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The use of visualization in the

communication of business strategies

An experimental evaluation

Sebastian Kernbach (USI), Martin J. Eppler (HSG)

27 July 2010

IV10 - 14th International Conference

Information Visualisation

26, 27 - 29 July 2010, LSBU, London, UK

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Agenda What

Problem | Research question | Goal of research Why

Relevance | Importance

How

Methodology | Procedure

So What

Results | Limitations | Future Research

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What

Research question:

Is the use of visualization better than text in the communicationof business strategies?

The Problem Strategy Implementation (Communication)

Possible Solution Visualization

Goal of research:

- Provide empirical evidence

- Give indication of how to better communicate strategies to

improve strategy implementation

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Why Overview

Strategy Communication

Methods

Strategy Implementation

Strategy Communication

Effects

Time

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Why Strategy Communication Methods

Analysis

Strategy = How to reach goals (Performance)

Development Planning Implementation

Important ?

Problematic ?

Communication ?

Important ?

Howto communicate ?

Common way: Text

(PowerPoint)

Available, Widely used

Hierarchical bullet-points

Innovative way: Visualization

(Visual Metaphor, Roadmap)

Information organized by location

Illustration of causal relationships

Effects remain unclear Good qualitative and anecdotal feedback

Lack of empirical evidence

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Why Strategy Communication Effects

Analysis

Strategy = How to reach goals (Performance)

Development Planning Implementation

Important ?

Problematic ?

Communication ?

Important ?

Howto communicate ?

Common way: Text(PowerPoint)

Available, Widely used

Hierarchical bullet-points

Innovative way: Visualization(Visual Metaphor, Roadmap)

Information organized by location

Illustration of causal relationships

Effects remain unclear Good qualitative and anecdotal feedback

Lack of empirical evidence

Attention

Comprehension

AgreementRetention

Strategy

Communication

Problems

Strategy

Visualization

Benefits

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Why

H1

H2

H3

H4

Manipulate visual + Measure effects = Causal relationship Experiment

Hypotheses:

In the communication of

business strategies,visualization in the form of a

visual metaphor or roadmap,

leads to better

Attention (H1)

Agreement (H2)

Comprehension (H3)

Retention (H4)compared to the text-only

form of PowerPoint.

Research question:

Is the use of visualization better than text

in the communication of business strategies?

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How Methodology

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How Procedure 1

Real Strategy

Simplified

17 information units

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How Procedure 2Strategy Presentation 10min.

Questionnaire 1 15min.

Attention

Comprehension

Agreement

(Perception of Visual)

(Perception of Presenter)

Subject Background Information

Distraction Task 60min.

Questionnaire 2 15min.

Retention

Control variables

Fixed Measured

Presenter Subject Background Information

Duration Legibility

Environment Visualizer/Verbalizer

Timing and Control variables for each condition

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How Procedure 2

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Mean (SD) ANOVA

PP VM RM Vis. vs Contr.

3.2 (0.9) 4.0 (0.8) 4.6 (0.7) .000

2.9 (0.8) 3.4 (0.6) 3.5 (0.9) .016

1.3 (0.7) 0.9 (0.7) 1.4 (0.7) .306

6.2 (2.5) 8.0 (2.6) 7.9 (3.3) .019

So WhatResults 1

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So WhatResults 2

H5

H6

Perception of

Presenter

Perception ofVisual

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So WhatResults 2

H5

H6

Perception of

Presenter

Perception ofVisual

Mean (SD) ANOVA

PP VM RM Vis. vs Contr.

3.8 (1.2) 5.2 (0.9) 5.7 (1.1) .000

4.3 (1.2) 5.3 (0.9) 5.7 (1.1) .000

Perception

of Visual

Perception

of Presenter

69%

R Square = .687

Sig. = .000

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So WhatLimitations & Future Research

Extent to field experiment

Conduct same experiment in other continents

Laboratory Experiment

Europe

Context

Neutral presenterVideo-tape the presentation

Presenter possibly biasedNo presentation script

Control variables

Include Pre-Measure to ComparePost-MeasureMeasurement

Keep managers as sampleInclude other professions, also lower education

Business Managers attending MBA courseNo engineers, creative people

Sample

Improve Visual MetaphorTwo visualization methods:

Visual Metaphor and Roadmap

Visuals

Generic Business StrategyStrategy Financial ServicesContent

Future ResearchLimitationsArea

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Conclusion

Attention

AgreementComprehension

Retention

Perception of Visual

Perception of Presenter

Research question:

Is the use of visualization better than text in thecommunication of business strategies?

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Thank you for your attention.