the new bsc - ipm 2009

AIESECBalanced Scorecard

2009 Revision

When the Scorecard is not in place

When the Scorecard is in place

Quality

Growth

Consistency

Bigger and Better

Strategy

What is strategy?

• Gives focus & direction to organization’s activities;

• Helps define what not to focus on, what not to do;

• Aims to create a unique competitive position in the long-run

STRATEGY CHOICESProduct Leadership

Product

Customer

• Revolutionary and unique products/serviceo Superior qualityo Superior functionalty

• Develop products and then create customer demand, educate the market

Cost

Business Logic

Market Position

• Individualism• Enterprize • Risk-taking• Fantasy – unconventional

thinking• Knowledge

Values

Balanced Scorecard

What is Balanced Scorecard?

The balanced scorecard is a strategic planning and management system that is

used extensively in business and industry, government, and nonprofit organizations

worldwide to align business activities to the vision and strategy of the

organization, improve internal and external communications, and monitor

organization performance against strategic goals.

BSC Institute.org

Why does AIESEC need a BSC?

• Gives direction and focus to countries;• Ensure global alignment of what we are

and what we have to do;• To have clear steps to achieve our goals.

Steps of a BSC implementation

Balanced Scorecard

Translating and clarifying the vision and strategy:

• Clarifying the vision;• Establishing consensus.

Communicating and setting links:

• Communication and setting links;• Setting goals;• Linking reward to performance

assessment.

Planning and setting goals:

• Setting goals;• Aligning strategies initiatives;• Allocating resources;• Setting reference points.

Feedback and strategic learning:

• Developing the holistic view;• Improve the strategic feedback;• Facilitate the strategic review and

feedback.

The AIESEC Way

AIESEC 2010 Strategic triangle and numeric

goals

Product Leadership

Balanced Scorecard

(CSFs & KPIs)

BSCdesign

PROCESS

Goals

Strategy

Execution & Management

Mission Vision

Business logic models

Finance

Customer Process

Innovation

Employee

Finance Customer

Process

Innovation

Employee

Finance

Customer

Process

Innovation

Employee

Society

Finance

Customer

Process

Employee

“How the business perspectives are arranged in a Scorecard is adjusted to the business logic of the organization”

Traditionally, profit organizations perspectives are arranged as

BusinessLogic AIESEC

of

Our new understanding…

• Our IT platforms and members build the capacity needed to execute our internal processes

• The excellence of our processes enable the organization to run its operations to fulfill the needs of our customers ensuring the financial sustainability of AIESEC

• By providing leadership experiences, international exchanges and a global learning environment, we develop individuals for a positive impact on society

• The new business logic drives the operations and strategy of the organization towards the AIESEC Way

CUSTOMERS SUSTAINABILITY

THE WAY WE DO IT

INTERNAL PROCESSES

LEARNING & CAPACITY

The New Strategy Map

THE WAY WE DO IT

HIGH VOLUME OF HIGH QUALITY @XPS

IMPACT

INCREASING EXCHANGE XPS

PROVIDING HIGH QUALITY AIESEC XPS

GENERATING LEADERSHIP XPS

RECRUITMENT & INDUCTION MANAGING TALENT

CUSTOMERS

INTERNAL PROCESSES

LEARNING & CAPACITY

RELATIONSHIP MANAGEMENT WITH PARTNERS AND ALUMNI

PLANNING & REVIEWMANAGING INFORMATION

IT INFRASTRUCTURE

GOVERNANCE & ACCOUNTABILITY

FINANCIAL SUSTAINABILITY

MARKET ANALYSIS

SUSTAINABILITY

OFFERING THE RIGHT OPPORTUNITY FOR OUR

MEMBERS

CAPITALISING ON NETWORKS, MARKETS

AND ISSUES

EXTERNAL POSITIONING FOR STUDENTS AND

ORGANISATIONS

SUSTAINABILITY

THE WAY WE DO IT

HIGH VOLUME OF HIGH QUALITY @XPS

IMPACT




RECRUITMENT & INDUCTION MANAGING TALENT

CUSTOMERS

INTERNAL PROCESSES

LEARNING & CAPACITY


MEMBERS

CAPITALISING ON NETWORKS, MARKETS

AND ISSUES


PLANNING & REVIEWMANAGING INFORMATION

IT INFRASTRUCTURE



MARKET ANALYSIS

MEMBERSHIP

ADMINISTRATIVE MANAGEMENT

MARKET AND RELATIONSHIP MANAGEMENT

OPPORTUNITIES


ORGANISATIONS

Understandingthe CSFs

Learning & CapacityPERSPECTIVE

RECRUITMENT AND INDUCTION

Key Performance Indicators

1. Number of members

2. New members recruited X New members planned to be selected in selection process (%)

“ ”We have quality recruitment and induction processesthat ensure we have the right people to run the organization and meet our goals .

1. Number of applications received

2. Number of members recruited

Processes Performance Indicators

Processes

Talent Promotion Talent SelectionTalent Planning Talent Induction

MANAGING TALENT


1. Retention rate of members (TR stage)

2. Number of members with job description

“ ”Our people are allocated in the best roles for their development and for the organisation’s performance .

1. % of members that reviewed the career plan in the quarter2. % of members that have a mentor

Processes

Talent AllocationTalent Goal Setting &

Orientation


IT INFRASTRUCTURE

Processes


1. % of members who can access the needed IT systems to perform the job description

“ ”

Administration of IT Systems

Accessibility

We have the access to the needed Information technology resources to run our activities and processes.

Internal ProcessesPERSPECTIVE


Processes

1. Legality of exchange program (MC)

2. Do you have an external body with holds you accountable to your plan?

“ ”External Board Management

Internal & External Reporting

Legal Compliance

By aligning our operations with legal and financialaspects, we ensure the transparency and qualityof our organisation.

1. Number of reports based on plan for the internal audience



MANAGING INFORMATION


1. Overall satisfaction of members with information available to perform their job

“ ”We manage information to run our operations, facilitate communications and ensure continuity.

Processes

Usage of IT systems

Internal Communication

Knowledge Management

PLANNING & REVIEW

Processes

“ ”We have planning & review processes that support our people in the achievement of our personal and organizational goals.

Plan & Budget Reward & Recognition

Talent Performance

Appraisal

Organisational Performance Management

1. Do you have a R&R based on organizational performance?

2. How many members receive performance appraisal in 3 months?3. Do you have a long term plan?


1. % of organizational goals achieved


RELATIONSHIP MANAGEMENT WITH

PARTNERS AND ALUMNI


“”

The relationship with our partners and alumni results in a high retention and engagement towards theorganizational activities.

1. Retention rate of partners (without TN Takers)

2. Number of alumni with up to date information on a DB (contacts, current organization and position)?

Processes

Account Management

Alumni Management

MARKET ANALYSIS


1. How often do you run a competitive analysis?

2. Do you run a brand audit at least once a year?

“ ”We know our position in the market and we are able to identify the best opportunities for AIESEC to capitalize on.

Processes

Brand perceptionExternal Research Analysis of Supply & Demand

Market Segmentation

CustomersPERSPECTIVE

EXTERNAL POSITIONING FOR STUDENTS & ORGANISATIONS

Processes


1. Number of media appearances

2. Number of visitors in your local/national website

“ ”We are able to position AIESEC effectively in orderto secure maximum benefit from the right target audiences.

Promotion & Marketing

Public Relations

1. Number of external forums and events attended


CAPITALIZING ON NETWORKS, MARKETS

AND ISSUES

Processes


1. Number of TN Raised

2. Amount of money received from individual alumni donations and partnerships resulting from Alumni support

“”

We increase the quality and quantity of diverse AIESEC Experiences by making properly use of our networks, markets and relevant issues.

Sales Management and TN Raising

Product Positioning

Product Development

Capitalize on Alumni network

3. Number of TNs Raised from alumni contacts4. Conversion rate on sales


OFFERING THE RIGHT OPPORTUNITY

Processes

Key Performances Indicators

1. Number of EPs Raising

2. Average applicants for leadership positions in the period

“ ”We offer the right opportunities to our members to ensure they will develop themselves through the AIESEC Experience.

Internal Promotion for X & EP Raising

Internal Promotion for LR & LR

Offered

1. Number of leadership positions offered in the quarter


SustainabilityPERSPECTIVE

FINANCIAL HEALTH & SUSTAINABILITY

Processes


1. % of expenses covered by operational revenues

2. Number of months of reserve

“ ”By running our operations we are financially healthy.

Revenue Generation

Reserves and investment

Management

1. % of reserves generated from exchange

2. Do you have a long term financial plan?

3. Amount of money raised from partnerships (including supporters) (MC)


The way we do itPERSPECTIVE



1. Number of EP Realized

2. Number of TN Realized

“ ”We are continuously increasing the number of exchange experiences we deliver to our members and to the market.

Processes

Exchange Servicing

Exchange Matching

1. Delivery Time of EPs

2. Delivery Time of TNs

3. Realization rate of EPs

4. Realization rate of TNs


GENERATING LEADERSHIP EXPERIENCES

Processes


1. Number of members with leadership experience completed

“ ”We generate leadership experiences required to meet the needs of the organization and the expectations of our members.

Organizational structure revision

QUALITY OF AIESEC EXPERIENCES

Processes


1. Quality index performance

2. Number of members that are completing both X & LR experiences in the period

“ ”We deliver high quality experiences to our members.

AIESEC Experiences

Quality Measurement

Competency Management

Map Overview

RECRUITMENT & INDUCTION

Talent Promotion

Talent Selection

MANAGING TALENT

Talent Allocation


External Board Management

Internal & External

Reporting

Accessibility

RELATIONSHIP MANAGEMENT

Account Management

PLANNING & REVIEW

Plan & Budget Organizational Performance Management




Usage of IT Systems

CAPITALISING ON NETWORKS, MARKETS AND ISSUES


Product Positioning

Product Development

Alumni management

MARKET ANALYSIS

Analysis of Supply & Demand

Segmentation Brand perception

Research


Exchange Matching

Exchange Servicing

QUALITY OF AIESEC XPS


AIESEC XPs Quality

Measurement

LEADERSHIP FOR A POSITIVE IMPACT ON SOCIETY

Organizational Structure Revision

Internal Promotion for X & X Raising


Talent Planning Talent Induction Administration IT Systems

CUSTOMERS

INTERNAL PROCESSES

LEARNING & CAPACITY

THE WAY WE DO IT

IMPACT

Legal Compliance

CSFs Processes

Alumni network capitalization

Reward & Recognition

Talent Performance Appraisal

GIVING THE RIGHT OPPORTUNITY

Talent Goal Setting &

Orientation

Revenue generation


Internal Promotion for LR and LR Offered

SUSTAINABILITY

Reserves & investment

management

IT INFRASTRUCTURE

EXTERNAL POSITIONING TO STUDENTS & ORGANISATIONS

Public Relations


Do I need to focus in all CSFs? Processes?

Case Study

THE WAY WE DO IT

HIGH VOLUME OF HIGH QUALITY @XPSIMPACT




RECRUITING AND INDUCTING TOP TALENTS

RIGHT TALENT DOING THE RIGHT ACTIVITY

CUSTOMERS

INTERNAL PROCESSES

LEARNING & CAPACITY


MEMBERS

CAPITALISING ON NETWORKS, MARKETS AND

ISSUES


EFFECTIVE PLANNING TO SUPPORTING GOALS’

ACHIEVEMENT

MANAGING INFORMATION TO ENSURE CONTINUITY

ACCESS TO THE NEEDED IT STRUCTURE


OUR OPERATIONS ENSURE FINANCIAL SUSTAINABILITY

UNDERSTANDING THE MARKET TO IDENTIFY THE BEST

OPPORTUNITIES

SUSTAINABILITY


ORGANISATIONS

RECRUITMENT & INDUCTION

Talent Promotion

Talent Selection

MANAGING TALENT

Talent Allocation


External Board Management

Internal & External

Reporting

Accessibility

RELATIONSHIP MANAGEMENT

Account Management

PLANNING & REVIEW

Plan & Budget Organizational Performance Management




Usage of IT Systems

CAPITALISING ON NETWORKS, MARKETS AND ISSUES


Product Positioning

Product Development

Alumni management

MARKET ANALYSIS

Analysis of Supply & Demand

Segmentation Brand perception

Research


Exchange Matching

Exchange Servicing

QUALITY OF AIESEC XPS


AIESEC XPs Quality

Measurement

LEADERSHIP FOR A POSITIVE IMPACT ON SOCIETY

Organizational Structure Revision

Internal Promotion for X & X Raising


Talent Planning Talent Induction Administration IT Systems

CUSTOMERS

INTERNAL PROCESSES

LEARNING & CAPACITY

THE WAY WE DO IT

IMPACT

Legal Compliance

CSFs Processes

Alumni network capitalization

Reward & Recognition

Talent Performance Appraisal

GIVING THE RIGHT OPPORTUNITY

Talent Goal Setting &

Orientation

Revenue generation


Internal Promotion for LR and LR Offered

SUSTAINABILITY

Reserves & investment

management

IT INFRASTRUCTURE

EXTERNAL POSITIONING TO STUDENTS & ORGANISATIONS

Public Relations


Next Steps

• Training at IPM• Training at XPROS• Support Materials (Templates, guides and so

on)• Country Visit• IC

the new bsc - ipm 2009

Business

generating

infrastructure

infrastructure

issues sales

review managing

issues relationship

high quality

review plan