Always maintain an overview with a KPI dashboard
By using a KPI dashboard, managers in a company can view their key figures clearly and comprehensibly at any time. With the right forms of visualization, you can recognize developments in your control KPIs at an early stage and react accordingly.
As a manager in a larger company, there are many tasks and areas that need to be monitored and managed. With constantly changing information, it can be easy to become overwhelmed without a good overview, leading to a lack of response time to problems. However, other disadvantages can occur, such as a lack of transparency and an unclear presentation of relevant figures, which are a barrier to essential decision-making. In an era of digitalization, this does not have to be a permanent state, of course. Because through the use of a KPI dashboard, all key figures can always be viewed in real time, which means that a manager is consistently informed about his or her own work areas.
What is a KPI dashboard? The term KPI stands for “Key Performance Indicators,” which are essential business metrics used to measure progress toward specific objectives within an organization. These exist in every department of a company and can include KPIs for customer satisfaction, innovation, process quality, and many others. Examples of KPIs for productivity include revenue/employee or lead time/order. In large corporations, KPIs can generate such a large amount of data that it would be challenging to keep up without digital processing. So, a KPI dashboard is a clear presentation of these operational metrics, which can aggregate data from various sources and provide visual feedback at a glance. Furthermore, there are other advantages, such as automating data representation in the dashboard with real-time data. This allows potential problems to be identified early, enabling immediate corrective actions to be taken. Furthermore, errors can be prevented, and the root causes of issues, such as production delays, can be identified more quickly.
Since the data representation is already updated daily and clearly in the dashboard, KPIs do not need to be separately prepared for presentations. They are readily available for presentation and easy to understand at any time. Additionally, this can save a significant amount of time and costs, which can be allocated to other areas. Monitoring KPIs is not restricted to the company’s physical location, as the dashboard can be accessed on the go in a mobile-friendly view, facilitating remote work and business travel seamlessly.
These advantages also convinced our client, “Knorr Bremse AG,” and together, we were able to standardize and automate their reporting processes in a joint project. As part of this project, the company’s reporting was transformed into a secure standard reporting based on a unified data foundation through the use of SAP SAC. The digital clarity of the KPI dashboard has been enhanced by dividing the key figures into different colors so that changes are immediately visible. In addition, two views of data were developed in this project in order to take into account different currency effects in each case. Furthermore, various filtering options were incorporated into the dashboard, enabling data consumers to access specific metrics in a self-service manner and investigate the root causes of changes in detail.
By using KPI dashboards, managers can react more quickly to internal and external market changes and perform more efficient resource allocation, among other benefits. To make this possible in every company, the dashboard must be customized to the specific KPIs and organizational structure to generate the greatest possible value for that particular company.
If you have any questions about KPI dashboards or Transform8 in general, please feel free to contact us at: info@transform8.de.
