Strategic alignment

<h2 id="superordinate-principles">Superordinate Principles</h2>
Creating operational alignment involves translating an organization's <a href="/facts/Superordinate_goals/XP21f8oT">Superordinate Goals</a> and overall strategy into the more immediate objectives of a team or department. In addition to reviewing systems and processes, leaders also need to develop the skills, competencies and motivation of people in the organization. The <a href="/facts/McKinsey_7S_Framework/X38v5WjY">McKinsey 7s Framework</a> provides an overview of this type of analysis, highlighting elements that contribute to alignment. This type of review, with follow-up interventions, contribute to key activities (linked to products and services) meeting customer and stakeholder expectations. At the same time, effective internal systems ensure the best use of resources, which contributes to future success.
Strategic Alignment requires awareness of Superordinate Principles that may include the 3BL "<a href="/facts/Triple_bottom_line/c9thpskD">triple bottom line</a>" perspective.<a class="footnote-ref" id="fnref:7" href="#fn:7">7</a> This emphasizes criteria that take account of Planet, People & Profit (3P Thinking).<a class="footnote-ref" id="fnref:8" href="#fn:8">8</a> It raises issues relating to <a href="/facts/Corporate_governance/ISvl8hIn">Corporate Governance</a>, which now include social and environmental considerations. KPMG make the point: "Businesses not taking ESG seriously are beginning to lose customers, employees and financing; eventually they will become unviable."<a class="footnote-ref" id="fnref:9" href="#fn:9">9</a>
There are two main models of corporate governance, (i) the shareholder model, which prioritizes the return on investment for investors, and (ii) the stakeholder model that also emphasizes a responsibility towards other groups and wider considerations.<a class="footnote-ref" id="fnref:10" href="#fn:10">10</a> Guiding principles relating to <a href="/facts/Environmental%2c_social_and_corporate_governance/hCR8skud">Environmental, Social and Corporate Governance</a> (ESG) is at the heart of the new thinking.

<h2 id="trevor-and-varcoe">Trevor and Varcoe</h2>
In an article in Harvard Business Review (May 2016),<a class="footnote-ref" id="fnref:11" href="#fn:11">11</a> Jonathan Trevor and Barry Varcoe suggest two questions. These prompt reflection on strategic alignment.

<ol><li>How well does your business strategy support the fulfilment of your company's purpose?</li>
<li>How well does your organization support the achievement of your business strategy?</li></ol>
Findings suggest that both elements contribute to performance. The article notes that (alignment) 'also leads to a more positive work climate, above-average staff engagement, a strong commitment to values and few(er) energy-sapping turf wars and in-fighting'. (ibid)

<h2 id="see-also">See also</h2>
<ul><li><a href="/facts/Superordinate_goals/XP21f8oT">Superordinate Goals</a> that are linked to an organization's Vision and <a href="/facts/Mission_statement/W3x41mDM">Mission Statement</a></li>
<li><a href="/facts/Strategy_Markup_Language/kswCmVn1">Strategy Markup Language</a> (StratML), whose purposes include facilitating strategic alignment through the establishment of literal linkages among <a href="/facts/Performance_indicator/qVbntaF8">performance indicators</a> and the strategic goals and objectives they support.</li>
<li><a href="/facts/Environmental_scanning/rxqhnGS5">Environmental scanning</a></li>
<li><a href="/facts/Competition/FpQaEhHv">Competition</a></li>
<li><a href="/facts/Sustainability_reporting/838Ko4Wb">Sustainability reporting</a></li>
<li><a href="https://en.itpedia.nl/2022/01/02/business-strategie-alignment-en-de-geheimen-van-strategische-planning/">Business strategy alignment and the secrets of strategic planning</a></li></ul>
<h2 id="citations">Citations</h2>

<ul><li>Project Management Institute (2021). A guide to the project management body of knowledge (PMBOK guide). Project Management Institute (7th ed.). Newtown Square, PA. <a href="/facts/ISBN_(identifier)/15AdSPa9">ISBN</a> 978-1-62825-664-2.{{cite book}}: CS1 maint: location missing publisher (link)</li>
<li><a href="/facts/United_States_Office_of_Personnel_Management/elSpFNWU">United States Office of Personnel Management</a>'s <a href="https://www.opm.gov/policy-data-oversight/human-capital-management/strategic-alignment/">overview</a> of strategic alignment in the context of <a href="/facts/Human_capital/Hxwb2I2P">human capital</a> management</li>
<li><a href="/facts/ARMA_International/J8gSSUFm">ARMA International</a>'s <a href="http://www.arma.org/bookstore/files/andelson.pdf">discussion</a> of strategic alignment in the context of records and information management, July/August 2007</li>
<li><a href="http://www.rms.net/strategic_alignment_r_sa.htm">Articles</a> on strategic alignment provided by Resource Management Systems, Inc.</li>
<li><a href="https://www.forbes.com/sites/larrymyler/2012/10/16/strategy-101-its-all-about-alignment/">Strategy 101: It's All About Alignment</a>, Forbes, October 16, 2012</li>
<li><a href="http://ro.uow.edu.au/cgi/viewcontent.cgi?article=2281&context=infopapers">Strategic alignment of business processes</a>, E. D. Morrison, A. K. Ghose, H. K. Dam, K. G. Hinge, K. Hoesch-Klohe, University of Wollongong, December 5, 2011</li>
<li><a href="http://www.knowledgecompanyinc.com/images/The_Case_for_Strategic_Alignment_-_vC010106.pdf">The Case for Strategic Alignment</a>, white paper by The Knowledge Compass, Inc.</li></ul>

<h2 id="references">References</h2>

<ol>
<li id="fn:1">"Approaches to Organizational Strategic Alignment". Small Business - Chron.com. Retrieved 2021-07-14. <a href="https://smallbusiness.chron.com/approaches-organizational-strategic-alignment-14151.html" target="_blank">https://smallbusiness.chron.com/approaches-organizational-strategic-alignment-14151.html</a> <a href="#fnref:1" class="footnote-back-ref">↩</a></li>
<li id="fn:2">Faucheux, Sylvie; Nicolaı̈, Isabelle (1998). "Environmental technological change and governance in sustainable development policy". Ecological Economics. 27 (3): 243–256. doi:10.1016/s0921-8009(97)00176-6. ISSN 0921-8009. S2CID 154733072. <a href="https://dx.doi.org/10.1016/s0921-8009(97)00176-6" target="_blank">https://dx.doi.org/10.1016/s0921-8009(97)00176-6</a> <a href="#fnref:2" class="footnote-back-ref">↩</a></li>
<li id="fn:3">"Are your global teams working together? How geo alignment helps companies succeed globally". Trade Ready. 2018-07-09. Retrieved 2021-01-26. <a href="https://www.tradeready.ca/2018/international-sales-marketing/are-your-global-teams-working-together-how-geo-alignment-helps-companies-succeed-globally/" target="_blank">https://www.tradeready.ca/2018/international-sales-marketing/are-your-global-teams-working-together-how-geo-alignment-helps-companies-succeed-globally/</a> <a href="#fnref:3" class="footnote-back-ref">↩</a></li>
<li id="fn:4">Christiansen, Liza Castro; Higgs, Malcolm (2008). "How the alignment of business strategy and HR strategy can impact performance: A practical insight for managers". Journal of General Management. 33 (4): 13–34. doi:10.1177/030630700803300402. ISSN 0306-3070. S2CID 107290230. <a href="https://dx.doi.org/10.1177/030630700803300402" target="_blank">https://dx.doi.org/10.1177/030630700803300402</a> <a href="#fnref:4" class="footnote-back-ref">↩</a></li>
<li id="fn:5">Bergeron, François; Raymond, Louis; Rivard, Suzanne (2004). "Ideal patterns of strategic alignment and business performance". Information & Management. 41 (8): 1003–1020. doi:10.1016/j.im.2003.10.004. ISSN 0378-7206. <a href="https://dx.doi.org/10.1016/j.im.2003.10.004" target="_blank">https://dx.doi.org/10.1016/j.im.2003.10.004</a> <a href="#fnref:5" class="footnote-back-ref">↩</a></li>
<li id="fn:6">Project Management Institute 2021, §3.4 Focus on Value. - Project Management Institute (2021). A guide to the project management body of knowledge (PMBOK guide). Project Management Institute (7th ed.). Newtown Square, PA. ISBN 978-1-62825-664-2. <a href="#fnref:6" class="footnote-back-ref">↩</a></li>
<li id="fn:7">Schulz, Steven A.; Flanigan, Rod L. (2016-05-03). "Developing competitive advantage using the triple bottom line: a conceptual framework". Journal of Business & Industrial Marketing. 31 (4): 449–458. doi:10.1108/jbim-08-2014-0150. ISSN 0885-8624. <a href="https://dx.doi.org/10.1108/jbim-08-2014-0150" target="_blank">https://dx.doi.org/10.1108/jbim-08-2014-0150</a> <a href="#fnref:7" class="footnote-back-ref">↩</a></li>
<li id="fn:8">Kraaijenbrink, Jeroen. "What The 3Ps Of The Triple Bottom Line Really Mean". Forbes. Retrieved 2021-01-26. <a href="https://www.forbes.com/sites/jeroenkraaijenbrink/2019/12/10/what-the-3ps-of-the-triple-bottom-line-really-mean/" target="_blank">https://www.forbes.com/sites/jeroenkraaijenbrink/2019/12/10/what-the-3ps-of-the-triple-bottom-line-really-mean/</a> <a href="#fnref:8" class="footnote-back-ref">↩</a></li>
<li id="fn:9">"ESG: Environmental, Social Governance - An Introductory Guide for Business (August 2020)" (PDF). <a href="https://assets.kpmg/content/dam/kpmg/uk/pdf/2020/08/esg-brochure.pdf" target="_blank">https://assets.kpmg/content/dam/kpmg/uk/pdf/2020/08/esg-brochure.pdf</a> <a href="#fnref:9" class="footnote-back-ref">↩</a></li>
<li id="fn:10">Mac, Ryo (2018-02-11). "Corporate Governance, and the Stakeholder vs. Shareholder Model". Medium. Retrieved 2021-01-26. <a href="https://medium.com/skeptikai/corporate-governance-and-the-stakeholder-vs-shareholder-model-10e756241d3b" target="_blank">https://medium.com/skeptikai/corporate-governance-and-the-stakeholder-vs-shareholder-model-10e756241d3b</a> <a href="#fnref:10" class="footnote-back-ref">↩</a></li>
<li id="fn:11">Trevor, Jonathan; Varcoe, Barry (2016-05-16). "A Simple Way to Test Your Company's Strategic Alignment". Harvard Business Review. ISSN 0017-8012. Retrieved 2020-03-26. <a href="https://hbr.org/2016/05/a-simple-way-to-test-your-companys-strategic-alignment" target="_blank">https://hbr.org/2016/05/a-simple-way-to-test-your-companys-strategic-alignment</a> <a href="#fnref:11" class="footnote-back-ref">↩</a></li>
</ol>

Strategic alignment open-in-new

Strategic alignment