Article

Supporting strategy execution through performance management and a new management model

Global service company

Clarification and establishment of new requirements for management model and performance management was required for the global service company to succeed with the execution of new strategy tracks.

Author

Nicolai Steen Worziger

Challenge

A global player in the service industry needed strategic clarification of new requirements for management model and performance management in connection with the execution of new strategy tracks. Implement Consulting Group was chosen to assist with the project.

Approach

The task was initiated with a series of workshops, where relevant stakeholders participated in a collaborative process, including mapping of the current situation, with focus on critical issues in terms of management model, KPI measurement and performance management.

Subsequently, Implement initiated a series of interviews and conducted a number of analyses in selected focus areas. Based on the data and information, Implement, in close collaboration with the client, prepared a solution to the Executive Board with the following recommendations:

  • New requirements for management model and management principles
  • Dimension management and account schedule changes
  • Design presentation on profitability reporting of new product and customer dimensions
  • KPI and key management, including the need for development of new KPIs
  • Master data management and master data governance System support, especially with focus on BI and ERP
  • Requirements for organisational changes, especially focus on governance
  • Alignment of initiation around strategy execution

Impact

  • The recommendations were presented to the Executive Board and the Finance Board. In the spring, it was decided to initiate initiatives to support the implementation of the recommendations
  • Through interviews and dialogue with the organisation, the importance of implementing significant changes in the management model and performance management became visible, which would be critical for the success of strategy execution
  • The listed initiatives will support transparency of customer and service profitability and thus be a supportive factor for positive margin development.