juan gallegos november 2011

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