TRUE LIA: Measurement f Teg CN for f= Te OEIC) iy ta a hag Robert SimonsCONTENTS Preface ix 1. Foundations for Implementing Strategy 1 mnizational Tensions to be Managed 3 ‘Systems for Performance Measurement and Control 4 Balancing Organizational Tensions. 7 Chapter Summary 15 2. Basics for Successful Strategy 16 Corporate Strategy and Business Strategy 16 Competitive Market Dynamics 18 Resources and Capabilities of a Business 21 The 4 Psof Strategy 27 Chapter Summary 36 3. Organizing for Performance 38 Purpose of Structure 38 Design of Work Units 39 Basic Desiga Choices 39 ‘AHlicrarchy of Accountability 46 ‘Specialization and Market Responsiveness 48 ‘Accountability and Span of Control 50 Span of Attention 53 Chapter Summary 56 4, Using Information for Performance Measurement and Control 57 Organizational Process Model 59 The Choice of What to Control 62 Uses of Information 67 Conflicts in the Use of Management Information 72 Chapter Summary 74 IL, Creating Performance Measurement Systems 75 5. Building a Profit Plan 77 ‘Three Wheels of Profit Planning 78 The Profit Wheel 80 Cash Wheel 89 ROE Wheel 97