design and impln perf man kpis rcs casestudy

7/31/2019 Design and Impln Perf Man KPIs RCs CaseStudy

1/21

Design and implementation of performance

management systems, KPIs and responsibility

centres : A case study

Dwarkanath Prabhu ([email protected])

IIM Bangalore

PGPPM Office, IIM Bangalore, Bannerghatta Road, Bangalore 560076

Cell : +91 81 477 53043

Sateesh Hegde ([email protected])

IIM Bangalore

PGPPM Office, IIM Bangalore, Bannerghatta Road, Bangalore 560076

Cell : +91 94 480 91428
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]


2/21

1

Design and implementation of performance management systems, KPIs

and responsibility centres A case study

Abstract

Responsibility centres, balanced score cards, EVA, performance management system, KPIs

etc are organizational systems of great significance for creating corporate performance.

Glories of successful corporate transformations using these systems have been well

documented and studied in depth. However, there have also been multitudes of partial or total

failures of such organizational transitions which are often neglected by researchers. Study of

failure cases can provide the control group necessary to test the critical factors influencing

successful transformations which are often credited to top management involvement,

charismatic leadership, capacity building etc. Moreover, most case studies are about large,

especially fortune 500 companies, usually headquartered in the US or Europe the lessons

from whose experience may not be applicable to Asian companies, particularly those in the

SME and MME sectors. This paper describes and discusses a case study of a small Indian

enterprise in order to highlight the issues required to be considered when designing and

implementing organizational transformation programs for smaller Asian organizations.


3/21

2

Design and implementation of performance management systems, KPIs

and responsibility centres A case study

As the Binoy roy, CEO of TechEdge, walked out of the meeting room followed by the

Vice Presidents of the different departments, the expressions on their faces betrayed various

feelings ranging from relief to frustration. It was not easy to develop a consensus even among

the top management team on such a critical issue as performance management.

TechEdge was a system integration company in core business of providing IT solution

and services for multiple industry verticals. The company partnered with various technology

vendors in various capacities such as System Integrator, Value Added Technology Partner,

Technology Consultant etc. It was a B2B business model. TechEdge sold their technology

consulting services, Business Technology Optimization services, project implementation

services and maintenance services for complex information technology infrastructure. The

main departments of the company were sales, consulting, support and services, backoffice

operations, finance and software. The formal structure of the company was very lean. Each

department was headed by a vice president who was assisted by managers who in turn

handled teams independently. The branch offices across the country had a similar structure

with the branch manager (a V.P. level position), reporting directly to the CEO.

All the vice presidents were at the same level in the hierarchy, but at different pay

scales depending on their experience and perceived importance or the criticality of the

department for the company. Sales was supposed to be the most powerful department,

followed by support & services and finance. All VPs reported directly to the CEO in terms of

day to day business activities, internal financing for new assets, salaries, etc.

Reporting Structures and the Role of HR


4/21

3

Though the roles and responsibilities of each department were clearly defined within

the department, members of all departments were required to work in temporary teams with

members of other departments for delivering projects. The role of HR was reduced to routine

recruitment. The individual department needs of training, appraisal, performance

measurement, and the like were completely driven by individual VPs. The HR department

was never taken into confidence on people management issues and they responded to such

issues as if they were under learnt helplessness.

Though all the departments worked together to deliver the final project, none of them

was answerable to each other. Each department had a clear focus on their individual tasks.

Within each temporary team, the project leader was responsible for the teams performance

but each member of the team reported directly to his/her own VP. The project leader usually

was from the support and services team. The entire business transaction comprised broadly of

understanding the customers business problem, creating a feasible solution to address the

problem, selling the contract for concept design, consulting and delivering the desired

service, mobilizing resources to meet the contract obligations, and collecting the payment.

All the departments had a clearly mandated goal to provide the best service to the customers.

The people

Binoy was a soft spoken person with a great individual charm and ability to motivate

people by his sheer conduct. He had a keen sense of organizational ethics, people orientation,

work culture, employee satisfaction, organizational culture of honesty, independence,

flexibility and such other softer and finer qualities of the organization. To that effect, he set

high standards through personal excellence and commitment by example. He was a great

believer in the efficacy of efforts and worked hard for the singular reward of personal


5/21

4

satisfaction. Yet, as a CEO he was equally concerned about the revenues, profitability and

cost control. His management style was a unique combination of consultative and

authoritarian where he made people a part of the decision making process, but at the same

time pushed the organizational agenda in a rather unobtrusive manner. He only served as a

convenor of the think tank meetings, usually making each one feel that he/she had played a

significant role in the decision making and that each one had an important stake in the

organizations strategic directions and business initiatives.

The vice presidents were also excellent and dedicated performers, worked closely

with each other and shared a great sense of bonding. However, each one had concerns of his

or her own. Ram, VP-Sales, was concerned about the increasing difficulty in getting new

contracts due to increased competition in the market and increasing customer demands.

Kishore, VP-Services, was constantly overstretched and there was a tremendous strain on

talent due to attrition. He also seemed to complain that his people were overworked fulfilling

unreasonable customer demands which he believed were due to the tall promises made by the

sales teams. This feeling was also echoed by the VP-Software who felt that the sales team

often undersold their value. All the teams felt that they had inadequate support from the

operations department while Aparna, VP-Operations, had her own story of woes. She

complained about overload of work and dependencies on external factors beyond her control

such as delays from other suppliers. She also felt that the other departments took her for

granted and never gave enough time to mobilise the resources required for a project. Rajesh,

VP-Finance, complained about lack of funds and issue of collections. He seemed to be

convinced that the sales team did not do enough to follow up on the outstanding payments.

Rams stand on this was that they could not ask for payments in the absence of proper

documentation and timely and satisfactory achievement of milestones, for which the


6/21

5

administration and the support delivery teams were responsible. All the VPs shared a

common feeling that there were never enough people and pressed hard for additional

resources. Given the cost of headcount, getting people was a highly competitive activity and

more often than not, they tried to squeeze in more people within the same budget allotted to

them, just to take care of attrition and provide for redundancy. The VP-HR, Monica, was

perennially challenged for recruiting high quality talent at lower costs. You cannot get the

best at the lowest costs, she argued.

The challenges

In the increasing competition, Binoy was under pressure to increase sales and profits.

Ram shared the opinion that the sales team was performing at suboptimal levels. He

attributed this to 5 major reasons - a weak level of motivation to perform, low quality of

people, cost and time required for training and re-training, attrition of trained resources and

low visibility of the company in the market place. Trained performing people are lured away

by the competition such as IBM, CAP Gemini, Accenture etc even though we pay as

handsomely as they do. What is the point in training people for competitors, was his remark.

At the same time he also had a point that people were not motivated enough. The sales teams

worked at fixed salaries and yearly increments were based on their annual performance. The

sales team therefore focussed on getting the large and complex contracts which had a much

higher contract value and a long sales cycle. Also since the organization culture supported a

value system where efforts, skills and knowledge were perhaps more important than results,

the sales team found higher respect in working with a few larger cases rather than a large

number of small quick opportunities. Such larger cases were intensely competitive and often

resulted in substantial price cutting situations, reducing the overall profits. In addition since

the projects were also long term, the revenues were delayed. Finally, when it came to really


7/21


8/21

7

at a fixed/variable pay structure of 60:40, the sales team settled for a ratio of 70:30. Since it

did not fit in with Binoys ideology to cut down peoples monthly cheques overnight, he

adopted a very generous approach. The prevailing salaries were treated as the fixed 70%

component, and 30% variable component was declared over and above that as performance-

based variable pay, for which challenging but achievable targets were set. The achievement

slabs were fixed in such a way that it seemed very fair and just to the entire sales team. (See

table below)

Sales Achievement Entitlement

Upto 60% of the target Fixed salary component only

61-80% of the target Fixed plus 50% of variable component

80-95% of the target Fixed plus 75 % of variable component

96-100% of the target Fixed plus 100% of variable component

>100 % Fixed + Variable + Acceleration points

The acceleration point treatment seemed to be quite complex on which there were

serious differences of opinion. The entire team seemed completely drained out after hours of

deliberation, and hence Binoy proposed to decide on it at a later stage. However, Ram was

keen on pushing his way through till the end. He knew that it would be difficult to make any

changes later. Besides, he also wanted to use this opportunity to address the burning issue of

attrition. Since we have already come so far, lets go the extra few steps to give at least an

outline rather than keep it for yet another day, Ram persisted. Lets get it over in a few

minutes. I think that keeping a track of all sales records and making claims on a monthly

basis will be very difficult for the team. I suggest that we have a quarterly system of the


9/21

8

incentive payout. Let us also have the flexibility of adjusting the targets by balancing over

two consecutive quarters, but keep the year-end as sacrosanct. The team was not too happy

about the prospects of postponing their monthly incentives to the end of the quarter. Ram was

able to convince them about the practical difficulties in processing the data and payments on

a monthly basis due to long sales cycles, time required for the claim process, and the

advantage that once a quarter they would get a little fatter sum rather than getting smaller

payments each month. Lastly, I suggest that for every 1% extra achievement, one gets a

bonus point. These bonus points will be used for considering the next years appraisal. In

addition 5 % of the entire gross profit generated by the team in the year would be distributed

as an ex-gratia payment on a pro-rata basis within the entire sales team. By then the energy

levels of the team were already running very low. Sensing this, Ram kept pushing the scheme

gently, but firmly and managed to get his way through.

The very next morning Ram circulated a mail with a few additional eligibility

conditions such as timely payment collections, customer satisfaction, minimum profit

margins to be met to qualify for incentive even if one had met or surpassed the revenue

targets, and minimum achievements across multiple business lines, etc. Though none of these

conditions had been discussed in the meeting, they were not contested too much because they

were perceived as legitimate. One cannot argue much against what is ethically correct, was

the view of Ram.

The initiative was a decent success (through not grand) in the first year. The sales

team seemed to have picked up a competitive spirit. Yet there were a few who still refused to

run that extra mile for the additional incentives. There were also other issues and some

dissatisfactions about losing out on incentives because of somebody elses problems and

inefficiency. Ram privately agreed. Another concern on his mind was that while they had all


10/21

9

reached or surpassed the collective profit targets, none of the sales persons had crossed the

100 % mark in terms of revenue, though it should have easily been possible for at least a few

of the lot. He wondered what could have been wrong. Also he had been getting complaints

that disbursement of incentives was not timely. The finance team had to check the claims

made by the sales teams and more often than not they found disparities within their accounts

and the claims. On further investigation, he found that these disparities were more due to

allocation of the customer payments across multiple invoices. Neither the sales team nor the

accounts maintained a consistent method. Often, customers also added to the confusion due

to their own cost allocation methods resulting in multiple queries and clarifications that went

back and forth. Ram decided to keep an eye on such teething problems and arrive at a

permanent solution in the next year. However, he had a constraint that the problem did not

entirely lie in his domain.

Initiatives for organizational orientation towards a performance-driven culture

Monica had been watching the entire sales appraisal system and the sales team

dynamics throughout the year. There had not been a single attrition case from the sales

department this year. She thought it would be a good idea to implement a performance-based

pay system for the entire organization. The trouble was that sales were easy to measure. The

other departments functions needed to be quantified first and a measurement scale needed to

be established. She decided to talk to Binoy about it.

Binoy welcomed the idea. He suggested that Ram and Monica chart out the scheme.

He urged them to involve the other VPs as well. Monica offered to take the challenge of

creating the yardsticks of measurement. Ram was more than happy to let her do it. Some

worthwhile work for HR, finally! he teased. Monica didnt seem to mind it and came out


11/21

10

with a nice-looking plan in about a month. She had charted out the entire organizations

workflow process and identified all the time intervals required at each stage in the workflow

that added up to the entire delivery cycle. At a glance, Ram was convinced that there was a

lot more work to do. They called for a meeting of all the VPs. After much deliberation, they

decided to keep Binoy out of this in the beginning. He would be called in at a later stage.

The groups reaction was short of a commotion. While it was obvious to everyone

that the workflow chart was as accurate as it possibly could be, they refused to accept the

internal time lags that boldly stared out at them. Please understand, these time lags are not

just due to us. We are dependent on someone else too. How do we cut down that time?

argued Aparna. Kishore said that many times customers demanded out-of-turn services which

caused delays in other cases as well. How was he to rectify that problem? He could not

possibly antagonise the customer just to keep his time lines look neat. Rajesh argued that his

team was always short of manpower and especially with such kind of system, he would be

needing even more people to absorb the additional load. It was time Monica did something

about her own deadlines rather than talk about other departments timelines Ram and Monica

sensed that the meeting was not going anywhere and was leading to more and more internal

allegations about who should own the responsibility of sticking to timelines. Arguments and

accusations flew in the air. Finally the comprehensiveness of the workflow itself got under

scanner and each member claimed that the process was far more complex than the chart could

possibly cover. Heated arguments finally ended with a simple question. If all this is in the

organizations interest, why is Binoy not here? The meeting was adjourned without any

concrete decision, a very unusual occurrence at TechEdge. Usually they had always been able

to come to quick solutions and consensus on issues. This was the first time a VP-level

meeting had ended without any conclusion.


12/21

11

Ram and Monica spent a rather uneasy time for the rest of the entire week in office.

Their otherwise nice colleagues were suddenly not as nice any more. No one was being nasty,

and work did not suffer; however the undercurrent seemed to be full of strains. One could

almost feel it in the air. Even Binoy could feel the tension among his VPs. He could guess

that it must have been because of some discussion on Monicas performance-based pay-plan.

Though he himself liked the idea because it ensured that good money was spent only on good

work, he was not sure how it could be implemented for other departments. He mulled over

the idea of hiring an external consultant and decided to discuss this with Monica and Ram.

Binoy, I think we can understand our business and our people much better than an

external consultant, reasoned Monica and promised him to figure out a way. Binoy knew his

peoples capabilities too well to doubt her. But his dilemma was to choose between the

cohesive integration of the team versus the mathematical precision of efficiency. He decided

to leave the matter to the team and keep a close tab on the relationship factor so that he could

step in when appropriate.

Ram and Monica decided to put to use the learning they had acquired from their MBA

courses which had been pushed to the background in the rush of daily routines. They changed

their approach and decided to win over the VPs one by one instead of all together. Another

change was that they constructed a whole new performance measurement instrument with a

minor weightage to the time of response for each activity being measured, but with a large

weightage to all those factors that would ensure the response times. Further the tool would

adjusted for each departments needs with some of the parameters common and others

changed to suit the needs of different departments. Each department head was to specify the

parameters unique to their department. It almost looked like a balanced score card. This time


13/21

12

they first took it to Binoy. Their first experience had taught them that it wont move without

Binoy pushing it himself.

Binoy liked the overall idea, but could not attend to it because he was under

tremendous pressure for time due to his other commitments. He also wanted to postpone it a

bit in the view of the strains that had developed recently in the relationship among his

chieftains.

Besides he wasnt very much convinced about the success of Rams initiative in the

last year. The team had delivered better results than the previous year. But the team had not

completely met their target. None of the sales people had been able to cross the 100% mark.

Yet, their revenues had gone up by about 30%. The PAT had increased by 25% over the

previous year. The collection had remained at the same level as previous year. The creditor

column in the balance sheet was disturbing him. Some of the projects would run for more

than 3 years. Though the contracts looked profitable on paper, the uncertainties of long term

contracts were too many to say that the company would actually be profitable at the end of

those projects. The attrition rate with services and software departments was as high as ever.

That had a potential to create future customer satisfaction problems. There were too many

questions on his mind that he first had to attend to. He was also mulling over the idea of

designating the sales, services and software teams as profit centres. But he was not sure

whether to convert the Internal Administration, IT, and Finance into some sort of

responsibility centres.

Notwithstanding Binoys reservations, Ram and Monica were determined to push this

through and after about a month of their persistence, Binoy called a meeting of all VPs.

Monica and Ram briefed Binoy completely about the entire Key Performance Indicator (KPI)


14/21

13

system and the reward workings. Binoy was not fully convinced that all the KPIs were

required. He was also not very sure about the efficacy of the reward system. He held the view

that KPIs should be specified only for external customer-facing and finance-related activities

where measurements were easy. For internal activities, it was impractical and unnecessary

according to him. He believed that people have a certain value system inculcated in them and

they behave accordingly. A KPI-based formal workflow will never work. People dont work

by looking at charts. They work through their habits, was his argument. But we need to re-

orient their habits of working. KPIs serve as the directions for them. Once they start working

in this way, it would automatically become a new habit over a period of time, reasoned

Monica. Finally after intense discussion, they decided to go ahead with the KPIs as defined

by Ram and Monica. But Binoys outlook prevailed over the rewards and penalties. Both

Ram and Monica felt that the rewards were too less for internal KPIs, though for the external

facing KPIs, they were comparatively high. The penalty system also seemed to be skewed

towards the external-facing teams. The internal misses faced much lower penalties. Though

the lower penalties were consistent with lower rewards for the internal-facing teams, and

vice-versa for the external-facing teams, Monica was not completely convinced that there

should be such discrimination in the first place. Ram cribbed about the penalty part, but

decided to go along with Binoy. Furthermore, the Sales team, Consulting team, Service and

Support team and Software project delivery teams were constituted as profit centres. The

backoffice team was designated as an investment centre and finance team was made the cost

centre.

The rollout and the results

The proposal was rolled out by Binoy, which was a bit abnormal. He usually had

someone else put forward any proposal and would endorse it. However considering that


15/21

14

Monica and Ram had already gone through the first round of discussions and had faced bitter

resistance, Binoy felt it would be good to neutralize that effect. The meeting went not without

resistance. The internal-facing teams felt that their KPIs were too stringent and the rewards

were not commensurate with the same. The external-facing teams felt their penalties were

stiff and they were not really directly responsible for many of the KPIs. Moreover, since this

was the beginning of recession, they had apprehensions that their performance targets may

not be met. After prolonged resistance, finally the proposal was accepted without change on

the condition of a pilot year. TechEdge would run with the new system of performance

management for a year and revisit the same later. They would have a quarterly audit of the

new system and a final review after one year wherein the necessary modifications would be

made.

Three months into the new model, there were serious inter-departmental allegations.

Each department claimed to have incurred a loss of incentive due to the lethargy of the other

department. The finance team was annoyed since the payment collection had fallen almost

15% below the normal rate. The sales team defended it alleging that the payments had been

delayed due to late commissioning of projects. The services team seemed to say that the sales

team had overcommitted, and the scope of the project had extended much beyond the initial

agreement. The sales team did not agree to this allegation and blamed the services team that

they themselves had agreed to service the customers extended demands for which the sales

team should not be held responsible. The sales team also pointed out that the overall C-SAT

(Customer Satisfaction) for existing customers had come down due to call-ageing. Support

team declared that C-SAT had come down due to hardware and software resources not being

available in time from the logistics people in the backoffice operations. The backoffice team

promptly pointed out to the finance team saying that they did not get approval for purchases


16/21

15

in time. Finance defended its delays saying that they were restricted by cash flows as well as

their mandate of cutting costs at least by 10%.

While the bickering amongst managers intensified, employees were continuously

demanding for their increments which had been stalled due to recession. This added to the

frustration of the VPs including Monica. Every VP had a resource crunch, and Monica had no

extra resources to give to anyone due to budget constraints. Finally in the 4th

month, Binoy

called a meeting of all VPs. In an unusually abrupt way, Binoy simply announced the roll-

back of the performance-management initiative. Well, guys, I am doing away with this

performance-management system that we piloted some time back. Its causing too much of

unnecessary conflict and bitterness among all of us. I dont think this system works for an

organization such as ours. At 120 crores we are too small for these things. Perhaps we may

adopt the system in the next 3 years when we reach our 500 crore target. We may go back to

our original working style. The Sales team shall continue to work on the variable

compensation plan like earlier. But all others can forget the KPIs and measurements. The

team spirit is more important than a program-driven behaviour. We are an IT consulting

company. Such balanced score-card-oriented methods may be great for manufacturing.

Perhaps not for a services company like us. Let us get back to our earlier ways of working

together as a family and give our complete cooperation to all so that each one of us performs

in the larger interests of the organization was the decisive statement by Binoy.

Binoys talk ended in a deafening silence. Ram looked crestfallen, angry and

humiliated. Kishore looked confused. Aparna was relieved. Rajesh seemed happy. Monica

appeared thoughtful. Though each one tried to hide their emotions, it was all out in the open

when Ram simply said with an audible sigh, I guess the meeting is over, Binoy. Lets hope

we get to 500 crores soon. But itsnot possible without this throttle., blurted out Kishore.


17/21

16

He was among the worst faring in terms of performance. Such reaction from him surprised

everyone including Binoy. I was the one complaining the most, I agree. But that does not

mean we should throw out the system. I was only unhappy about the way it was implemented

and the amount of load it was exerting on my team. Rajesh seemed to want to object, when

Ram calmly responded, I guess Binoy is right. This cant work here. We will need the system

when we become large enough. The way he said it, Monica instinctively guessed it would

have to be without Ram.

Teaching Note

Money as a control instrument is observed to produce mixed results. It can be effectively

used as an incentive through performance-based pay systems, but not without its pitfalls

(Hertzberg et al.,1959, Eisenberger et al., 1999 ; Banker et.al., 2000). The TechEdge case

brings out various aspects of design and implementation of a performance management

system. It also illustrates how the organizational culture and history which is a part of its

corporate identity have an impact on implementation of such systems (Steiner, 1979 ;

Mintzberg 1994a,b, Mooraj et al., 1999). It may be noted that the KPIs in this case were

decided considering the entire organization as a single monolithic entity. The responsibility

centres were created later, and the same KPIs were adopted for all. The pilot implementation

of the KPI system in the sales team where they introduced a performance-based variable pay

also did not see much success in terms of increase in revenues or profits. It may be interesting

to investigate whether the variable component was not attractive enough or whether the fixed

component itself was above industry standards, so much so that the sales team may have been

satisfied with the fixed component itself. The impact of various leadership styles and issues

related to each style, ranging from leading by example to authoritarian decision making can

also be illustrated using this case. Internal relationships among the managers are also an


18/21

17

interesting point of study. It is observed that in the absence of any control structures, the

managers are extremely cooperative. As control systems are implemented through KPIs and

performance starts getting measured objectively, managers start behaving with a selfish

motive resulting from competition and driven by the desire for performance-numbers which

may mean different things to different people - ranging from monetary incentives to

recognition and ego satisfaction. Also, as performance starts getting reflected and

documented in numbers, managers may engage in fault finding exercises in the event of

shortfalls from targets which may eventually turn the employees attention away from the

organizational goals. Whether this means that the laissez faire system is better than using

controls for directing managerial behaviour is a point to ponder. The CEOs leadership style

contexts and constraints are very different from the VPs style, constraints and contexts.

Another important point to think about is what criteria should be used for creating

responsibility centres. For most companies, the change from a monolithic organization to a

structure based on responsibility centres needs to be gradual, so that the required

temperamental capacities may be developed so that the people are able to accept and

implement the change (Chenhall and Euske, 2007). It may be a good idea to initially start

with one or two least critical responsibility centres and then gradually expand the system to

other departments, one at a time. Notwithstanding this, it may be noted that there is no single

clear formula for a successful implementation of change. For a big bang approach to change

to be successful, an organization needs to have a dedicated change management team

(Brumback,2003). This change management team needs to guide the organization through the

troubled waters of change by gradually building empathy and engaging people in the

transformation-generating energy, who in turn pump in the energy and vibrancy required for

facilitating enforcement of the new norms (Marks, 2007). The effectiveness of the change


19/21

18

management team depends on many aspects such as their charisma, vision, persuasiveness,

commitment etc. Apart from having these intrinsic capabilities, change managers further need

to be empowered with the ability and authority to administer rewards and penalties and they

must use these as tools to enable desirable behaviour (Brumback, 2003). Even with the best

of intentions, half hearted approach towards ushering in structural and/or processual changes

in an organization is bound to fall flat. Lastly, growing to a large size is not a pre-requisite

for an organization to create appropriate management systems for itself. In fact, it may be

better to have systems in place while the organization is small and young rather than bring in

radical changes at a later stage (Chenhall and Euske, 2007). It is easier to bring in desirable

transformations in a smaller company and more often than not, a transformed small company

holds the potential of growing into a well organized large business organization.

The TechEdge case may also be used to discuss issues such as efficacy of

performance-based pay and effects of performance-based pay on inter personal relationships

among individuals, teams, and managers. Finer subjects such as self gratification, tendencies

to push personal agenda ahead of organizational goals, agency behaviour, etc. may be

explored as potential results of a mis-managed performance-based incentive system. In

organizations where cross departmental teams are formed for temporary projects, inter-

departmental conflict is usually the most common fallout of performance management

systems. The TechEdge case may be useful to highlight and discuss cause-effect relationships

of such conflicts. The case also brings forth aspects of intrapreneurial leadership. Based on

this case, the CEO -intrapreneur relationship may be highlighted. How should CEOs

empower, encourage and manage ambitious intrapreneurs and how intrapreneurs should

support their CEOs in organizational building may be an interesting point for study.


20/21


21/21

20

9. Mintzberg, H., 1994a , Rethinking Strategic Planning Part I : Pitfalls and Fallacies,Long Range Planning, 27(3) : 12-21

10.Mintzberg, H., 1994b , Rethinking Strategic Planning Part II : New roles for planners,Long Range Planning, 27(3) : 22-30

11.Mooraj, S., Oyon, D., Hostettler, D., (1999), The Balanced Score Card : a necessarygood or an unnecessary evil? ,European Management Journal, 17(5) : 481-491

12.Steiner, G., (1979), Strategic planning : What every manager must know, The FreePress, New York1979.

design and impln perf man kpis rcs casestudy

Documents