"Benchmarking: Aligning Strategic Performance Measurement to Key Stakeholders", Donald Baer, Nov. 21, 2002, 9:50 a.m.

Donald Baer, Senior Manager, Strategic Planning, at "Strategy on the Edge: Charting the course in turbulent times", Strategic Leadership Forum, at the Design Exchange, Toronto, Nov. 21, 2002, 9:50 a.m.

These participant's notes were created in real-time during the meeting, based on the speaker's presentation(s) and comments from the audience. These should not be viewed as official transcripts of the meeting, but only as an interpretation by a single individual. Lapses, grammatical errors, and typing mistakes may not have been corrected. Questions about content should be directed to the originator. These notes have been contributed by David Ing (daviding@systemicbusiness.org) at the IBM Advanced Business Institute ( http://www.ibm.com/abi).

Introduction by Bob Angel, Vice-President of Marketing for the Strategic Leadership Forum, and president of the Gilford Group

Donald Baer:

[Donald Baer]

A case study

RBC banking -- 50% to 60% of the business.

How performance management can provide, if linked to strategy, alignment up and down the organization, and across it.

Four steps

Key stakeholders

Five strategic objectives, held over the medium term:

With the above objectives, how do you measure performance?

Can set external benchmarks for strategic objectives

Can also set internal benchmarks

Most interesting part of performance management is looking at drivers, not just bottom-line numbers.

An example, sales and business performance, have three performance drivers

Next step deeper:  measures under each driver.

Can look at trends, compared region by region

The performance management framework can be driven to different units

Aligning individual plans to performance management framework

Have a short-term incentive program

Relationship between one group of stakeholders, and others.

Suggest:  keep it simple and focused.


How to ensure the managers are incented to raise the bar?

See a lot of measures along revenue and contribution.  Has anything been done on the capital investment side, e.g. how much money or how many people does it take?

Whys?  e.g. what's behind customer retention?


Don had pioneered the idea of a book group at the Strategic Leadership Forum, which has become a successful program.


Some content on this website may be subject to prior copyrights.
Please contact the author(s) prior to reproduction or further distribution of the materials.