The measurement of KPIs (or key performance indicators) is vital to support the successful development of any business. It enables managers and operational staff to assess and anticipate risks and to allocate efforts and energy where they are most needed. Above all, it enables decision-making and leads to action.
It requires first identifying and collecting useful data and then gathering them to measure them.
Once this initial work has been done, it remains to make known and therefore share these analyses to the various audiences concerned. It is at this stage that the principles of Data Storytelling come into play to ensure that the analyses are properly explained.
Knowing your audiences
First of all it is necessary to know how to identify the different typologies of target audiences. Each one will have different expectations and needs, with varying levels of detail expected. Managers will want a synthetic but global view, while operational staff will expect to be able to go down to more detailed levels on their scope of responsibility.
Knowing your audience will then make it possible to adapt the levels of information and ensure that performance analyses are well received.
The 360° view of KPIs
One of the interests of performance analysis lies in the ability to provide a complete view of indicators covering the entire scope of the activity concerned.
If one wishes to provide this 360° view, it is clear that data is not generally available from a single source: Take the example of a sales department, sales people generally have access to a CRM tool and some activity graphs concerning their pipe, their signature level… but it is much less easy for them to have the information from the ERP system that would allow them to have a financial analysis of their activity such as the margin generated, the level of invoicing, late invoicing, payment delays, the activity rate… However, these indicators are essential to the understanding of their activity.
It is therefore necessary to gather all the KPIs that make up this 360° vision and present them centrally via a single interface.
Access in real time
Performance evaluation must be accessible at all times if it is to be responsive. This will facilitate mobile access through different formats of smartphones or tablets.
Data supply schemes must follow a regular rhythm and must be industrialized. In this way, manual loading interventions will be avoided and the feeding processes will be automated as much as possible.
Easy to understand
Think about bringing business relevance to the organization of analyses and their content. Put yourself in the place of the public in order to meet their expectations. Of course, use clear, simple visuals adapted to the analyses you wish to express. Above all, avoid the “noise” that would disturb a good reading of the analyses by carefully selecting the KPIs, too much is the enemy of good.
Comment and exchange
Whenever possible explain and guide by commenting on graphs either to read them better or to comment on a graph analysis. Example: “We see an increase in our expenditure on a particular line of investment for a particular reason…”.
Also the performance indicators must be open to discussion among the target audiences. They become contributors to a good understanding, taking ownership of the reporting interfaces that they adopt more widely.
And now act
This is the purpose of this approach to sharing performance indicators. All of the good practices mentioned above should encourage decision-making by users. The actions carried out will also be measured and evaluated and will naturally feed into the performance measurement process. Everyone will be able to see the benefits of sharing performance. ROI is measurable 🙂
In a nutshell
Simply looking at and analysing performance indicators is not enough to ensure that it is transmitted correctly. Data Storytelling is an evolution of Dataviz that facilitates the personalisation, contextualisation and above all the explanation of performance indicators for the different target audiences. Don’t hesitate to ask for a Datatelling demonstration to evaluate the benefits for your business.