Critical Component 1: Enterprise Strategy

The first critical component of Performance Management is the effective articulation of the organization's strategy.

Strategy Articulation
Strategy Articulation is a method by which the major components of a developed strategy are depicted in a format that can be effectively and easily communicated to the organization.

An organization needs to have a clearly articulated strategy that includes mission, vision, values, strategic objectives, and market differentiators. The strategy represents the destination everyone in the organization is attempting to reach. The rest of the framework provides the tools needed to ensure each entity within the organization steers toward the same destination with the least amount of effort and cost.

Strategy Articulation Map
The output of the strategy articulation process is a Strategy Articulation Map. The map becomes the primary vehicle for communicating strategy to the organization.