Strategic Enterprise Management

Mohamad J. SammanHR Best Practice Group

Doha, QatarOctober 14, 2009

Strategic Enterprise Management introduces broad agenda on how to efficiently implement Corporate Business Strategies to leverage Human Capital contributions for the organizational effectiveness with comprehensive framework that integrates SMART Objectives (KPIs) and Competency Models with Performance Appraisal practices, Compensation, Incentives, Career Development, Succession Planning, and Talents Acquisition processes.

The Presentation shall introduce extensive information of the unlimited advantages through efficiently using measurement-based strategy model to achieve corporate business objectives by implementing Balanced Scorecard (BSC) concept as Strategic Enterprise Management (SEM) Tool to identify and communicate Corporate Business Strategies and deploy strategy roadmaps with clear Matrix and specific Metrics and cascade Strategic Objectives to effectively manage Human Capital.

Agenda

Corporate Struggle!

How to Design, Communicate, and Implement Business Strategy?

Corporate Dilemma!!!

FIASCO

How to Align & Cascade Corporate Objectives and Evaluate Performance?

Global Recession & Financial Crisis: significant decline in the GDPs.

Socioeconomic changes and Cost of Living Inflation/Fluctuations.

Unclear Business Strategy & lack of Corporate Objectives.

Transforming HR Management to Strategic Business Partner Role.

Shortage of Technical Skills and swift migration of Talents.

Employees’ expectations vs. Corporate directions.

New Business Techniques and ERP/ICT Solutions.

Ongoing Quality Improvement and demands for Service Excellence.

Collaboration between Global Joint Ventures and Local Partners.

Outsourcing: Availability, Commitment, Cost, Quality, Control.

Globalization & Labor Laws (Amnesty, Human Rights, ILO).

Global Alliances & widespread Competition (WTO & FTA).

Governmental Regulations, Constrains, and Political conflicts.

Today’s Business Challenges

Leadership & Line Management!– No Authorization/Delegation

– Unclear Accountability

– Slow Decisions & Approvals

Business Practices:– Outdated Policies & Procedures

– Complicated & Inefficient Processes

– Lost Data & Inaccurate Information

– Disorganized Files and Lost Records

– No Control & No Follow-up

Inconsistent Communication

Internal Audit & Legal Compliance

Confidentiality: Rumors & Gossips

Motivation & Loyalty: Reactive Behavior

Corporate Problems

Strategic Enterprise Management

Values

………

DemonstratedSkills & Behaviors

Critical Success Factors

Key Performance Indicators

Vision: Defines the desired or intended future state of a specific organization or enterprise in terms of its fundamental objective and/or strategic direction.

Mission: Defines the fundamental purpose of an organization or an enterprise which is basically describing why it exists.

Values: Beliefs that are shared among the Stakeholders of an organization. Values drive an organization's Behavior, Culture, Business Strategy, and Priorities.

Business Foundation (3 Pillars)

Integrated Business Strategy refers to management techniques, metrics and related tools that companies can use to make strategic decisions.

It is important to link Business Strategy with Human Capital Management by Integrating Balanced Scorecards and Strategic Talents Management to translate Vision and Mission to BusinessStrategy and Objectives and Achievements for Corporate Competitive Advantage.

Integrated Approach

Strategy defines the direction in which an organization intends to move and establishes the business framework and actions to achieve its Goals and Objectives.

Stakeholders are Individuals, Groups, or other Entities that are affected by or have a vested interest in an organization’s Business Strategy, Policies or Decisions.

Business Strategy & Stakeholders

Stakeholders Influence/Power

Organization

Government

Society

Lobbyers

Customers

Suppliers Creditors

Unions

Employees

Management

Owners

Owners: Business Acquisition, Brands, Assets, Reputation, Profitability (ROI), Corporate Governance (Audit), Growth, and Prospects, © & ®.

Management: Accountability, Resources (Human, Technical, Financial), Competition, Costs, Productivity, Objectives, and Performance Outcomes.

Employees: Salary, Benefits, Work Conditions, Training and Career Development, Promotion, Relationships, Job Security, and Satisfaction.

Unions: Memberships, Dues, Collective Bargaining on Pay, Benefits, Work Conditions, Promotions, Job Security, Fair Business Practices.

Creditors: Trustworthy, Assets, Liquidity (Cash-flow), New Contracts.

Government: Regulations, Taxation, Inspection, Legal Compliance.

Lobbyers: Environment, EEO, Human Rights, Disability, Business Ethics.

Society: Corporate Social Responsibility, Contributions, and Activities.

Customers: Quality, Value for Price, Refunds, Services, After-Sale Care, Warranty, Maintenance, Health & Safety, Durability, Reliability.

Suppliers: Competition, Availability, Quantity, Delivery, Payments.

Stakeholders’ Interests

PROPOSITION

STRUCTURE

CUSTOMER

RELATIONSHIPSCUSTOMER

SEGMENTSACTIVITY

CONFIGURATION

CAPABILITIES

PARTNER

NETWORK

REVENUE

STREAMS

INFRASTRUCTURE CUSTOMEROFFER

FINANCE

a business model describes the value an organization offers to

various customers and portrays the capabilities and partners

required for creating, marketing, and delivering this value and

relationship capital with the goal of generating profitable and

sustainable revenue streams

DISTRIBUTION

CHANNELS

Source: Osterwalder (2004) The Business Model Ontology

Business Model Framework

Due-Diligence & Feasibility

S.W.O.T

Internal External

Strength Weakness Opportunity Threat

Government

Shareholders

Products

Customers

Financial

Business Continuity - Risk Matrix

Severity

Probability

Improbable Remote Occasional Probable Frequent

Catastrophic

Severe

Critical

Marginal

Negligible

Business Strategy

Talents & Resources

Efficient Processes

Value-Added Services

Satisfied Customers

Revenue

Balanced Scorecard Model

Business Strategy Map (Sample)

Profits

Revenue from

New Customer

Revenue from

New Services

Revenue from

Alliances

Improved

Operating Efficiency

Alliances

Partnerships

Expand

Business

Prospects

Ongoing

Reliable

Support

Services

Company

Business

Development

and Branding

Benchmarking

Best Practices

Knowledge

Management

Productivity

& Quality

Services

Marketing &

Relationship

Management

New/Ongoing

Business

Opportunities

Media &

Public

Relations

Talents &

Resources

Diligence

Support

Training &

Reward

Admin &

Finance

Services

Performance Matrix and Metrics

Objective Owner Projects Measures Targets Actual

Master Plan (Deliverables)

Jan Mar Apr May Jun July Aug Sep Oct Nov DecFeb

Human Capital Performance

Achievements

Expectations

Who, What, Which, Why, Where, When, and How?

Strate

Managing Human Capital

Talents Acquisition

DevelopmentReward

Demonstrated

Skills/Behaviors

Contributions &

Achievements

Performance Appraisals

Competencies

Performance

Ratings/Outcomes

Strengths &

Weaknesses

Objectives

Higher emphases on rewardingAchievements and Contributions

Individual Objectives are based on:– Organization’s Business Plan;

– Job Requirements (Job Description);

– Additional Contributions (Value-Added).

SMART Objectives (not Tasks)

Specific KPIs & Weighting Factors

Clear Rating Scale and Definitions

Individual Objective’s Measures

Objectives’ Overall Calculated Rating

Ongoing Review and Alignment

Self-Assessment & 360-Degree Feedback

Objectives Mgmt. Design

Specific

Measurable

Achievable

Result-Oriented

Time-Framed

Energizing

Recordable

SMART Objectives

Cascading & Alignment

Corporate Objectives

Division Objectives

Unit/Section Objectives

Individual Objectives

Key Performance Indicators

Targets and Measures

Business

Strategy is

Everyone’s

Business!

Strate

Talents Acquisition

DevelopmentReward

Demonstrated

Skills/Behaviors

Contributions &

Achievements

Performance

Ratings/Outcomes

Strengths &

Weaknesses

Objectives Competencies

Competency is a specific range of Skill, Knowledge,

or Ability.

Competencies are a set of Effective Actions and

Demonstrated Behaviors that, if exhibited, produce

Superior Performance.

What is Competency?

Competency Pyramid

Behavior

Feelings andEmotions

CharacterPersonality

Social InterestsFinancial Needs

Self-Perceptionsand Self-Esteem

Career AspirationHidden Expectations

Unresolved Problems and Critical Issuesfrom the Past Experience

Leadership: Required for all Employees who have direct responsibility for Individuals, Teams, or Projects.

Corporate: Required for all Employees such as: Customer Service, Cost Effectiveness, and Quality.

Generic: Required by Job Category such as: Information Seeking and Analytical and Innovative Thinking.

Technical & Functional: Skills and Qualifications related to the specific functional discipline and unique to each Profession.

Competency Domains

Leadership

Generic

Technicaland

Functional

Corporate

Linked to:– Vision & Mission

– Core Values

Aligned with Strategy:– Corporate Objectives

– Individual Objectives

Strategic Enterprise Management

Business

Transcript of Strategic Enterprise Management

Hewlett Packard Enterprise Strategic Partnership€¦ · Hewlett Packard Enterprise Strategic Partnership The DXC Connect and Hewlett Packard Enterprise (HPE) Strategic Partnership

The Effect of Enterprise Risk Management on the Strategic ...

THE STATE AND STRATEGIC MANAGEMENT OF AN ENTERPRISE

Knowledge Management et Maîtrise des RisquesBusiness Support Strategic Enterprise Management Strategic Enterprise Management Business Intelligence Business Intelligence Managerial

Enterprise Risk Management Leads to Strategic Alignment ... Risk Management Lea… · Enterprise Risk Management Leads to Strategic Alignment and ... •Now the process has evolved

SAP Strategic Enterprise Management

Strategic Asset Management at the San Francisco Public ......Wastewater Enterprise Asset Management Presentation Strategic Asset Management at the San Francisco Public Utilities Commission

The Strategic Implications of Enterprise Risk Management: A

Enterprise Risk Management Health Check - KPMG US … · embedded in the planning and capital allocation processes • The strategic asset allocation, ... Enterprise Risk Management

The Strategic Implications of Enterprise Risk Management ... · PDF fileThe Strategic Implications of Enterprise Risk Management: A Framework Ezeosa Dafikpaku MBA B.Eng(Hons) ... this

STRATEGIC ENTERPRISE MANAGEMENT FOR INNOVATIVE …1)-97-109.pdf · The rest of the study is organized as follows, section 2 is a brief review on strategic enterprise management and

Strategic Management Technique and Method in Engineering Enterprise

Bringing Controlling & Strategic Management Together with ...Bringing Controlling & Strategic Management Together with Enterprise Reporting Suvir Rao BI Business Development Manager

Creating Strategic Models with Enterprise · PDF fileEnterprise Architect Creating Strategic Models with Enterprise Architect ... Creating Strategic Models with Enterprise ... Decision

Enterprise Risk Management – Demystified · Enterprise Risk Management: a strategic business discipline that supports the achievement of an organization’s objectives by addressing

Enterprise Risk Management Leads to Strategic Alignment ... Risk Management Leads to...Enterprise Risk Management Leads to Strategic Alignment and Value Creation Presented by: Alyssa

CIMA strategic enterprise management (SEM) - improving decision-making in your organisation

Improving Approaches to Strategic Enterprise Management in ...

Introduction: Strategic Management of Engineering Enterprise

Enterprise Risk Management Framework - Griffith University...2 Enterprise Risk Management Framework 2020 Effective risk management supports the University to achieve our strategic