Is your institution struggling to develop an easy-to-communicate economic development strategy? Do you have metrics that demonstrate the success of your initiatives? This session will provide an overview of the Balanced Scorecard approach to strategic planning for university economic development, which emphasizes performance metrics and allows universities to communicate their entire strategic plan on a single, poster-sized strategy map. We will examine metrics being used by research universities, universities with entrepreneurial programs, and community colleges across a range of economic development objectives. We will close with a practical, interactive exercise that will allow participants to begin developing their own Balanced Scorecard. Felix DiCamillo, Director of Business Development, The Rochester Group Maureen Klovers, President and CEO, Lyon Park Associates

1. Capturing, Quantifying, and Communicating
“Success” in University-Led Economic
Development
September 2015

2. Agenda
 Overview of Balanced Scorecards and Strategy
Maps
 Adapting the Model to University-Led Economic
Development
 Discussion on Designing and Implementing Metrics
 Interactive Exercise: Translating goals into strategic
objectives, operational objectives, and performance
metrics
 Wrap-Up and Feedback

3. Q: How do I decide what to measure?
A: Your metrics should be driven by
your strategy!
…And your strategy should be driven
by your stakeholders’ needs, your
competitive positioning, and your long-
term vision

4. What is a Balanced Scorecard and how is it
different from traditional strategic planning?
 Based on work of Kaplan & Norton at HBS—conceived
as a structured approach to integrating financial and non-
financial performance measures
 An integrated strategic planning and performance system
that translates an organization’s vision, mission, and
strategy into strategic goals and performance metrics
 In lieu of a 300-page document, the end result is a
poster-sized strategy map that illustrates cause-and-
effect relationships among a range of “perspectives,” with
an accompanying list of initiatives (projects) and
performance metrics
 Performance metrics are at the heart of a BSC
 Doesn’t sit on a shelf—plan is constantly revisited to
measure actual vs. expected performance, ensure
accountability, and set funding priorities

5. Balanced Scorecard for Non-Profits
Mission
Vision
Customer/
Stakeholder
Financial
Internal
Processes
Organizational
Capacity
Goal 1 Goal 2 Goal 3
= Strategic objective

6. Adapting the Model to University-Led
Economic Development

7. What is the process to develop a BSC for
University-Led Economic Development?
1) Conduct an institutional competitiveness assessment
2) Define strategic goals: What does our institution need to do
to be successful in its ED mission?
 Enhance regional competitiveness
 Equip our students to succeed in a fast-paced, global
economy
 Achieve excellence in scholarship, from basic to applied
research, in strategic niches of expertise
 Facilitate and incentivize multi-disciplinary collaborations
to solve our region’s most pressing challenges
 Improve quality of life in our region
3) Define strategic objectives—How will we achieve this goal?
4) Define operational objectives—How will we manage our
financial, technological, physical, and human resources to
accomplish the strategic objectives?

8. What is the process to develop a BSC for
University-Led Economic Development?
5) Create a strategy map
 Plot strategic goals, strategic objectives, and
operational objectives
 Starting from the bottom, add arrows to indicate
cause-and-effect relationships
6) Develop one or more performance metrics for each
strategic and operational objective
 Clear, causal relationship with objectives
 Able to be measured and assignable
 Balance any performance trade-offs
 Mix of input, output, and outcome metrics

9. What is the process to develop a BSC for
University-Led Economic Development?
7) Set performance targets and assign responsibility
for meeting performance targets
8) Develop initiatives
 Initiatives = specific projects, programs, process
improvement activities, analyses, or studies
 Defined budget, schedule, and scope
9) Execute the strategy, monitor performance, and
engage in a continuous improvement process

10. Designing and Implementing Metrics
Felix DiCamillo

11. “Perhaps what you measure is what
you get. More likely, what you measure
is all you’ll get. What you don’t (or
can’t) measure is lost”
H. Thomas Johnson
Portland State University

12.  Jobs created
 Jobs retained
 Revenue growth
Classic Economic Development Metrics

13. Dashboards for Monitoring

14. Understanding Client Relationships

15. Monitoring Relationship Status

16. Entrepreneurship
 Student, faculty, community engagement
 New companies established
 New products/services launched
 Patents filed
 IP licensed
 Investment committed
 Jobs created
 Jobs retained
 Revenue growth
 Cost savings
Expanding the Measures

17. Entrepreneurship
 Program participation numbers
 By program type
 Costs by program
 Demographics of participants
 Undergrad, graduate, postdoc, faculty, community
 Major, gender, race/ethnicity, nationality, age
 Success by demographic category
 Industry breakdown of companies
 Relationship to university expertise
 Relationship to regional industry focus
 Success by industry sector
Analyzing the Data

18. Entrepreneurship
 Success of new products/services launched
 Investment committed
 By company, by industry, by demographic
 Family & friends, angel, VC, grant, partner/customer
 Maturity of company
 Concept, pre-seed, seed, early stage, later stage
 Years in program
 Jobs created/retained
 By company, by industry, by demographic
 Revenue growth
 By company, by industry, by demographic
Analyzing the Data

19. Research
 Student, faculty, industry engagement
 Faculty/PIs attracted – number & quality
 Grants awarded, investment committed
 Faculty awards, publications, patents filed
 Facilities used
Research output driving corporate/entrepreneurial activity:
 IP licensed
 Products/services launched
 Jobs created
 Jobs retained
 Revenue growth
 Cost savings
Expanding the Measures

20. Research
 Faculty, student participation numbers
 Demographics of participants
 Breakdown by discipline/department
 Sources of grants
 Sources of investment
 Industry partner analysis
 Patents filed and IP licensed by discipline
 Facilities/resources used
Analyzing the Data

21. Workforce Development
 Change of direction requires new measures
 Beyond social services
 Industry driven training
 Middle skills training for advanced manufacturing
 Workforce enrichment pays off individually & communally
 Strong workforce drives economic growth
 Industry Demand
 Company, Worker, Program Success
Expanding the Measures

22. Workforce Development
 Gap Analysis
 Workers trained vs 10 year projected need
 Drives programming
 Program participation
 Impact on the field
 Estimated lifetime earnings
 Program completions x marginal annual impact
 Total annual economic impact
 Initial + Direct + Indirect + Induced Impact
Analyzing the Data

23. When the President or Provost asks what you do all
day…
Touches in the entrepreneurial ecosystem
 Your events
 Participation and leads developed
 Attending other events
 Speaking engagements, leads developed
 Counseling
 Connecting resources
Soft Reporting

24. Requires a central data repository
Considerations:
 Map metrics to your strategy
 Use on campus and off campus data sources
 Capture participants at all levels of involvement
 Set expectations up front on reporting
 Ongoing surveys
 Ease of data collection matters
Gathering the Data

25. MANAGE/COORDINATE
MONITOR/MEASURE
REPORT/ANALYZE/IMPROVE
Data Drives Improvement

26. Measuring the Dollar ImpactDollars
(Thousands)

27. Jobs, the Ultimate Metric

28. Interactive Exercise (30 minutes)
1) With your group, select one of the following 5 strategic goals
to focus on:
 Enhance regional competitiveness
 Equip our students to succeed in a fast-paced, global
economy
 Achieve excellence in scholarship, from basic to applied
research, in strategic niches of expertise
 Facilitate and incentivize multi-disciplinary collaborations
to solve our region’s most pressing challenges
 Improve quality of life in our region
2) Develop 2-3 strategic objectives that explain how your group
would achieve that strategic goal
3) For one of these strategic goals, develop at least 3-4
operational objectives that would support these strategic
objectives
4) For at least 1 strategic objective and 1 operational objective,
develop an appropriate performance metric

29. Questions?
Feel free to contact us!
Maureen Klovers
President and CEO
Lyon Park Associates
maureen@lyonparkassociates.
com
(703) 527-2172
Felix DiCamillo
The Rochester Group
www.rochestergroup.com
fdicamillo@rochestergroup.com
(585) 271-1323 x229