dashboards and scorecards

27
people Dashboards and Scorecards An O2C Teachable Point of View

Upload: shared-services-outsourcing-network-sson

Post on 19-Jan-2015

1.573 views

Category:

Business


1 download

DESCRIPTION

Are we measuring the right things and are we doing it in the most efficient way? Developing an accurate and comprehensive view of O2C performance that leads to better decisions and growth.

TRANSCRIPT

Page 1: Dashboards and Scorecards

people

Dashboards and Scorecards

An O2C Teachable Point of View

Page 2: Dashboards and Scorecards

Intuit Proprietary & Confidential2

Previous StateReports, Dashboards and Scorecards Abound!

Various reports and avenues existed at all levels of the organization….

O2C spent up to 30 hours weekly on report creation and delivery

…but are we measuring the right things and doing it the most efficient way?

Page 3: Dashboards and Scorecards

Intuit Proprietary & Confidential3

Strategy around our vision for a self serve “right for me” reporting mechanism

The Process:

Charter: Develop an accurate and comprehensive view of O2C performance that leads to better decisions and enables growth.

Establish ScopeDevelop a clear understanding of the opportunity and the areas

you are solving for

Achieve Metrics Line of SightGet alignment on what’s important ensuring we are measuring

the right things and looking at it the right way

Clear and Concise PresentationBuild an operating mechanism that is easily accessible and

enables quick assessment of performance and areas of opportunity

Page 4: Dashboards and Scorecards

people

Establishing the Right Scope What metrics and audience are you solving for?

Page 5: Dashboards and Scorecards

Intuit Proprietary & Confidential5

Dashboards Defined

• What is a dashboard?– A visual display of the most important information needed to achieve one or more objectives that has been consolidated on a single computer screen so it can be monitored and understood at a glance

• What’s so hard about this?– Establishing scope! The challenge is squeezing a lot of information into a limited area, while preserving clarity and highlighting important elements

– Deciphering between an output and a diagnostic metric

Page 6: Dashboards and Scorecards

Intuit Proprietary & Confidential6

Two general types of metrics…

• Output Metrics– Must have line of sight to an organizational objective or business outcome.

– Commonly referred to as a Key Performance Indicator– Always has a target (if not then it might be a diagnostic metric)

• Diagnostic Metrics– A metric which is used to explain or diagnose the output (KPI) metric if it is overachieved or under achieved.

– Has to have line of sight to a KPI and its goal– May not have a target

Page 7: Dashboards and Scorecards

Intuit Proprietary & Confidential

Determine the Scope of the Dashboard

What you are solving for will define the levels of summarization and frequency required

7

Page 8: Dashboards and Scorecards

people

Achieving Metrics Line of Sight How do we ensure we are measuring the right things?

Page 9: Dashboards and Scorecards

Intuit Proprietary & Confidential9

Information Requirements Discovery

Critical Success Factors

Questions and answers

key performance indicators

data requirements

Information Requirements

Analysis

Data Requirements

Analysis

BusinessQuestions

Business Metrics

Data collection

Business Decision

Gaps

Page 10: Dashboards and Scorecards

Intuit Proprietary & Confidential

Business OutcomesCorporate Big Y’s

Key Performance Indicators

Organizational Big Y’s

& little y’s

Process x’s Tactical andDiagnostic Metrics

Line-of-Sight

Achieve an integrated set of Biz Metrics with clear Line-of-Sight

Line-of-Sight Ability to see connection to top business outcomes

Y = Y = ƒƒ (X(X11 , X, X22 , X, X33 , X, X44 ,,……))

10

Page 11: Dashboards and Scorecards

Intuit Proprietary & Confidential11

O2C Reporting Drill Down Taxonomy Example

Strategic View

TacticalView

Operational View

Characteristics Example

• Top Level View starts with the “business question”

• Tied to strategic “outcomes” that are important

• Key performance indicators tied directly to strategic outcomes

• KPI’s measured against relevant targets that that are actionable when Red or Yellow

• Drill downs to see problem areas that contributed to KPI’s being off target

• Closer to Real Time Metrics• Trending to show impact over

time

Y1 : Are we meeting our promises to our customers?

Outcomes

Focusing on critical few metrics with supporting detail and drill down when needed.Focusing on critical few metrics with supporting detail and drill down when needed.

KPI’s

Promise Ship DatePerformance

Promise DeliveryDate Performance

Drill Downs

Order to DeliverySegment TAT

Failures by BU andOrder Source System

Aging of failed OrdersBy BU

Intended vs.Unintended Exceptions

Page 12: Dashboards and Scorecards

Intuit Proprietary & Confidential12

What’s Important…Critical Success Factors that tell us how O2C is Performing

Y1 : Are customerCommitments being met?

Promise Ship DatePerformance

Promise DeliveryDate Performance

Outcomes KPI Drill Downs Questions

Exception Rate How many intended vs Unintended exceptions did we

Have?

Did we have more exceptionsthis year than last year?

Y2 : Are systems & opsprocessing orders

effectively and efficiently?

YoY ExceptionVolume

Where in the process did the order lines fail?

(Order 2 Import, Import 2 Book,Book 2 Extract, or Extract

2 Ship)

How late were the orders?

What was our ship toDeliver turn around?

Aging failed deliveries

What were the top items that Failed?

Did we fail more with oneType of carrier?

Page 13: Dashboards and Scorecards

Intuit Proprietary & Confidential13

Information requirements discover helped us define our O2C reporting taxonomy view…

Executive Scorecard

Tactical Dashboards

Operational Dashboards

Characteristics Audience

• Starts with the top of mind “business question”• G,Y,R Score against CTQ• Displays only Critical Few (5 to 7 Key Metrics

max)• High Level Commentary Supported by

Dashboards

• Snapshot over time (trends)• YoY, WoW, MoM Comparisons• High level drill downs to see problem areas by

predefined filters (BU, Offering type, etc.)• Data is available On Demand.

• Closer to Real Time Metrics• Focus on SLA’s and KPIs that are actionable• Lower level drill downs to get to root cause.• Focus in squarely on self serve (Pull vs. Push)

• Steering Committee• Executive Leadership• CIO/CFO Exec Review• Directors

• Operations Managers• O2C Analyst• BUI Constituents• Production Support

• Operations Managers and Analyst

• Control and Monitor Analyst

• Functional Experts

Page 14: Dashboards and Scorecards

Intuit Proprietary & Confidential14

Creating a Drill Down Dashboard

Page 15: Dashboards and Scorecards

people

Dashboard and Scorecard Industry Best Practices What is the best way to represent information?

Page 16: Dashboards and Scorecards

Intuit Proprietary & Confidential16

How Many 5’s Do You See?

1101914941382131076192207472197183739461430 1078847167278353347824990292107476106168311 4710381263329186319268443332944956316280108 41076929221

110191494138213107619220747219718373946143010 788471672783533478249902921074761061683114710 381263329185631926844333294495631628010841076 929221

11019149413821310761922074721971837394614301 07884716727835334782499029210747610616831147 10381263329128563192684433329449563162801084 1076929221

Far Easier To Pick Outliers Using Visual Appeal And Color

Page 17: Dashboards and Scorecards

Intuit Proprietary & Confidential17

Introduction To Bullet Charts

Bullet Charts Are Gaining Momentum In Becoming Part Of A Standard DashboardBullet Charts Are Gaining Momentum In Becoming Part Of A Standard DashboardSource: http://www.perceptualedge.com/blog/

http://www.exceluser.com/explore/bullet.htm

Bullet Chart:• Communication story based on the performance bands / range where the metric falls.

• Effective communication chart: Provides a visual display of metric involved. Solves for opposite metrics as “Profit” and “Expenses” through a reversal of the sequence band.

• Small footprint allows for more real estate usage in the dashboard.

• Environment friendly: Effective use of gray-scale as against traditional stop-light based dashboards solves for black-and- white prints (and also passes the color blind test).

• Highly advocated by visualization experts.

Page 18: Dashboards and Scorecards

Intuit Proprietary & Confidential18

Introduction To Spark Lines

Spark Lines:

• Simple line graph showing trend over a certain time frame.

• Spark lines are represented without any axes.

• Spark lines are meant to show the relative trend / movement of a metric over time rather than represent its absolute value.

Page 19: Dashboards and Scorecards

Intuit Proprietary & Confidential19

The Two Charting Systems Together

Source: Stephen Few, Information Dashboard Design

Sparkline

Bullet graph

Page 20: Dashboards and Scorecards

people

The Results of our Journey From and “To Be” State

Page 21: Dashboards and Scorecards

Intuit Proprietary & Confidential21

Applying these practices and principles allowed us to go from this…

Page 22: Dashboards and Scorecards

Intuit Proprietary & Confidential22

Various reports and avenues existed at all levels of the organization….

O2C spent up to 30 hours weekly on report creation and delivery

…but are we measuring the right things and doing it the most efficient way?

Applying these practices and principles allowed us to go from this…

Page 23: Dashboards and Scorecards

Intuit Proprietary & Confidential23* Measurements for APD, CTG, SBG & FSG

Metrics aligned to the key business

question and KPIs

“Pulse” shows trends over

time relative to targets

Horizontal bar chart provides quick R/Y/G insight into

performance

To something more succinct and visually pleasing, while telling a story people get right away…

Page 24: Dashboards and Scorecards

Intuit Proprietary & Confidential24

Final Words of Wisdom Around Dashboards*

Five Essential Rules For Creating Actionable Dashboards1. Benchmark & Segment: Do not report a metric by itself…use a point of reference (use time based references, various indices and associated targets)

2. Isolate Critical Few Metrics: Gain understanding on the critical few that drive the business (define outcomes that drive the business and associate metrics corresponding to these outcomes)

3. Don’t stop at Metrics – Include Insights: Do not just have a collection of numbers and leave it to the user to infer

4. Understand the power of a single page: Anything more is a report (we have critical metrics on one page and drill downs further if you need the details)

5. Churn (and stay relevant): Dashboards are not carved in stone and are not permanent (they will continually evolve).

* Avinash Kaushik , Web Analytics Guru & former Intuit employee in the WCG team in his book: Web Analytics – An Hour a Day

Page 25: Dashboards and Scorecards

people

AppendixSupporting Detail

Page 26: Dashboards and Scorecards

Intuit Proprietary & Confidential10/11/2010Intuit – Confidential 26

TransformationInputsOrders

Sales

Requests

x’sfrom Suppliers to Customers

OutputsPromises Met

SLA Target Success Rate

Y’s

x’s VariablesProcess Cycle Time

Source of Requests

Inputs

Car

Driver

Outputs

Destination Reached

Arrival Time

Variables

Route taken

Average Speed

The Process of Driving …1 0 021

Page 27: Dashboards and Scorecards

Intuit Proprietary & Confidential27

Works Cited

• Learning's and content for this TPOV came from several different decks and represent a culmination of best practices from business analyst across Intuit…–Reid Burkhardt–Sanjay Ramanujan–Daniel Gouin–Albert Chang–Vittorio Sciulii