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Best practices for enhancing employee performance through strategy execution

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In today’s dynamic business landscape, the success of any organization hinges on its ability to execute its strategies effectively. A well-crafted strategy can set the direction for growth and innovation, but its potential is realized only when it is translated into action through meticulous execution. Central to this process is the role of employees, who are the driving force behind turning strategic visions into tangible results. 

Employee performance is a pivotal factor in the success of any organization. To achieve excellence, companies must focus on setting clear strategies and executing them effectively. This article will delve into best practices for driving employee performance, emphasizing strategy execution.

  • Strategic alignment: Effective strategy execution begins with aligning individual roles and responsibilities with the overarching organizational strategy. By clearly communicating the company’s goals and vision, employees gain a deeper understanding of how their contributions directly impact the larger picture. This alignment fosters a sense of purpose and promotes a collective commitment to achieving shared objectives.
  • Clear communication and cascading goals: A well-executed strategy demands clear communication across all levels of the organization. Leaders play a vital role in disseminating the strategic direction, ensuring that every team member knows their role in the grand scheme. The practice of cascading goals from top to bottom ensures that each employee’s performance objectives are in harmony with the organization’s strategic imperatives. It is important to regularly communicate the big picture to emphasize the importance of individual contributions.
  • Metrics and performance tracking: Measuring employee performance is essential for gauging strategy execution effectiveness. Implementing performance metrics and key performance indicators (KPIs) provides a quantifiable way to assess progress. Regular reviews allow adjustments to be made, ensuring the strategy remains on course. Visual tools, such as charts and tables, can help visualize performance trends and identify areas for improvement. Setting SMART (Specific, Measurable, Achievable, Relevant, Time-Bound) goals and KPIs that align with the overarching strategy provides employees with tangible targets and fosters a sense of accomplishment.
  • Empowerment and autonomy: Empowered employees are more likely to take ownership of their tasks and proactively seek ways to contribute to the strategy’s success. Providing employees the autonomy to make decisions within their roles fosters a sense of accountability and commitment. This empowerment not only boosts individual performance but also promotes innovation and adaptability.
  • Recognition and rewards: Acknowledging and celebrating accomplishments, both big and small, go a long way in motivating employees. Recognition reinforces the connection between their efforts and the organization’s success. Tangible rewards, whether financial or non-monetary, serve as incentives that drive heightened performance.

Avoiding common pitfalls

While striving for optimal strategy execution, it is vital to steer clear of common pitfalls. One such pitfall is underestimating the importance of ongoing training and development. A skilled workforce is more capable of executing strategies successfully. Additionally, neglecting to monitor progress can lead to deviations from the intended path.

In the pursuit of organizational success, effective strategy execution is paramount, and employee performance should be inherently tied to it. Employees’ commitment, enthusiasm, and performance can determine whether a strategy remains an abstract concept or a tangible reality. Organizations can unlock the full potential of their strategic visions by aligning employees with the strategy, fostering open communication, recognizing achievements, and empowering them with tools to succeed. As leaders cultivate an environment where strategy execution is a collective endeavor, they pave the way for sustained growth, innovation, and achievement of long-term goals.

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This article is written by Rami Al Tawil, Organizational Excellence Director at Al Saedan Real Estate Company, who holds a master’s degree in industrial engineering from Jordan University of Science and Technology. With 19 years of expertise spanning Strategy Planning, Performance Management, Business Improvement, and more, he excels in aligning employees with strategic visions for consistent performance improvement.

Having a dedicated Performance Management Office: placement and benefits

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Measuring and managing performance is critical in identifying an organization’s performance levels. Although many companies measure their performance against their financials, this approach does not always succeed when facing crises like the COVID-19 pandemic. Performance management offers a deep understanding of procedures, processes, and services or products for higher management to view, which helps in making critical decisions when crises happen.

Therefore, organizations should establish, integrate, and adopt a dedicated performance management department. As discussed in the Certified Performance Management Professional course by The KPI Institute (TKI), a performance management system (PMS) helps align employees to meet corporate strategic objectives and career goals. In addition, it creates an environment where employees reach and exceed their abilities to produce efficient and effective products or services. This system, according to Aurel Brudan, founder and CEO of TKI, refers to “the overarching human activity that is concerned with achieving desired results, thus demonstrating and achieving performance. It reflects the approach one entity has towards performance, and it integrates both upstream and downstream with other domains of administrative science or managerial disciplines.”

Placement

The placement of a Performance Management Office (PMO) in the organizational structure depends on how the organization handles planning and execution. On one hand, if planning and execution are carried out by one department, then the PMO would be an independent department. On the other hand, if planning and execution are done separately in the organization, then the PMO would be under Corporate Strategy Planning and next to the Project Management and Strategic Planning offices. To sum it up, having a dedicated PMO is not enough. It is important to place the PMO in the organizational structure according to how planning and execution are performed within the organization to ensure clear and smooth integration within its hierarchy.

Measuring and managing performance is critical in identifying an organization’s performance levels. Although many companies measure their performance against their financials, this approach does not always succeed when facing crises like the COVID-19 pandemic. Performance management offers a deep understanding of procedures, processes, and services or products for higher management to view, which helps in making critical decisions when crises happen.

The following example is a subsection from a corporate-level organizational structure showing the placement of the PMO.

Source: The KPI Institute

Imagine a scenario where the Strategic Planning Department produces a strategy plan activated through projects executed and managed by the Project Management Department. The output of those two departments is then measured and managed by the PMO. The PMO in this structure ensures the smooth and effective execution of performance management activities. This setup is optimal due to its many benefits to operations and strategic alignment.

Benefits

There are several benefits to having a dedicated PMO. Performance management starts by connecting strategic objectives to key performance indicators (KPIs), deriving strategy implementation and supporting transformation to guide the organization toward improvement and growth.

The tangible benefits of having a PMO will typically emerge after its first year of implementation, with evidence likely showing up during the annual performance review. Analyzing the organization’s current state, defining its future, and managing performance throughout the year through performance management tools can give higher management a clear vision as they take critical actions to update their strategy as the situation demands it. Moreover, the PMO can identify and understand gaps and opportunities for improvement to ensure continued organizational growth and survival.

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This article is written by Engr. Hussien Abdullah Alkhalifah, a strategy and business planning professional who specializes in corporate performance, agile project management, business process improvement, performance management, KPI implementation, quality control, and strategic planning, among others. Connect with him on LinkedIn.

The future of public service: key trends in strategy and performance management

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The public sector and government entities, especially in the UAE, tend towards excellence and global pioneering through participation in various excellence programs and awards and participation in measuring global competitiveness indicators. It has also become competitive with the private sector in the quality, efficiency, and excellence of providing services comparable to the quality and efficiency required by the highest international standards. The goal is to reach the highest levels of customer happiness,

Key trends

The public sector has gone a long way. Among the main directions it is treading are the following:

Future shaping. It is what is related to the possible and the preferred in the future, along with expectations and trends that have few possibilities but have significant impacts that can occur. There is a need to analyze the extent of their impact on government work, build future models, seize opportunities, and ensure strategic ability that will affect the operations and services of government entities as they work towards achieving customers’ and society’s happiness.

Government innovation in services and processes. When services are provided innovatively, it reduces the time of their provision and measures the added value from them. Innovation is the actual translation of creative ideas and transforming them into products, services, processes, and systems that interact with and serve society. It is necessary to measure the global innovation index, which measures the level of innovation at the level of different countries by studying a number of indicators that make up the overall index. It includes seven main criteria categories that represent innovation inputs and outputs at the state level: institutions, human capital and research, infrastructure, market development, business environment development, innovation outputs of knowledge and technology, and creative outputs.

Digital transformation. This refers to providing electronic and smart government services with a high degree of excellence, pioneering, comprehensiveness, and integration among government entities and interrelated and integrated systems to achieve the “one government” concept.

Metaverse and government use. This is a system that will provide many virtual spaces on the Internet and will also allow the integration of everyday life into virtual life. Metaverse will provide immersive and exciting experiences in various fields, such as education, health, tourism, travel, service provision, shopping, transportation, and others. This involves using advanced technologies, such as virtual and augmented reality, artificial intelligence, blockchain, cloud computing, 5G network, and other technologies. Such technology can make government administrative services efficient. For example, people can meet with virtual officials without visiting municipal offices or any government department.

Sustainability in the social, economic, and environmental fields. Programs, initiatives, and policies that support sustainability are implemented, such as applying and measuring performance indicators of the extent of the impact of operations on health, safety, and the environment. This should ensure minimizing negative impacts on society and the environment and contribute to the rationalization of energy, water, and other resources consumption.

The future of public services

Government services in the future will depend heavily on the provision of digital services that will be more efficient and will also rely on the standards and requirements of a single platform for customer data. An example is the digital identity (UAE PASS) adopted in the UAE. It is used as a primary and unified mechanism to obtain digital services for all categories of customers.

The future of government services as stated in the global star system for rating services, issued by the Prime Minister’s Office in the Ministry of Cabinet Affairs and the future in the United Arab Emirates, represented by the Emirates Program for Excellence in Government Service, as this integrated system is the first of its kind in the world. The Emirates Program for Excellence in Government Service was launched [2] in the United Arab Emirates, it sets a world-class standard that helps government and private entities measure, improve and transform the field of service delivery. This program aims to improve the quality of government and private services by focusing on customer-centric services, employee happiness, and operational efficiency to provide services at a seven-star level.

Strategic planning will play an important role in assessing the quality of government services. This happens through the awareness of senior leadership, in participating in strategic planning that focuses on developing services, linking it to strategic objectives, and supporting the government entities’ strategy to improve customer experience. In addition, these strategic goals related to services must be measured and monitored through efficient and effective performance indicators, such as: the percentage of services’ customer happiness, the average time taken to provide the service, and the average waiting time to obtain the service.

The most important characteristic of government entities is how they provide services quickly and efficiently. For this purpose, they must proactively adopt advanced technologies, such as chatbots, artificial intelligence, big data analytics, and the Internet of Things, to support the provision and management of services to continue improving customer experience and reaching the highest levels of happiness for them.

In this field, government entities should provide a central database for all customer data. It should be possible to securely access the central database for customers from all service delivery channels and to manage the security of this data. There should be special security measures to deal effectively with data breaches if they occur and training for employees on how to proactively reduce security breaches. In addition, government entities must evaluate their electronic and digital security and build a culture of enhancing the importance of data privacy and security, recognize the possibility of using the Secure Sockets Layer (TLS) protocol, and ensure secure access to service and electronic payment procedures through digital channels.

Best practices

One of the best practices that we recommend in strategic planning for government entities is strategic planning based on the Balanced Scorecard developed by Norton and Kaplan: It is a framework for translating the organization’s vision into a set of performance indicators covering the following four perspectives: financial aspect, customers, internal process, learning, and growth. Through this system, the organization monitors its current performance (financial, customer satisfaction, and business results) as well as its efforts towards developing operations, motivating and educating employees, enhancing information systems, and honing their ability to learn and develop.

It is considered an administrative system that enables the organization to clarify its vision and strategic goals and translate them into reality. It is an auxiliary tool used to measure the performance of organizations in order to lead them to continuous development and improvement as it focuses on gaps in performance and alerts work teams and senior management.

The Norton and Kaplan methodology for managing and executing strategy consists of six main steps:

  1. Preparing and developing the strategy: This includes benchmarking with best practices, formulating the vision, mission and values, conducting internal and external analysis, identifying the value gap and defining the vision, defining the change agenda, and formulating the strategy.
  2. Translating the strategy: It refers to defining the strategic pillars and objectives, the indicators and targets, the strategic initiatives, the responsibilities, and the general framework for the process of translating the strategy.
  3. Cascading and alignment of the strategy: This is about distributing objectives according to roles to the main and supportive organizational units, communicating the strategy for all employees, aligning the strategy with the individual performance of the employees, aligning with incentives, aligning the strategy with external parties and partners.
  4. Developing the main processes and linking the strategy to the institution’s budget and operations to ensure implementation: This involves defining priorities for strategic operations, using processes and driving models to activate the strategy, creating an operations dashboard, integrating financial planning and resource capabilities, managing initiatives, integration with and planning for intangible properties.
  5. Institutional review and learning by transforming the strategy into a continuous process and establishing a formal performance-based follow-up to the strategy: This is achieved by conducting strategy review meetings, and conducting operational processes review meetings).
  6. Testing and adaptation: This means monitoring and evaluating the strategy and adapting to the strategy based on the results achieved. It includes testing cause-and-effect relationships using data analytics, testing the robustness and solidity of the strategy, and using business intelligence and big data).

Challenges and successes

Among the biggest and most important challenges that government entities face during the implementation and usage of a performance management system are:
  • The inability to obtain the information needed by government entities from the performance measurement process. The solution is to adopt performance indicators that are closely related to the strategic objectives. Measuring performance indicators that are not linked to the objectives is a waste of time.
  • Lack of results and data to help make decisions. The solution is to establish a reliable database to obtain the data based on which accurate performance is measured to help make sound decisions at the right time.
  • The inability to take effective measures to achieve goals. The solution lies in the use of analysis and improvement tools that lead to the root of the problem, based on which effective measures are taken to improve performance and achieve goals.
  • Not knowing what exactly is important to measure. The solution is to measure a few indicators that serve the purpose of achieving the goals.
  • Not knowing the purpose of the measurement and that the indicators are meaningless. The solution is to adopt the performance indicator card. From the outset, the purpose of its measurement are determined.
  • Employees refuse to be held accountable for performance. The solution is not to punish employees for bad performance. Motivate and honor outstanding performance and good results.
  • No improvement in performance. The solution is to measure performance indicators over long periods of time to follow up on the improvement in performance in a phased manner. Acknowledge the possibility of taking improvement measures before the end of the performance management cycle.
  • Indicators are imposed on employees and are not discussed with them. The solution lies in the participation of employees in setting performance indicators and defining the responsibility of each of them for the details of the indicator, such as collecting data, monitoring improvement, measuring the indicator, and developing improvement initiatives.

In terms of building performance- and data-driven culture in the public sector, it is necessary to develop a culture of reliance on shared and open data and to measure indicators of the extent of the participation of government departments.

For the success of any performance management system: 
  • Performance must be monitored, evaluated, and adapted to the strategy based on the results achieved;
  • The testing of cause-and-effect relationships must use data analytics; 
  • Artificial intelligence and big data must be employed.

To succeed as a leader in a government entity, he or she should have behavioral competencies, the set of knowledge, skills, and behaviors necessary to achieve effective performance. These competencies play an important role in employee performance and work teams for the tasks assigned to them and often appear when employees interact with each other and with clients.

Behavioral competencies include core and leadership competencies. Successful leaders must have leadership spirit, futuristic, achievement, and influence. The leadership spirit refers to empowering employees and delegating powers, promoting accountability and responsibility, setting a role model, and opening up to the world. The efficiency of the future requires the leader to see the future, be an innovator and a catalyst for radical change, be familiar with advanced technology, and be a continuous and lifelong learner. Meanwhile, achievement and impact competence means being flexible and quick, making smart, effective, and efficient decisions, and being focused on the higher goals of the government and achieving results.

This article was written by Dr. Hisham Ahmad Kayali and was first published in the 24th printed edition of PERFORMANCE Magazine. You can get a free digital copy from the TKI Marketplace here or purchase a print copy from Amazon for a nominal fee here.

Strategic approaches on the use of digital tools and data to improve the delivery of public value

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The COVID-19 pandemic has produced disrupted governments while altering levels of public trust and underscoring the importance of strong digital government foundations. On the positive side, this has created an opportunity for governments worldwide to revisit their strategic approaches to using digital tools and data to improve the delivery of public value. 

Digital government in the post-pandemic age is recently understood as “the use of digital technologies as an integrated part of a government’s modernization strategies to create and deliver public value,” according to the Organization for Economic Cooperation and Development (OECD). 

The article hereby intends to gaze upon some of the best practices in strategy execution as far as the enablement of a digital government in various countries around the globe from perspectives as important as a framework for strategy execution, initiative management, strategy implementation costs, and communication strategy for results strategy.

1. A Comprehensive National Government Data Strategy (the Netherlands) 

Data Agenda Overheid is the Netherlands’ national government data strategy developed and led by the Dutch Ministry of the Interior and Kingdom Relations. The strategy aims to accelerate the ethical use of data within central and local governments to foster better policy-making and resolve social challenges, paying specific attention to legislation and public values, data management, knowledge sharing, and investment in people, organizations, and cultural change. Below (see Table 1) are some of the main costs for action points in the Data Agenda Governments:

2. Communication Strategy on the Outcomes of the Digital Government Agenda (Colombia) 

Part of becoming more proactive is having a well-equipped public sector capable of responding to citizens’ requests before they are submitted. For this process to function, the public sector must have in place referential strategies or policies to anticipate future scenarios, prepare for the next steps and guide civil servants in their actions. 

For example, the Ministry of Information Technology and Communications of Colombia (MINTIC) has developed a communication strategy called Estrategia de Comunicaciones 2018 that functions as a policy lever to inform citizens about the outcomes of the digital government strategy and initiatives of the Colombian government. 

The strategy consists of general and specific messages and communication channels targeted to the respective relevant audience. It specifies available tools and communication toolkits that public servants can draw on to communicate proactively with the public. The strategy also includes a detailed action plan with information on the topic, content, and channels to convey the government’s message. 

The existence of a communication strategy enhances the anticipatory and organizational capacity of the Colombian government to engage with citizens and guide public servants to promptly communicate with the public once outcomes from the digital government strategy or initiatives emerge. Ultimately, this approach enhances public trust by fostering transparency regarding the result of projects and improving contact with citizens, thereby reinforcing the legitimacy of the government’s actions

3. Initiatives for a Secure Cloud Strategy Execution (Australia)

   

The Secure Cloud Strategy has been developed to guide Australians through the digital change brought about by the COVID-19 pandemic and make sure everyone has the opportunity to make the most of what the cloud has to offer. The strategy is based on several key initiatives designed to prepare agencies for the shift to the cloud and support them through the transition:

  • Initiative 1: Independent cloud strategy for government agencies. Australian agencies are encouraged to develop their journeys to the cloud based on the following: value case, workforce plan, “best fit” cloud models, service readiness, and transition approach.
  • Initiative 2: Layered certification model. Sharing information and assessments through a Common Assessment Framework to help improve security practices while at the same time reducing the burden on agencies to recreate material.
  • Initiative 3: Redeveloped Cloud Services Panel to align with the procurement recommendations for a new procurement pathway that better supports cloud commodity purchases. Streamlining the current cloud strategy arrangements in alignment with the implementation of the ICT Procurement Review will create a commodity procurement pathway that will ensure the government can procure and access a wider range of innovative cloud services for use by the government.
  • Initiative 4: Dashboard to show service status for adoption, compliance status, and services panel status and pricing. The cloud dashboard capability seeks to provide enhanced transparency of cloud usage and compliance cross-government and support clearer guidance regarding the costs, service suitability, and government status in a cloud environment.
  • Initiative 5: Cloud service qualities baseline and assessment capability. A cloud qualities baseline capability and assessment framework were developed to enable assessments for the new and existing cloud. This framework includes a baseline and measurement criteria to assess the cloud service. Once complete, assessments are published to provide greater visibility of how services can meet requirements and enable the re-use of assessments across the government.
  • Initiative 6: Cloud responsibility model supported by a cloud contracts capability. The approach will include evolving ICT contracts to articulate the responsibilities across the different deployment and service models and strengthen these baseline contract provisions.
  • Initiative 7: Whole-of-government cloud knowledge exchange platform. Deliver a platform for agencies to better collaborate and reuse common capabilities for their cloud adoption and use. The development of the platform considers how users interact with the service, accessibility, governance, operations, and technology.
  • Initiative 8: Building a Digital Capability program to include cloud skills. A long-term approach to developing a cloud skills capability to ensure the value and opportunity of the cloud is harnessed.

4. Digital Government Roadmap, Strategic Key Performance Indicators (KPIs), and Maturity Model to reflect on a High Commitment to Digital Transformation (United Arab Emirates)

   

The UAE is among the world’s leading countries in various digital life indexes, including The KPI Institute’s Government Services Index (GSI) 2022 due to the significant advancement of its information and communication technology sector.  

The United Arab Emirates is the top performer in the Middle East as far as digital transformation, consistently moving towards a data-driven and paperless government. The Strategy for Government Services states that 100 percent of government services will be accessible from anywhere and 24/7 by 2030. The UAE Strategy for Government Services aims to boost its competitiveness in the services sector and position it as the best in the world in rendering government services. 

As far as digital “content provision” is concerned, the UAE is ranked high on the availability of basic public information and resources online. The UAE Institutional Framework reveals a strong focus among other things, on digital government strategy, organizational structure, legislation on access to information and privacy, and open data policy. 

The UAE Digital Strategy may be one of the most comprehensive in the world, built on a well-designed digital government roadmap with enablers, a results-measurement framework based on strategic KPIs, and an institutional maturity assessment model to guide successful digital transformation. The UAE Digital Government Roadmap comprises six main pillars encompassing 64 national digital enablers.

The Digital Strategy Measurement framework reveals four areas of measurement, such as public satisfaction and digital capabilities, and 10 strategic KPIs, which all exhibit 2025 targets for achievement of digital government transformation results (see Figure 1).

Figure 1. Strategic KPIs | The UAE Digital Government Strategy 2025

The UAE Digital Government Maturity Model aims to assess the UAE government organizations on both federal and local levels against a framework that helps create clarity about the UAE digital government capabilities and to inform investments in new capabilities. The maturity model comprises eight main dimensions (See Figure 2). Each dimension has a set of sub-dimensions that guide enabling actions that each government entity might take to increase its maturity along each dimension. Each sub-dimension has a set of specific items to be used by each UAE government entity to determine their level of maturity for each sub-dimension and dimension.

Figure 2. The maturity model’s eight main dimensions | The UAE Digital Government Strategy 2025

The five levels of maturity range from Level 1 representing a very low level of maturity to level 5 representing a very high level of maturity (See Figure 3). The assessment responses provide an outline for a roadmap for a successful digital government transformation.

Figure 3. The five levels of maturity | The UAE Digital Government Strategy 2025

The objective is 100 percent a very high level of maturity for all UAE government entities on both federal and local levels by 2025.

This article was first published in the 24th printed edition of PERFORMANCE Magazine. You can get a free digital copy from the TKI Marketplace here or purchase a print copy from Amazon for a nominal fee here.

The AMC framework: assessing marketing agility in the tourism industry

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Marketing capabilities reflect how organizations enhance their ability to learn and leverage the market to respond to customer changes accurately and efficiently. Various stakeholder expectations have to be fulfilled, and the need to constantly be responsive to internal and external stimuli makes it even more difficult to direct organizations’ marketing efforts. Indeed, to adapt to changing conditions rapidly, tourist marketers are forced to be more agile and capable of reacting quickly and easily to market changes.

In 2018, in the study “Towards the Development of an Agile Marketing Capability,“ researchers Ludovica Moi, Francesca Cabiddu, and Moreno Frau defined agile marketing as a new marketing management approach based on practical learning and aimed at breaking the rigidity of traditional marketing. In particular, marketing encourages teams to work together on a common goal centered on customer needs and regularly checks for weak or unnecessary steps to adjust and optimize operations accordingly. Hence, agile marketing drives greater customer interaction and value, greater speed to market demand, and greater ability to adapt to changes as they occur, based on the paper “From fragile to agile: marketing as a key driver of entrepreneurial internationalization” conducted by Birgit Hagen, Antonella Zucchella, and Pervez Nasim Ghauri in the same year.

This article will discuss agility and marketing capabilities by providing the recently conceptualized Agile Marketing Capability (AMC) framework. The discussion describes how firms may differ in the development and management of AMC through the identification of different maturity levels where maturity refers to the state of being ready. It explains how tourism marketing managers and practitioners could become more agile in their marketing capabilities, providing a useful tool to assess a firm’s current state of each capability maturity and to quickly grasp potential initiatives for improvement and enabling adaptation to a dynamic fast-changing environment especially in the context of MICE (meetings, incentives, conferences, and exhibitions) tourism, which comprises a large network of hospitality-related services such as accommodations, catering services, and transportation. 

MICE represents a highly dynamic sector involved in a continuous exchange and allocation of resources and relationships for planning events to address and satisfy a variety of requests and needs where marketing efforts should be designed according to the variety of attendees so that their objectives and requirements are properly met.

The Emergence of the AMC Framework

According to the study “Investigating firm’s customer agility and firm performance: The importance of aligning sense and response capabilities” conducted in 2012, Nicholas Roberts and Varun Grover defined agility in the marketing field as the extent to which the company can predict and rapidly adapt to customer-based opportunities for innovation and improvement action. Therefore, marketing agility refers to being responsive to constantly changing customers’ expectations and needs and becoming flexible in designing objectives and allocating resources accordingly. 

Based on “International marketing agility: conceptualization and research agenda” led by Emanuel Gomes in 2019, marketing agility is the firm’s ability to reconfigure its marketing efforts at short notice, adapt to changing market conditions quickly, and fulfill market needs more effectively.

Despite the growing importance of agility in the marketing field, the mainstream strategy could not address agility properly in the context of corporate marketing capabilities. Early studies analyzed marketing capabilities from the resource-based view (RBV) perspective, assuming a static and internally driven approach. Over time, the 2011research “Closing the Marketing Capabilities Gap” conducted by George Day began to be questioned because of its inability to adapt to a fast-changing business context.

Therefore, a new approach has emerged to aid in the development of new marketing capabilities to be able to grasp the firm’s capacity to sense the market and to look for different ways to reconfigure available resources accordingly. This led to the conceptualization of a different set of marketing capabilities oriented to more open and adaptive paths to fast-changing contexts. AMC Framework contributes by embedding agility that is better suited to align with the urgent need for the tourism industry to transform its business in a time of environmental turbulence.

Applying the AMC Framework

Held in 2019, the research study led by Emanuel Gomes alongside Carlos M.P. Sousa and Ferran Vendrell-Herrero defined AMC as the firm’s marketing capability to (1) constantly sense and respond to changes related to customer needs and requests; (2) follow an adaptive and flexible approach in dealing with changes; (3) create close work relationships among people and a collaborative working environment; and (4) continuously and quickly adjust and deliver new marketing plans (see Table 1).Those capabilities can be assessed through four maturity levels (see Table 2).

The AMC framework offers practical guidance on what strategic actions are needed for the implementation, development, and enhancement of agile marketing capabilities. Therefore, AMC could be used as a tool to assess the current state of maturity level in the development of the capabilities and to understand how to move through each maturity level, accurately implement improvement actions, and enable high-performance marketing. 

Moreover, the framework can also support marketing managers in benchmarking and evaluating best practices across the tourism industry, improving marketing performance and being more adaptive to the changes in the market.

Tourism managers can use the AMC checklist for auditing how well their organization is implementing marketing agility and creating an action plan to achieve a higher level of maturity. Tourism firms can have a practical guideline to boost marketing capabilities by referring to the agile marketing capability maturity framework.

If you are interested in exploring more about maturity models that support organizations to achieve business excellence, check out The Global Performance Audit Unit’s Integrated Performance Maturity Model. For inquiries, contact Cristina Mihăiloaie, Business Unit Manager – Research Division at The KPI Institute: [email protected] | +61 (390) 282 223

Editor’s Note: This article originally appeared in the 23rd edition of Performance Magazine Printed Edition.

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