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Strategic Alignment and Financial Performance Indicators

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Strategic Alignment and Financial Performance Indicators

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From the article: "After 1993, the concept of strategic alignment is evaluated from the connection between IT and business to much broader definitions in which the connection between all business functions, horizontally and vertically, and later also with projects and stakeholders is mentioned. To achieve stategic alignment there must be a coordination between the strategy of organizations and those who contribute to the implementation of the strategy and the actual performance of an organization. This process is called Human Oriented Performance Management (HOPM). The HOPM model consists of four dimensions: strategy translation, information and visualization, dialogue and action orientation, and continues improvement and organizational learning. To measure the effect of strategic alignment a range of financial performance indicators are used. Based on a literature review this paper explores which financial performance indicators could be used to measure the effect of HOPM. The literature was selected over a period from 1996 – 2015. The research is not only focused on the top of the strategy map, but also on the cause-effect relationships in the strategy map. The underlying performance indicators in the strategy map can show on which figures the dialogue in the HOPM model about strategy implementation must be based. This dialogue is the input to action in which strategic alignment comes about. The goal of the research is to optimize this dialogue by looking for performance indicators that can show the effect of HOPM"

The article is used for the course: 'corporate policy' minor MSMM (Masterclass Strategic Marketing Management).

Toon meer
OrganisatieHogeschool Utrecht
AfdelingKenniscentrum Digital Business & Media
Kenniscentrum Economisch Sterke en Creatieve Stad
LectoraatProcesinnovatie en informatiesystemen
Gepubliceerd inProceedings, Edited by Dr. Ing. Benny M.E. de Waal and Prof. dr. Pascal Ravesteijn ISBN: 978-1-912764-01-3 HU / ACPI
Datum2018-10-18
TypeConferentiebijdrage
TaalEngels

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