicators “ ” We deliver high quality experiences to our members. Talent education Competency Management Communication plan Process Performance Indicators
Map Overview : Map Overview
Slide 40 : RECRUITMENT & INDUCTION Talent Promotion Talent Selection MANAGING TALENT Talent Allocation GOVERNANCE & ACCOUNTABILITY External Board Management Internal & External Reporting Accessibility RELATIONSHIP MANAGEMENT Account Management PLANNING & REVIEW Plan & Budget Organizational Performance Management MANAGING INFORMATION Knowledge Management Internal Communication Usage of IT Systems CAPITALISING ON NETWORKS, MARKETS AND ISSUES Sales Management and TN Raising Product Positioning Product Development Alumni management MARKET ANALYSIS Analysis of Supply & Demand Segmentation Brand perception Research INCREASING EXCHANGE XPS Exchange Matching Exchange Servicing QUALITY OF AIESEC XPS Competency Management AIESEC XPs Quality Measurement LEADERSHIP FOR A POSITIVE IMPACT ON SOCIETY Organizational Structure Revision Internal Promotion for X & X Raising GENERATING LEADERSHIP XPS Talent Planning Talent Induction Administration IT Systems CUSTOMERS INTERNAL PROCESSES LEARNING & CAPACITY THE WAY WE DO IT IMPACT Legal Compliance CSFs Processes Alumni network capitalization Reward & Recognition Talent Performance Appraisal GIVING THE RIGHT
OPPORTUNITY Talent Goal Setting & Orientation Revenue generation FINANCIAL SUSTAINABILITY Internal Promotion for LR and LR Offered SUSTAINABILITY Reserves & investment management IT INFRASTRUCTURE EXTERNAL POSITIONING TO STUDENTS & ORGANISATIONS Public Relations Promotion & Marketing
Slide 41 : Look this map…
Slide 42 : SUSTAINABILITY THE WAY WE DO IT LEADERSHIP FOR A POSITIVE IMPACT ON SOCIETY IMPACT INCREASING
EXCHANGE XPS PROVIDING HIGH QUALITY AIESEC XPS GENERATING
LEADERSHIP XPS RECRUITMENT & INDUCTION MANAGING TALENT CUSTOMERS INTERNAL PROCESSES LEARNING & CAPACITY OFFERING THE RIGHT OPPORTUNITY FOR OUR MEMBERS CAPITALISING ON
NETWORKS, MARKETS AND
ISSUES RELATIONSHIP MANAGEMENT WITH PARTNERS AND ALUMNI PLANNING & REVIEW MANAGING INFORMATION IT INFRASTRUCTURE GOVERNANCE & ACCOUNTABILITY FINANCIAL SUSTAINABILITY MARKET ANALYSIS MEMBERSHIP ADMINISTRATIVE MANAGEMENT MARKET AND RELATIONSHIP MANAGEMENT OPPORTUNITIES EXTERNAL POSITIONING FOR STUDENTS AND ORGANISATIONS
Slide 43 : Does this map tell you something regarding your performance?
Slide 44 : And now?
Slide 45 : SUSTAINABILITY THE WAY WE DO IT LEADERSHIP FOR A POSITIVE IMPACT ON SOCIETY IMPACT INCREASING
EXCHANGE XPS PROVIDING HIGH QUALITY AIESEC XPS GENERATING
LEADERSHIP XPS RECRUITMENT & INDUCTION MANAGING TALENT CUSTOMERS INTERNAL PROCESSES LEARNING & CAPACITY OFFERING THE RIGHT OPPORTUNITY FOR OUR MEMBERS CAPITALISING ON
NETWORKS, MARKETS AND
ISSUES RELATIONSHIP MANAGEMENT WITH PARTNERS AND ALUMNI PLANNING & REVIEW MANAGING INFORMATION IT INFRASTRUCTURE GOVERNANCE & ACCOUNTABILITY FINANCIAL SUSTAINABILITY MARKET ANALYSIS MEMBERSHIP ADMINISTRATIVE MANAGEMENT MARKET AND RELATIONSHIP MANAGEMENT OPPORTUNITIES EXTERNAL POSITIONING FOR STUDENTS AND ORGANISATIONS
Coloring the map : Coloring the map
Coloring? Why? : Coloring? Why? One interesting thing about BSC is that it is a very visual tool. Just looking into the map you can see how the organisation is performing taking in consideration colors, that are based on the critical success factors.
It’s very simple:
Green: Excellent Performance
Yellow: Medium Performance
Red: Low Performance
Colored Map : Colored Map A Colored Map could pass a strong message for people who are leading and operating the organisation, informing them where we are doing well and where we are not doing well.
So, how does it work? : So, how does it work? The color of the CSF’s are based on the performance of its indicators.
So first of all, let’s understand how we analyze the performance of the indicators.
KPIs Performance : KPIs Performance Numerical (absolute and relative)
They are measure comparing to its goals in the period. 99%-100% of goal achieved 90%-98% of goal achieved 0%-89% of goal achieved
Example: : Example: INCREASING
EXCHANGE XPS
KPIs Performance : KPIs Performance Yes or No
They are measure by the simple analyze if it was achieved or not. Yes, if goal was achieve No, if goal wasn’t achieve
Example: : Example: INFORMATION MANAGEMENT
CSFs Performance : CSFs Performance To measure the color of CSF, you must make an basic average of the performance of the KPI’s of the CSF based on this method: Green KPI rate 3 Yellow KPI rate 2 Red KPI rate 1
Math : Math Add up the rate of all KPIs and divide it for the number of KPIs;
CSFs color will be based on below: For results > 2,5 For results between 1,5 and 2,5 For results < 1,5
Example: : Example: INCREASING
EXCHANGE XPS MATH: 2 (yellow) + 3 (green) 2 (number of KPIs) = 5 2 = 2,5
Example: : Example: MATH: 3 (green) + 1 (red) 2 (number of KPIs) = 4 2 = 2 INFORMATION MANAGEMENT
Coloring the map : Coloring the map Once you do the same process for all indicators and CSFs, you will have the whole map colored;
The colored map represents your performance, it is an input for future plan’s revision and decision making.
It is suggested that you analyze the whole map, coloring it at least once a quarter.
Reporting : Reporting
Slide 60 : NFA/LFA Initiatives & Actions NFA/LFA CHARTS HIGHLIGHTS Blá blá blá Blá blá blá Blá blá blá Blá blá blá Blá blá blá
Slide 61 : Ideal Management Cycle
Slide 62 : what our vision and ambition is
where we are
where we want to be
what is surrounding us
what are the opportunities and threats
what are our weaknesses and strengths
Once we know where we are
where we want to be
what is the gap
We start generating the solutions, actions, initiatives and approaches to get there. The output of this stage is what we call “Plan”, which basically is a set of goals and actions/projects with clear deadline and responsible, everything supporting the achievement of those goals.
Slide 63 : Once we know what we need to do, when and who, we need to start tracking the execution of what was planned, checking if it is done or not done, and if we are achieving the goals or not.
Slide 64 : Did we execute what was planned? If we did execute, now it is time to check the goals again, did we achieve the goals? Here there are some correlations that lead us to 4 conclusions:
The plan was executed we achieve the goal, so it is fine.
The plan was executed and didn’t achieve the goals, so there is a problem of strategy, we have picked the wrong initiatives to support the achievement of our goals.
The plan was not executed and we didn’t achieve the goals. In this case we have an operational problem, potentially a failure in the execution, and might be one team or one person.
The plan was not executed and you achieved the goals. Congratulations, or you are luck, or you have made an outstanding plan that even if you didnt execute everything you were able to reach the goals, or… your goal setting wasn’t that good.
Slide 65 : One of the most important steps in the ideal management cycle, is making sure our main stakeholders know what is our position, how the plan has been executed, what are our challenges and achievements. In the reporting stage you must report based on your plan, addresing what was achieved and not achieved, executed and not execute, adding the “Why’s” from the evaluation stage. Once you are done with that you are able to keep people committed and actually you can count on people’s potential and ideas to overcome possible challenges.
Slide 66 : After checking the execution, evaluating the plan execution and results, identifying gaps, challenges and opportunities, and reporting to the main stakeholders, getting their input and feedback, it is time to answer the question: “Is there anything we can change in the plan to be better and ensure we will achieve the final goal?”. Once you answer the question, it is time to prioritize what you need to change, check if you have resources available to implement the proposed changes and add it to your plan.
Slide 67 : Planning Flow
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Slide 71 :