Philip Sheldrake

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Tag: Balanced scorecard

“A New Balanced Scorecard for Communications” – a critique

The Business of Influence, Sheldrake, Wiley, 2011

I've just been pointed to a recent post by Tim Marklein on The Measurement Standard, A New Balanced Scorecard for Communications. I can't endorse it as it stands, as I understand it, and this post explains why.

For a bit of background, this summary of the Balanced Scorecard and associated Strategy Maps is based on the one in my book, The Business of Influence, and is one of my post popular webpages attracting thousands of visitors every month ;-) Do check it out if the Scorecard is new to you.

Having been frustrated by the very narrow practice of public relations, by the plain wrong approaches to alignment and performance measurement, and by the seeming isolation of the PR function from the rest of the business at a time when its best qualities are more vital than ever, I sought in 2009 to crystallise my ideas to help organisations transition to a more relevant and mutually valuable model. Knowing that organisational change is hard, I focused on the dominant way some of the world's largest and most successful businesses seek to articulate and guide performance – the Balanced Scorecard – in order to tap into the monster's own strengths, jujitsu style.

I called the resultant framework the Influence Scorecard, and I was delighted that Robert Howie, then the Director of the Kaplan Norton Balanced Scorecard Hall of Fame for Executing Strategy, penned the foreword. Read more

The quantified self, the quantified organization, and the organized self

quantified org self

The diagram here portrays where I'm going with this post, so let's dive in.

The quantified self

The current Wikipedia entry for quantified self (QS) describes it as "a movement to incorporate technology into data acquisition on aspects of a person's daily life in terms of inputs (e.g. food consumed, quality of surrounding air), states (e.g. mood, arousal, blood oxygen levels), and performance (mental and physical)."

And it doesn't stop at mere data acquisition of course; as the strapline for a major QS community puts it, we're looking at self knowledge through numbers. Adriana Lukas, founder and organiser at London Quantified Self Group, proselytizes self-managed QS, a future in which “expertise is supplied rather than outsourced”, where each of us acquires “agency as sense-maker”.

That's certainly a powerful and possibly quite natural vision, and one I wholeheartedly embrace. Yet it's also counter to the branded data siloes many a purveyor of QS gadgetry would, it seems, have one locked into. Adriana employs a turn of phrase, which may well be riffing off Doc Searls:

We can’t treat individuals as data cows to be milked for the data bucket.

The quantified organization

Lee Bryant, founder of PostShift, describes their take on 'quantified organization':

... a framework of organisational health measures, informed by theory and company goals, that can guide ongoing change in an agile, iterative way and assess the success or failure of change actions against a desired future operating state.

Read more

Organizational performance – a private conversation that should have been public and is now

Adam Pisoni and Stowe Boyd

This is a conversation between Adam Pisoni, Stowe Boyd and me relating to a guest post I made to Brian Solis' blog, Impatience is a Virtue – What's Next for Social Business.

The conversation played out on email, which is ironic given that all three of us advocate "working out loud" unless confidentiality precludes it. I take the blame for emailing in the first place and hope to make up for the transgression by publishing it now. I have removed those conversational niceties that pepper emails, inserted some helpful hyperlinks and comments in square brackets by way of explaining some of the terms used and topics raised, and tweaked a few things to improve readability here.

[Photo of Adam by Intel Free Press. Photo of Stowe by Paul J Corney.]


Adam

Honestly, one of the most enlightening aspects of finally working within a real, big enterprise [Microsoft acquired Yammer in 2012] is the affect of performance management and budgets. Yammer loved to yell at our large customers to just change how they worked. That anyone at any level could affect change. But what you see inside large companies is that really good people will do all the wrong things either because they eventually feel pressured to optimize for what they are incentivised to do, or because their scope of power is too narrow to affect any change. This happens with budgets all the time. Two people in different parts of the org may have an idea that could make the company lots of money, but since the budgets were set up a year in advance, they can't shift the money between them. Read more

Social media measurement, after Madrid

What, exactly, is the value of social? This was the question I sought to help answer in my slidestack ahead of the AMEC European Summit in Madrid earlier this month. And it was the overarching question that informed much of the three days of debate, discussion and deliberation.

This post is about two related developments – the latest from "The Conclave" (aka the #SMMStandards Coalition), and "A New Framework for Social Media Metrics and Measurement".

Measurement standards

"Perhaps the most important Social Media launch of the year" is how Katie Delahaye Paine portrays it. This is so-Katie that I can actually hear her saying it right now (as she might hear me cry "the most exciting development in PR since the Cluetrain"!)

Katie refers to a suite of social media measurement standards that represents the work of a collection of organisations (including AMEC, a full list is appended here) informally referred to as The Conclave. Following 18 months of long conference-calls, meetings, slidestacks and email threads, we have posted standards for: Read more

Influence: Socializing the Enterprise – my presentation at Dreamforce 2011

Salesforce.com's CEO Marc Benioff is excited that there are 45,000 delegates registed for this week's Dreamforce conference in San Francisco. It sure is one helluva a show (and I particularly appreciated the Metallica and Will.i.am gig last night!)

The theme for this year's conference is the socialization of the enterprise and the reason for my invitation to present to the Executive Summit yesterday and delegates at large today. [Disclosure: Salesforce.com is paying me to be here.]

There can be no doubt that Salesforce.com is on a mission to help its customers make the social transition with as much emphasis placed on increasing the social exchange with employees and partners as customers and prospects, and this mission entailed the acquisition of Radian6 earlier this year.

When I spoke at the Radian6 Social2011 conference in April, I felt the excitement at the opportunity to meld the Radian6 and Salesforce.com worlds, but I hadn't appreciated how fast this integration would take place. Simply gobsmacking. Read more

The ROI of Public Relations – Friday Roundup

The AMEC European Summit of 2010 is famous for killing anyone's lingering hopes that advertising value equivalence (AVE) represents any kind of measure of the value of PR. As I like to say, AVE is a specious sum based on false assumptions using an unfounded multiplier, only addressing a fraction of the PR domain. <sarcasm>Apart from that, it works just fine!</sarcasm>

This summer, the European Summit delegates set AMEC's top priority as determining an approach to measuring the return on investment (ROI) of public relations. Sounds a most admirable ambition, but should this be interpretted in the way I think it might, I fear we may be at risk of having dethroned one false idol only to pursue another.

Why? Because investment in public relations is investment in strategically important intangible assets, and such investments cannot be designed, executed or analysed in isolation. As Drs Kaplan and Norton put it in their 2004 book Strategy Maps:

"Economic justification of these strategic investments can be performed, but not in traditional ways. The common approach is on a stand-alone basis: ‘Show the ROI of the new IT application’, or ‘Demonstrate the payback from the HR training program.’ … But each investment or initiative is only one ingredient in the bigger recipe. Each is necessary, but not sufficient. Economic justification is determined by evaluating the return from the entire portfolio of investments in intangible assets…"

What does this mean? Well consider the hypothetical instance of two organisations designing, executing and analysing exactly the same public relations strategy delivering precisely the same results for the same investment. Read more

My book, The Business of Influence, is out today

Today's the day!

It's ready for delivery in the UK today, and pre-order in other parts of the world. For those of you tweeting about availability in the US, currently listed as mid-June by some bookstores, Wiley tells me it should actually be with you mid-May. Thank you for your interest and patience.

What's it about?

The Business of Influence: Reframing Marketing and PR for the Digital AgeThe Business of Influence is a rethink.

It's about improving the capabilities of organisations to design and attend to the way in which all aspects of its operations influence stakeholders, about making sure stakeholders influence it, systematically, and about how well competitors are attempting the same. It focuses on influence as the common denominator of marketing and public relations and related activities such as customer service, sales, product development and HR, and therefore the basis for redesigning these and interconnecting them.

The book introduces the Influence Scorecard, named in homage to the dominant framework for business performance management, the Balanced Scorecard. The Influence Scorecard then is a subset or view of the Balanced Scorecard containing all the influence-related key performance indicators (KPIs) stripped of functional silo, and it may extend beyond the Balanced Scorecard should a greater operational granularity of metrics be demanded by the influence strategy.

The Influence Scorecard is a new framework for the 21st-century designed to help organisations focus on what matters rather than continue to carry the baggage and inefficiencies that come part and parcel of the typical 20th-century marketing and PR structure and approach. It's a reframing in the context of 21st-century media and disintermediation, 21st-century technology, and 21st-century articulation of and appreciation for business strategy. Read more

Real-time PR demands rigorous strategic alignment

Real-time PR is a hot topic.

This is nothing to do with fashion, but the unavoidable pressures of modern PR. David Meerman Scott's November 2010 book, "Real-time Marketing and PR" is already a Wall Street Journal bestseller, and with Twitter responses frequently meaningless after an hour's delay, if not minutes, and many conversations requiring a response within the hour or two, awaiting the Monday meeting to debate possible responses is now simply unrealistic.

I presented at Social PR 2011 today on just this topic. The main take home... it isn't easy.

Being the eyes, ears and mouth of an organisation to the drumbeat of the daily news was never easy. Being the eyes, ears and mouth, with heightened sensitivity to influence and be influenced in real-time, requires enhanced levels of strategic diligence, meticulous planning, training, constant attention to detail and rigorous measurement.

Reality is perception.

It’s impossible to fake it.

Real-time PR must, by nature, be authentic.

Real-time PR marks the death of the persuasion / ‘spin’ school.

Long live two-way, symmetric PR fostering mutually beneficial relationships between an organisation and its publics.

Social media measurement – easy once you recognise it’s not

The CIPR's social media and measurement group is committed to providing updated guidance to members by the end of January. As the group's chair, I'd better get my skates on. Here's a quick look at the main thrust of our report.

Social media measurement, like business performance management and measurement in general, must measure what's important to your organisation. Sounds simple for a moment doesn't it, except that the view of what's important and what's trivial is pretty much muddied when it comes to marketing and PR measurement and evaluation in my experience.

Take the announcement this week from Sainsbury's, one of the UK's top supermarkets: Read more