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Journal cover: Measuring Business Excellence

Measuring Business Excellence

ISSN: 1368-3047

Online from: 1997

Subject Area: Performance Management and Measurement

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An experiment in the usefulness of a strategy map


Document Information:
Title:An experiment in the usefulness of a strategy map
Author(s):Nopadol Rompho, (Assistant Professor in the Department of Operations Management, Faculty of Commerce and Accountancy, Thammasat University, Bangkok, Thailand)
Citation:Nopadol Rompho, (2012) "An experiment in the usefulness of a strategy map", Measuring Business Excellence, Vol. 16 Iss: 2, pp.55 - 69
Keywords:Balanced scorecard, Business performance, Decision making, Experimentation, Performance measurement systems, Strategy map
Article type:Research paper
DOI:10.1108/13683041211230320 (Permanent URL)
Publisher:Emerald Group Publishing Limited
Acknowledgements:The author received a research grant from the Faculty of Commerce and Accountancy, Thammasat University.
Abstract:

PurposeThe objective of this study is to investigate the effect of a strategy map on the quality of decision making.

Design/methodology/approachAn experimental design is used in this study. A total of 24 participants were randomly assigned into two groups – a control group and a treatment group. Each participant completed two rounds of the experiment covering 24 decisions using a simulation game. The multiple regression technique is used as the analysis tool in this study.

FindingsThe results show that strategy maps do not affect the performance of participants' decision making.

Research limitations/implicationsThis research employs the laboratory experimental design. Thus the external validity (the generalizability) is limited.

Practical implicationsResults obtained from this research suggest that a strategy map alone is not an effective tool to help managers make better decisions. More details, such as a correlation between strategic measures in the strategy map or guidelines for the use of the map, could help make a strategy map more useful.

Originality/valueThis study tests the cause and effect relationship between using a strategy map and the results of decisions made. Unlike many studies that employ the survey method in which confounding variables cannot be controlled, results from this experiment suggest that a simple strategy map alone does not improve the quality of decision making. This finding can thus be valuable to managers who are considering using a strategy map as a management tool.



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