how dashboards & visualizations can drive result-oriented decision making

© 2008 MindTree Li© 2009 MindTree LimitedCONFIDENTIAL: For limited circulation only

How Dashboards & Visualizations can drive result-oriented decision making

December2009

© 2009 MindTree LimitedCONFIDENTIAL: For limited circulation only

Agenda

Introduction

Dashboard Best Practices MindTree Approach

Metric Alignment

Visualization Best Practices

Design and Navigation

Insights and Learnings Common Mistakes vs. Best Practices

Approach to Performance Management

MindTree’s Approach

Success Factors


Dashboard

Slide 3

1.Visual

2.Monitor Performance

3.Drill down to lower level

4.Actionable

5.Diagnostic

© 2009 MindTree LimitedCONFIDENTIAL: For limited circulation only Slide 4

Definition of a Dashboard

“Dashboards are much more than pretty data presentations. They are powerful, flexible business tools which allow for true information democracy – actively empowering business users at all levels to make better decisions every single day.”Hyperion White Paper

“It is a well-established management principle that you cannot manage what you cannot measure. It is equally true, however, that you cannot manage well what you cannot monitor. That is where enterprise dashboards come in.”Business Case for Enterprise Dashboards, Dashboard Execution

Visual elements of performance management system both a process and a

tool

Few sets of indicators

represent central performance areas

Focus on trends and patterns to

monitor performance

Dashboard

Diagnostic means of ascertaining what is working well and what

needs attention


Strategic Dashboards / Scorecards

Tactical/Interactive Dashboards

Operational/Static Dashboards

Operational, detailed data,

process centric operational

reports

Summarized, dimensional data with hierarchies, slice and

dice

Graphical, abstracted data

with graphs, charts

Application of Dashboards ( the three 3’s)

Slide 5

Management

Analysis

Monitoring

Information

Data

Strategy

Implementation

Sources: Wayne Eckerson 2005


How Dashboards Help

Static/ Operational Dashboard

Interactive/Tactical Dashboard

Strategic Dashboard

Monitoring Dashboard BI Portal + Dashboard Scorecard

Analysis Standard/Canned Reports

OLAP AnalysisInteractive reportingAdvanced VisualizationScenario Modeling

Statistical ModelsPlanning Models

Management Typically NotAvailable

AlertsWorkflow (Possibly)

Strategy MapsPlanning Models


ROI on Dashboards

Slide 7

Return On

Investment

Cost Savings

Business Benefits

• Reduction/Elimination of effort for consolidation of disparate reports

• Reduction in time for coordinating and monitoring complex processes

• Reduction in time wasted in reviewing and assimilating overwhelming amounts of data and reports

• Elimination of redundancies within organization in processing similar data

• Reduction in effort for communicating progress and enforcing compliance

• Better decision making with more current and live information

• Better business insight due to improved data visibility through enhanced data visualization

• Proactive and timely decision making through alerts and exception management

• Greater democratization of information empowering frontline organization

• Improved interactions with external stakeholders (customers, vendors) with transparent communication

© 2008 MindTree Li© 2009 MindTree LimitedCONFIDENTIAL: For limited circulation only © 2009 MindTree Limited

How to Build a DashboardBest Practices


MindTree’s Approach

MindTree’s Performance Management

Approach

Metric Selection

and benchmarki

ng with Industry

Metrics Balancing

(Right blend of Lead and

Lag indicators)

Metrics Association

“Right” Visual

Construct Selection

Context Mapping

with Metadata &

Analysis notes

Focus on metrics action-ability

(exceptions & alerts)

Supply Related

Analytical context

Dashboard design

validation by usability specialist

Guided Analytics (3

Analysis Levels)

Visualization

Design & Navigation

Alignment


Alignment - Right Metric

Slide 10

1. Monitoring is important to directly controlling behavior and indirectly to performance - the speedometer reading impacts how hard or soft Tom pushes on the accelerator

2. A few key measurements will go a long way toward keeping a company on track towards achieving its improvement objectives - like those on a speedometer and fuel gauge.

3. Seemingly relevant, but cumbersome, measurements are of little use, and are possibly a hindrance, in helping to improve performance - like the Temp Gauge in the car.

4. Picking the wrong measures and leaving out important ones could lead to situation like losing market share or having poor financial performance is - the way getting speeding tickets and running out of fuel is an expensive way to drive a car.

Key Learning from the story

Common Interpretati

onCredible

Data

Transparent, Simple

Calculation

Actionable

Perfect Metric


Alignment – Right Balance of Metric

Slide 11

Cost

Valu e

• Leading Indicators• Predictive• Actionable

• Lagging Indicators• Corporate Metrics• Reactive

• Lower-Level Metrics• Small Audience

• Data Integrity Issues• Subjective• New eMetrics

• Financial Metrics Will Typically Be Quicker Hits

• Ops & Quality Measures Typically Take More Time & Money

• Predictive & Market Measures Can Be Game Changers


Alignment – Metric Association and Grouping

Type Description User

Enterprise Holistic view of the enterprise from consolidated data across divisions and business segments

Senior Management

Divisional Performance metrics for the division (E.g. Sales, HR, Finance, Purchasing)

Divisional Heads, Operational Managers

Process Monitor business processes or widespread activities

Across multiple user profiles

Application Specific metrics defined for transactional applications within which dashboard is embedded (E.g. Asset management)

Users of the application

Type Description User

Vendor Metrics relevant to vendor Vendor

Customer Outward facing dashboard with metrics relevant to customer

Customer

Employee Metrics relevant to employees Employee

Fun

ctio

nal D

ashb

oard

Sub

ject

/Rol

e-B

ased

D

ashb

oard

Reference: Shadan Malik - Enterprise Dashboards,


Visualization – Why it is Important

Slide 13

1984 111989 301994 1302000 3002001 4002002 600

2003 11002004 23002005 39002006 60002007 78002008 9500

A Simple Example:

Your organization has grown leaps and bounds.

….The New York skyscrapers on the other hand would register the point very well.

1984 1989 1994 2000 2001 2002 2003 2004 2005 2006 2007 20080

1000

2000

3000

4000

5000

6000

7000

8000

9000

10000

Year

# o

f E

mp

loyees

Obviously, the table above has little impact…..

Representing data with right visual construct meets the objectives

1. Makes it easy to comprehend data2. Amplifies the impact

You can use the below table to prove the point……

Reference: Vivek Singh – 14 tips to present awesome charts


Visualization - Which component to choose?


Visualization - Choosing the right construct

Slide 15

A bar graph showing trend on sales and profitability…can it be better?

Yes! When it is more than 15 data points and a trend, a line graph is more intuitive.

A bar graph showing shareholding pattern of a company

A pie chart would have been a better choice

A pie chart however is not a good choice when comparing the shareholding across multiple companies

Co 1

Co 2

Co 3

A stacked chart would have served the purpose better

Co 1 Co 2 Co 3


Visualization – MindTree’s Best Practices Framework

Selecting the right visual construct makes analysis faster, clearer and more insightful

Determine Enterprise Dashboard Information needs/KPIs

Segregate dashboard information needs/KPIs by business processes and user groups

Align KPIs with industry best practices

Derive Analysis Scenarios (drill down paths, related reports, events, actions)

Select the right visual construct for delivering insight


Design and Navigation - Essentials

Slide 17

Ensure compactness modularity, gradual reveal, guide attention, support casual use, lead to action & be customizable

Incorporate drill downs, filters, comparisons, alerts and the option to export or print

Structure can serve as a navigational mechanism for the user. It shows where to start, and where to go next.

Timeliness, Aesthetic value, Mobility, Connectivity, Data detail, Data density, Interactivity, Collaboration

Form Structure

DesignFunctionality


Design and Navigation – A good example

Slide 18

Functionality- Advance Features

Design Principle

Structure

Form


Design and Navigation - Key Elements

Slide 19

Standardized Home Pages

Quick Location Navigation

Metrics Navigation

Crisp LineofSight

One ClickDrill Downs

Drill Downs

Automatic“Alerts”

E-MailNotification

ASIA

Dashboard


Insights and Learnings


Common Mistakes vs. Best Practices

Slide 21

Mistake Best Practice

Pushing too many reports Templates refreshed on demand

Focus on 1st generation data Focus on high value data

Hard-code paths to shallow answers

Free-form Drills, Sorts and Queries to Deep Data

Focus on pretty pictures Focus on Visuals That Quickly Tell An Important Story

Limiting the data model Wide, Deep and Fully-Integrated Data Models


Approach to Performance Management

Slide 22

Identify the right measurement / management methodology (e.g. Balanced Scorecard)

Identify and Implement the right Performance Management Platform

Build Enterprise Data Warehouse

Carry out a successful change project to align users to the new EPM framework

Step 1

Step 2

Step 3

Step 4

Manage organizational change for new management initiative building a performance accountable organization

Train users empowering them with the tools to help them manage their execution towards the companies goals and objectives

Leverage on consolidated, cleansed and validated data from EDW to build a performance management system

Implement the management framework, KPI lineage, strategy maps and plans identified at enterprise and function level

Build scorecards and management cockpits enabling business modeling, what-if analysis etc.

Resolve the integration challenge by providing a central consolidated repository

Automate critical functional & cross functional report

Provide analytical reports for information driven insight

Technology Intensive

Change Management Intensive

Identify clearly the goals and objectives of the enterprise

Identify Management framework best suited for the organization

Identify and formulate KPI lineage, metric definition and strategy maps in alignment with the management methodology and the top line Vision and Strategy


Therefore … MindTree’s 2-Staged Approach

Stage 2: Bolt EPM Platform on EDW

Stage 1: Build Enterprise Data Warehouse

Transactional Systems

StrategyFramework

(EVA / BSC / ABC)

“Plumbing” IntensiveData IntegrationData qualityPerformanceScalabilityLarge volume handling

“Consulting” IntensiveMetrics RationalizationBest practice metricsAlignment of rolesTying metrics to actionChange Management


13 Key Success Factors

Executive sponsorship (Budget)

Give the project a brand name

Deploy incremental projects with a strategic approach – No Big Bang

Start in the highest value areas of the organization

Alignment of metrics to the top line strategy & consistency in metric definition

5-7 indicators on a dashboard is optimal

Should be part of a comprehensive BI strategy

Adopt a single integrated solution with shared, central database

Attractive presentation with meaningful content

Start simple and leverage existing investments

Drive traffic to the solution (HR Benefits)

Over-estimate your data integration needs

Leverage the solution to provide external access to your information


Q & A

how dashboards & visualizations can drive result-oriented decision making

Business

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monitor performance

abstracted data

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