“from silos to alignment”
TRANSCRIPT
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“From Silos to Alignment”Richard Condit
Chief Administrative Officer
Association for Strategic ManagementNational Conference
San Diego, CAFebruary 22, 2009
One Company’s Journey toStrategic Management
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Then1996
ThenThen19961996
No Shared Vision of theFuture
Silos
No Strategic or TacticalPlanning
No Context for DecisionMaking
Poor FinancialPerformance
Now2009
NowNow20092009
Shared Vision, Missionand BHAG
Alignment
Mature Strategic andTactical Planning Process
Plans Provide the Contextfor Decision Making
Best in Class FinancialPerformance
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Strategic Planning Systems Model
Input OutputThroughput
“THE SYSTEM”TODAY FUTURE
FEEDBACK LOOP
Feedback
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Strategic Implementation Systems Model
People
“The Sundt Legacy”
People
“The Sundt Legacy”
Processes
“The Sundt Way”
Processes
“The Sundt Way”
Customer
“The Sundt Experience”
Customer
“The Sundt Experience”
Financial
“180 @ 120”
Financial
“180 @ 120”
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Strategic Implementation Systems Model
People
• Lead with Talent
People
• Lead with Talent
Business Processes
• Execution
Business Processes
• Execution
Customer
• Build Customer Loyalty
Customer
• Build Customer Loyalty
Financial Management
• Grow Profitability
Financial Management
• Grow Profitability
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Sundt Planning Cascade
( Alignment)
Vision, Mission, Core Values, BHAG, PlanCore Strategies and Action Items (Bi-annual)
CorporateStrategic Plan
Corporate MarketingPlan (Bi-annual)
Corporate CommitteeTactical Unit Plan (Annual)
Profit/Service Center 3-year Tactical Business
Plan (Annual)
Profit Center MarketingPlan (Annual)
Profit Center MarketSector Mini Plans (Annual)
Strategic Account Plans(Annual)
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BHAG 180 @ 120BHAG 180 @ 120
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Per Share Stock ValuePer Share Stock Value
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DividendDividend
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Change in Shareholder ValueChange in Shareholder Value
Total Growth 649%
64.9% Annual Growth
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Net IncomeNet Income