Strategy Implementation System by BSC Designer

A systematic approach to the decomposition of the needs of stakeholders, into aligned strategy and functional scorecards.

Key Topics:

Strategy Implementation System

To visually represent our system, we employ a diagram featuring eight segments:

  • The four segments on the left are dedicated to developing high-level strategy,
  • The four segments on the right assist in formalizing low-level strategy.
Intro video
Strategy Implementation System by BSC Designer


1. Stakeholders

Strategy implementation starts with a systematic analysis of stakeholders and their requirements. Strategists should create a system to analyze the needs of stakeholders, encourage innovations, and validate innovations in practice.
Practical application video
Step 1: Stakeholder Identification and Analysis in the Strategy Implementation System


2. Decomposition

Before initiating work on the strategic aspirations of stakeholders, it’s essential to convert them into smaller, actionable components. This process is achieved through value-based strategy decomposition.
Practical application video
Step 2: Value-Based Strategy Decomposition in the Strategy Implementation System

Frameworks Ecosystem

3. Frameworks

Diverse business frameworks assist us in strategy decomposition. Going beyond the marketing aspects of each framework, we can explore their unique approaches to decomposition and understand their roles within the broader framework ecosystem.

As a core framework, we recommend using the adapted Balanced Scorecard or the OKR framework.

Practical application video
Step 3: Ecosystem of Strategic Frameworks in the Strategy Implementation System

Formulating Low-Level Strategy

Every strategy scorecard is constructed with three components:

  • Goals
  • Initiatives
  • KPIs

Although the names of these components might vary, such as ‘key results’ instead of ‘lagging indicators’ in OKR, strategies essentially consist of these three essential elements.


4. Goals

Goals and sub-goals, which result from decomposing stakeholders’ ambitions into smaller parts, must be assigned ownership and aligned with the stakeholders.
Practical application video
Step 4: Building Blocks of Strategy: Goals in the Strategy Implementation System


5. Initiatives

In a broad sense, initiatives cover action plans that aid in achieving the goal. This includes the analysis of risks, details of the rationale, success factors, and expected outcomes.
Practical application video
Step 5: Initiatives and Action Plans in the Strategy Implementation System


6. KPIs

KPIs quantify the goals and initiatives. The quantification involves the success factors (leading indicators) and outcomes (lagging indicators).To make the goals and KPIs comparable, we normalize them, converting hours, dollars, square meters, etc., into percentages.

Practical application video
Step 6: Mastering KPIs in the Strategy Implementation System

Learning loop

7. Learning

In the domain of strategy, validation of hypotheses is crucial. When updating scorecards with new data, pose questions such as:

  • Did we genuinely create value for the stakeholders?
  • How can we enhance?
  • Do we acquire a different perspective on stakeholders’ needs?
Practical application video
Step 7: Learning in the Strategy Implementation System

Scorecards alignment

8. Strategy and Functional scorecards

The scorecards act as the ‘containers’ to organize strategy components (goals, initiatives, and KPIs) and set boundaries for strategy decomposition.

  • Some are dedicated to goals and action plans focused on change (strategy scorecards),
  • While others incorporate supporting data such as PESTEL analysis, Governance, or Compliance (functional scorecards).
Practical application video
Step 8: Connecting High-Level Strategy to Low-Level with Scorecards

Scorecards alignment

9. Alignment

When planning and executing strategy, we align functional and strategy scorecards through normalized goals or perspectives.
Practical application video
Step 9: Alignment and Cascading in the Strategy Implementation System

Employees involved in strategy

10. Strategy Team

Strategy is supposed to be everyone’s job… In practice, we can define three tiers of employee involvement in strategy:

  • Awareness
  • Contribution, and
  • Collaboration/Ownership.
When scaling up to the organizational level, we are talking about various levels of maturity in strategic planning: formal strategy, cascaded strategy, or collaborative strategy.

BSC Designer

Strategy Automation

While the Strategy Execution System is software-agnostic, its ideas are seamlessly automated through our strategy execution platform, ensuring:

  • Inherent presentation and management of stakeholders.
  • Framework flexibility, offering access to popular business frameworks and the ability to add your own templates.
  • Strategy decomposition through a hierarchy of goals, subgoals, KPIs, and initiatives.
  • Automated KPI setup and calculation, including normalization.
  • Alignment across strategy and functional scorecards.

Discover all the essential functions organizations should consider when acquiring strategic planning software.

How to Begin Using the System

Explore the details of our strategy implementation system by accessing our free materials through the provided links. Sign up for a free plan of BSC Designer software to apply the ideas of the system in practice.

Additionally, we offer organizations support in mastering the strategy implementation system through the following modalities:

  • Training workshops
  • Consulting and coaching sessions
  • Speaking engagements

Reach out to our team to schedule a free introductory call.

Common Pitfalls in Strategy Implementation

While assisting clients in enhancing their strategies, we have observed certain anti-patterns or pitfalls.

Pitfall 1. No stakeholder analysis
These strategies often exist in a vacuum created by top managers. When they are implemented, we often witness the creation of products that people don’t actually use. A successful strategy always maintains active contact with its stakeholders.
Pitfall 3. XYZ framework will solve all challenges
While frameworks like OKR or Balanced Scorecard play a crucial role in assisting teams to focus and execute their strategy, their optimal use often requires broader ecosystem of complementary frameworks.
Pitfall 5. Focusing on KPIs only
The KPIs are valuable only when they quantify relevant goals and initiatives. Without proper stakeholder analysis and strategy decomposition, even the best KPIs won’t help. Using the KPIs shortcut will lead to investing efforts in performance measurement without any significant impact on the performance bottom line.
Pitfall 7. Using SMART goals
SMART criteria is an excellent goal-setting framework; however, the SMART goal format is not effective in strategic planning where we deal with a high level of uncertainty, volatility, and complexity.
Pitfall 2. Not doing decomposition
Stakeholders’ needs are commonly articulated as broad, aspirational goals. To initiate effective work on these objectives, it is crucial to break them down into more concrete and actionable parts.
Pitfall 4. No cascading/alignment
Externally, it may seem ideal to have a single, cohesive strategy aligned with the company’s vision and mission. Internally, a monolithic strategy lacks collaboration; updating it with new inputs and sub-strategies becomes challenging. Instead, consider adopting a strategy architecture based on aligned scorecards.
Pitfall 6. Using spreadsheet software
Automating strategies with spreadsheet and presentation software implies limitations in the consistency of calculations, maintainability, and data security. Specialized strategy execution software, such as BSC Designer, provides all these features ‘out of the box.’ We discussed all the typical challenges of strategy automation here.


Strategy implementation system by BSC Designer

Meet Our Senior Strategy Consultant

Alexis SavkinAlexis Savkín Check out LinkedIn profile is the CEO of BSC Designer and the author of the Strategy Implementation System. With over 20 years of experience in strategic planning, he assists organizations in articulating and executing their strategies.

A regular speaker at strategy conferences, Alexis is also the author of “10 Step KPIs System,” “Guide to Balanced Scorecard,” and has written over 100 articles on the topics of strategy and performance management.

Cite as: BSC Designer, "Strategy Implementation System by BSC Designer," BSC Designer, November 27, 2023,