juan gallegos november 2011. objective objective of this presentation 2
TRANSCRIPT
Juan Gallegos November 2011
A DASHBOARDTHAT SUITS THE PURPOSE
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Objective
• Objective of this presentation
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Content
DesignExample
A Dashboard that Suits the Purpose
BasicsContext
Core
Conclusions
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Content
DesignExample
A Dashboard that Suits the PurposeBasics
ContextCore
Conclusions
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Definition
• What is a Dashboard?
Tool
Information
Decision Maker
Performance Management Tool
Performance Indicators
Corrective Actions
Objectives - Strategies
Design ExampleBasics Context Core Conclusions
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Purpose
Provide proper/relevant performance information
Make informed decisions / Take corrective actions
Achieve desired performance
Realize business objectives
Related to business
objectives
Decision Maker
Performance Management
Tool
Design ExampleBasics Context Core Conclusions
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Process
Provide proper/relevant performance information
Make informed decisions / Take corrective actions
Measure Performance
Execute corrective actions
Decision Maker
Execute tasks
Design ExampleBasics Context Core Conclusions
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Pre-Requisites
Provide proper/relevant
performance information
Make informed decisions /
Take corrective actions
Information
Design ExampleBasics Context Core Conclusions
ValidReliableConsistentTimelyClearly displayed
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Considerations
Technology / IT systems to support the process
Cost of information
Top-down conception
Drill-down capabilities
$
Design ExampleBasics Context Core Conclusions
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Example
data
decision maker
processed
Performanceindicators
DASHBOARD
information displayed
Design ExampleBasics Context Core Conclusions
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Example
• 50km/hr = 50km/hr
• Real Time
• Reliable and consistent over time
• Easy to identify at a glance
Design ExampleBasics Context Core Conclusions
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Context
DesignExample
A Dashboard that Suits the PurposeBasics
ContextCore
Conclusions
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Business Model
DASHBOARD
STRATEGYMISSION& VISION
GOALS OBJECTIVES
Design ExampleBasics Context Core Conclusions
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Dashboard and Scorecard
Performance Management Tool
Dashboard
Scorecard
Specific Objectives
Strategic Purposes
Strategic LevelsCorrective Actions
Targets and Thresholds
Monitor Performance
Track Results
Alert MessagesOperational Levels
Aligned with Strategies = Top down conception
Design ExampleBasics Context Core Conclusions
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Level in the OrganizationO
pera
tiona
l Lev
el
Dashboard
Scorecard
Stra
tegi
c Le
vel
Strategic Objectives
Mission & Vision
Goals
Strategies
Mon
itorin
g Fr
eque
ncy
Design ExampleBasics Context Core Conclusions
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Dashboard and ScorecardFinancial
Customer
Internal Business Process
Learning and Growth
Balanced Scorecard
Balanced Scorecard Dashboard
StrategiesMission & Vision Strategic Objectives
Design ExampleBasics Context Core Conclusions
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Core
DesignExample
A Dashboard that Suits the PurposeBasics
ContextCore
Conclusions
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Key Performance Areas
Objective
KPAs
Monitor Performance
Critical for Success
Make Informed DecisionTake Corrective Actions
Design ExampleBasics Context Core Conclusions
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Key Performance Indicators
Key items successful resultsAddress Performance within a specific area
Components
• Objective of the KPI• Indicator• Measurement• Target / Thresholds• Alerts
Design ExampleBasics Context Core Conclusions
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Types of KPIs
Quantitative
Qualitative
Lagging
Leading
KPI
Design ExampleBasics Context Core Conclusions
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Types of KPIs - Example
Quantitative
Lagging LeadingQualitative Quantitative
Design ExampleBasics Context Core Conclusions
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Design
DesignExample
A Dashboard that Suits the PurposeBasics
ContextCore
Conclusions
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Design
• Objective• Indicator• Measurement
• Target / Thresholds• Alerts
• What is the objective?• Leading to the objective?• What? How? When?
Who? Resources?• Values• Communicate to decision
maker: Visual/Audio Aids
Design ExampleBasics Context Core Conclusions
KPI
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Design
• Types of KPI
• Consequence/Cause
• “SMART”
• Specific• Measurable• Achievable• Realistic• Time Based
Design ExampleBasics Context Core Conclusions
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Performance Areas are defined Related to Performance Area Address Critical Points Success = Achieve
Objective Information Action - Desired Performance Components
Checklist
Design ExampleBasics Context Core Conclusions
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KPI types are Balanced Leading Lagging Drill down Root Cause SMART approach Technology / IT Cost / Resources
Checklist
Design ExampleBasics Context Core Conclusions
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Dashboard
Project – Operation – Product LineStrategic Objectives: … Data Date …. Other information
Area
Key Performance Indicators
A
B
C
D
ObjectiveIndicator
MeasurementTarget Alert
Design ExampleBasics Context Core Conclusions
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Dashboard
Design ExampleBasics Context Core Conclusions
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Example
DesignExample
A Dashboard that Suits the PurposeBasics
ContextCore
Conclusions
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Example
Business context
Company ABC
Design ExampleBasics Context Core Conclusions
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Example
Overview
Dashboards
Organization structure
KPI
Services
Deviation in Performance
Design ExampleBasics Context Core Conclusions
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Example
Operations
Services
Street Sweeping (manual)
Collect and dispose the product of street sweeping
Design ExampleBasics Context Core Conclusions
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Example - Organization
Organization Structure
• CEO• Operations Manager• Sweeping Services Manager• Route Supervisor• Street Sweeper
Das
hboa
rds
Design ExampleBasics Context Core Conclusions
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Example – The Process
The Process - Street Sweeping
• Sweep
• Pick-up & put into bag
• Tie, remove bag and place it on the curb
Design ExampleBasics Context Core Conclusions
• Put a new bag in the cart
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Example – The Process
The Process - Collecting the Product
• Pick-up and load
• Drive to next bag
• Drive/Stop where bag is
Design ExampleBasics Context Core Conclusions
• Get off the truck
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Example – The KPI
The KPIArea Production / Productivity
KPI
Objective Fill bags to maximize operations efficiency
Indicator Weight of filled bag
Measurement Kg/bag
Target 30 Kg/bag
Thresholds 28-31 25-32 22-34 kg/bag
Alerts
Design ExampleBasics Context Core Conclusions
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Example
Deviation in PerformanceMeasurement, Deviation & ImplicationsCauseAction: Root Cause AnalysisRoot CauseCorrective action based on RCA
Design ExampleBasics Context Core Conclusions
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Example
The Real Problem
The Process
• Sweepers
• Bag collectors• Truck Drivers•Trucks
• Bags
Design ExampleBasics Context Core Conclusions
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Bag consumption Example
The Real Problem
A KPI that Suits the Purpose
Labor CostEquipment Cost
Consumables Cost
Design ExampleBasics Context Core Conclusions
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Example
A suitable dashboard according to the
objectives and corrective actions
Design ExampleBasics Context Core Conclusions
• http://www.youtube.com/watch?v=qD-rjGbNNsE
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Example
Design ExampleBasics Context Core Conclusions
Dashboards that Suit the Purpose
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Conclusions
DesignExample
A Dashboard that Suits the PurposeBasics
ContextCore
Conclusions
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Conclusions
Make informed decisions / Take corrective actions
Checklist
Strategic Objective is aligned with our Mission and Vision
Identification of Key Performance Areas
Purpose of this Dashboard
Selection of Key Performance Indicators
Achieve business objectives
Feedback
Does this Dashboard suit the Purpose?
Design ExampleBasics Context Core Conclusions
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THANK YOU