The Influence Scorecard –
influence performance management
Philip Sheldrake
www.philipsheldrake.com
@sheldrake
Author
The Business of Influence: Reframing
Marketing and PR for the Digital Age
www.influenceprofessional.com
Founding Partner, Meanwhile
www.andmeanwhile.com
AMEC – The Big Ask
London, 17th November 2011
1
Questions
Your organization
☐
Tick those you
consider to be
unique…
2
Questions
Your organization

Your marketplace
☐
Tick those you
consider to be
unique…
3
Questions
Tick those you
consider to be
unique…
Your organization

Your marketplace

Your stakeholders
☐
4
Questions
Tick those you
consider to be
unique…
Your organization

Your marketplace

Your stakeholders

Your marketing objectives
☐
5
Questions
Tick those you
consider to be
unique…
Your organization

Your marketplace

Your stakeholders

Your marketing objectives

Your PR objectives
☐
6
Questions
Tick those you
consider to be
unique…
Your organization

Your marketplace

Your stakeholders

Your marketing objectives

Your PR objectives

Your marketing strategy
☐
7
Questions
Tick those you
consider to be
unique…
See where I’m
going with this?
Your organization

Your marketplace

Your stakeholders

Your marketing objectives

Your PR objectives

Your marketing strategy

Your PR strategy
☐
8
Questions
Tick those you
consider to be
unique…
See where I’m
going with this?
Your organization

Your marketplace

Your stakeholders

Your marketing objectives

Your PR objectives

Your marketing strategy

Your PR strategy

Your marketing execution
☐
9
Questions
Tick those you
consider to be
unique…
See where I’m
going with this?
Your organization

Your marketplace

Your stakeholders

Your marketing objectives

Your PR objectives

Your marketing strategy

Your PR strategy

Your marketing execution

Your PR execution
☐
10
Questions
Tick those you
consider to be
unique…
See where I’m
going with this?
Your organization

Your marketplace

Your stakeholders

Your marketing objectives

Your PR objectives

Your marketing strategy

Your PR strategy

Your marketing execution

Your PR execution

Your metrics?
☐
11
Questions
Tick those you
consider to be
unique…
See where I’m
going with this?
Your organization

Your marketplace

Your stakeholders

Your marketing objectives

Your PR objectives

Your marketing strategy

Your PR strategy

Your marketing execution

Your PR execution

Your metrics?

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Not just a yardstick
Management and measurement are inseparable.
Things that get measured get done, or, to change the
emphasis subtly and probably more accurately,
people perform as they are measured.
In other words, measurement isn’t some passive eye
taking it all in and reporting back to the brain; it is an
active, dynamic management tool as well as a
feedback mechanism.
The Business of Influence, Philip Sheldrake, Wiley, 2011
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The business of influence
is broken
The Business of Influence, Philip Sheldrake, Wiley, 2011
http://www.flickr.com/photos/philip_sheldrake/87055500
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You have been
influenced when you
think in a way you
wouldn’t otherwise
have thought, or do
something you
wouldn’t otherwise
have done
The Business of Influence, Philip Sheldrake, Wiley, 2011
http://www.flickr.com/photos/philip_sheldrake/160365265
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If you’re in business, indeed any type of organization,
then you’re in the business of influence
The Business of Influence, Philip Sheldrake, Wiley, 2011
http://www.flickr.com/photos/philip_sheldrake/5629452844
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Public Relations
≠
Pre-Web
Web 1.0
Web 2.0
Web 3.0
}
media relations
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No organization is an island
Everything an organization does occurs in the context of a
changing world, in a dynamic interplay with every entity around it
Organizations must cultivate a sensitivity to the new
dynamic (one that’s superior to competitors’) and
sharpen their ability to interpret and respond to the
myriad communication flows issuing from all sides
//The rise of social media
Align Your Stakeholder-Facing Functions with an Influence Strategy, Philip Sheldrake, Balanced
Scorecard Report, July-August 2011, Vol 13 No 4, Harvard Business Publishing
http://www.flickr.com/photos/philip_sheldrake/107864510
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The Six Influence Flows
//The Business of Influence
The Business of Influence, Philip Sheldrake, Wiley, 2011
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Kaplan and Norton developed
the strategy map tool for the
alignment of operations with
strategy, and the popular*
Balanced Scorecard
framework to augment the
lagging (financial) indicators
of business success with nonfinancial drivers of future
financial performance.
Useful for dealing with
business based on tangible
assets. Essential for those built
on intangibles.
//The way we contemplate, design, communicate and execute strategy
Balanced Scorecard: Translating Strategy into Action, Robert S. Kaplan and David P. Norton, ISBN:
9780875846514
* http://www.bain.com/publications/articles/management-tools-2011-balanced-scorecard.aspx
http://www.flickr.com/photos/philip_sheldrake/2773203483
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Return on investment
“The strategy map identifies the
specific capabilities in the
organization’s intangible assets –
human capital, information capital,
and organization capital – that are
required for delivering exceptional
performance in the critical internal
processes.”
“… each investment or initiative is
only one ingredient in the bigger
recipe. Each is necessary, but not
sufficient. Economic justification is
determined by evaluating the return
from the entire portfolio of
investments in intangible assets
that will deliver the ROI from [the
strategic imperative].”
And this applies to influence
activities too.
//The way we contemplate, design, communicate and execute strategy
Strategy Maps: Converting Intangible Assets into Tangible Outcomes, Robert S. Kaplan and David P.
Norton, ISBN: 978-1591391340
http://www.flickr.com/photos/philip_sheldrake/107865905
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And yet: “CMOs believe ROI on marketing spend
[in isolation?] will be the number one method for
determining the marketing function’s success.”
//The way we contemplate, design, communicate and execute strategy
From Stretched to Strengthened – Insights from the Global Chief Marketing Officer Study, IBM, 2011.
http://www.ibm.com/cmostudy2011
Square brackets added here.
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The Maturity of Influence Approach
Trace the influence (the action) back to
source.
Medium
It’s quality not quantity. Not how many
people you interact with, but how and in
what context?
Low
Number of followers, friends,
subscribers, circulation. Empirically
supported network science.
Pitiful
Obfuscating compound measures of
non-contextual trivial variables. No
empirical evidence.
Focused on business
outcomes, as we should be.
Best practice, intelligent and
you could say scientific and
professional marketing and
PR, and associated
activities.
Influence-centric
High
Characteristics
Influencer-centric
Maturity
Akin to column inches and
AVE – measurement
because you can, not
because you should.
The Business of Influence, Philip Sheldrake, Wiley, 2011, Table 5.1, page 47
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The Influence Scorecard
How can we systematically learn from and manage influence flows?
How do we define, develop, and execute a consistent and coherent
influence strategy?
How do we prioritize investments in influence-related human,
information, and organizational capital?
Kaplan and Norton’s strategy map tool and Balanced Scorecard
framework are well suited to these efforts.
//The Business of Influence
The Business of Influence, Philip Sheldrake, Wiley, 2011
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The Influence Scorecard /2
The Influence Scorecard serves as both the methodology for defining
influence strategy and the tool for executing it.
It’s a subset of the Balanced Scorecard, containing all the influencerelated objectives and metrics extracted from their functional silos.
Helps management ensure that the potential to influence and be
influenced is exploited cohesively and consistently throughout the
organization.
//The Business of Influence
The Business of Influence, Philip Sheldrake, Wiley, 2011
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Researching candidate metrics
Social Media Metrics, Sterne
Measure What Matters, Paine
Marketing Metrics, Farris, Bendle, Pfeifer, Reibstein
http://kpilibrary.com
http://www.smartkpis.com
http://www.kpi-portal.com
http://www.bsccommunity.com
http://www.thepalladiumgroup.com/communities/XPC
The Business of Influence, Philip Sheldrake, Wiley, 2011, page 115
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Today
… influence activities:
– Are spread, uncoordinated, across functional silos
– Encompass only some aspects and subsets of the
Six Influence Flows and the Influence Scorecard
– Are defined in the context of 20th Century
technology, media, and articulation of and
appreciation for business strategy
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Tomorrow
Your influence strategy must:
– Take best advantage of social media, new info
technologies and best practice performance
management
– ‘Socialize the enterprise’, systematically
– Drive business performance.
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