BSC in Budget Formulation
Paul Maguire, Member
I’ve also used an initiative mapping process
that is useful at the corporate as well as at the cascaded level:
- Step 1. Getting your current initiatives. This can be an eye-opener. List your objectives on the side and your initiatives, projects, or activities across the top.
- Step 2. Place an “x” for each objective served by an initiative (can serve multiple objectives). The result: this identifies conditions for action
1) Non-strategic inititatives
: initiatives (and projects or activities) that don’t support any strategic objectives. Get rid of them (freeing up resources to fund other projects);
2) Redundant initiatives
serving the same objective. Rationalize these and free up more resources;
– objectives witch are not being served by any initiative. These become candidates for new initiatives.
- Step 3. Priority setting against budget
. Once this matrix has been developed, you can then use it for priority setting against budget. Initiatives serving multiple objectives are prioritized ahead of those that don’t (more on prioritization and funding but out of room).