Archive for the ‘Business Intelligence’ Category

Google Metrics – Facts and Figures as of March 2010

Wednesday, March 31st, 2010

Infographic = key data + great visualization

Source: Pingdom, 2010

References

Pingdom (2010), Google facts and figures (massive infographic), available at http://royal.pingdom.com/2010/02/24/google-facts-and-figures-massive-infographic/ (accessed on 29 March 2010)

KPIs and Dashboards in practice: TrackDC an innovative District of Columbia Performance Management initiative

Monday, March 15th, 2010

Performance measurement and reporting for control is not the sole purpose of tracking results against targets. One of its very important dimensions is that of enhancing accountability towards stakeholders; in private-owned organizations, reporting is directed mostly to shareholders and managers, whereas in governmental institutions, communication is directed towards the entire community served.

Usually, government accountability and reporting comes in the shape of annual performance reports, made public on the various agencies’ or local cities’ websites. smartKPIs.com – KPIs in practice section – includes various such annual reports, the ones below being only a part of the tens of governmental reports contained:

However, more complex initiatives are on their way, governments seeking not only to release a descriptive report covering one year’s activity, but also put in place more user-friendly reporting tools, with increased usability, based on Performance Management Dashboards.

A pioneer in this area seems to be the District of Columbia, which developed an online application called TrackDC, where citizens can visualize Key Performance Indicator results in graphs, check Budget distribution and spending, have access to permanent news and learn more about agencies and their Performance Plans and Accountability Reports.

Source: District of Columbia, 2010

The website contains individual pages for all the 53 agencies, with agency profile section, the annual Performance Plans and Reports, Performance Indicators, Customer Service data and Budget & Operational information.

For a complete picture, you can access for example the District Department of Transportation page:

Source: District of Columbia, District Department of Transportation, 2010

The Department’s 2010 Performance Plan includes performance measures in areas ranging from Finance, Contracts and Customer Service, to People, Properties and Risk. Several examples are the following:

You can see that the Agency Responsiveness Quality Assurance Result for Q4 was of 97,09 %, against a 87,47 % Citywide Average.

You can also check the daily Website Traffic Dashboard, covering website traffic numbers for the last month’s period.

The Key Performance Indicators vary from one agency to another, being broken down from the objectives and initiatives each individual agency identifies. However, reporting is the same for each agency, covering the sections mentioned above.

References

District of Columbia (2010), “Track.DC”, available at: http://track.dc.gov/ (accessed 15 March 2010).

Microsoft Excel – the most popular Performance Management and Business Intelligence tool

Friday, March 12th, 2010

smartKPIs.com Performance Architect update 10/2010

Since its launch on a Windows platform in 1987, Microsoft Excel has gradually become omnipresent on business desktop environments. It is widely used in businesses of all sizes for data management, analysis and reporting. In a way, it can be considered the first Business Intelligence (BI) software product mass marketed.

Almost since its launch, Excel’s position in the market has been challenged by various products with advanced data integration and analysis functionality. Together, they formed the basis of the today’s BI market, by going through several successive phases:

  • 1987-1996 Formation – initial product launches
  • 1996-2005 Growth – product maturity and market formation
  • 2005-2010 Consolidation – by various mergers and acquisitions involving the major software producers in the world.

In recent years, a trend that starts to get wide acceptance in the market is the move from desktop installed products to online service delivery. Software as a Service (SaaS) is largely facilitated by technology advancements such as cloud computing.

There are indeed products in the market with more features, more robust and integrated. However, considering the estimated number of 500 million users, Microsoft Excel can still be considered the most popular performance management and business intelligence tool in use today.

So what makes it so popular?

  • It is not expensive, at under $350.
  • Most users are already familiar with its basic functionality.
  • It makes sharing of data easy due to its widespread use.

The main drawbacks of using Excel as a BI tool are:

  • Data reliability – spreadsheets are error prone due to human error
  • Lack of advanced collaboration features
  • Limited advanced reporting functionality

This is the traditional way of assessing Excel, by looking at its reporting functionality, through the BI lens. Some of the additional benefits of using Excel form a Performance Management perspective are:

  • Supports creativity, as it can be used as a canvas for developing visual constructs. While it doesn’t have advanced visualization options, it offers vast screen real-estate for structuring data.
  • Useful communication tool, as it provides a structured approach to presenting information. Reports can be structured by hyperlinking tabs and combining text with graphs and pictures.
  • It is easy to use, basic user functionality requiring no training. Configuration is straightforward and the visual interface relatively user-friendly.

Overall, due to its versatility, Microsoft Excel is here to stay. Its availability in an online format and the upcoming release of the 2010 version of the software are interesting new developments in this success story.

Stay smart! Enjoy smartKPIs.com!

Aurel Brudan
Performance Architect,
www.smartKPIs.com

The Cinderella tool of Performance Management and Business Intelligence

Friday, March 5th, 2010

smartKPIs.com Performance Architect update 9/2010

One of the skills we have as humans is the ability to find, create and select the appropriate tools to assist us in our activity. One way of grouping tools is by their form: physical or conceptual.

Performance Management as a human activity concerned with the achievement of desired outcomes makes no exception. It uses both types of tools. Physical tools can be considered the plans, reports and software system used as a business intelligence tool. Conceptual tools are performance measures, grouping of measures in scorecards and dashboard and the structure of performance management systems. More often than not, these tools are used in combination, as they complement each other: you need reports to make performance measures relevant same as you need performance measures and scorecards to populate a business intelligence system otherwise empty of content.

Some of the more talked about tools in Performance Management are the business intelligence software tools. At a conceptual level, the most popular so far proved to be the Balanced Scorecard.

But there is a tool that doesn’t get the level of attention it deserves compared to its benefits and utility.

It doesn’t benefit from big advertising budgets of the software giants of the world. It doesn’t get much media coverage, the attention of research analysts or user conferences. It is not a recipient of worldwide executive management exposure through the publications of Harvard Business Publishing. It doesn’t support an industry of consultants. There are no training courses available for users and no user certification is available.

However, it is simple. It is cheap. It is easy to use. It has an impact. It works.

So who is this “Cinderella tool” of Performance Management and Business Intelligence?

Many years ago I worked as a recruiter for a small consulting company. One of the rituals we had each day was updating our scores on the whiteboard: number of active requisitions, preselected candidates, submitted candidates and placed candidates. A few months ago, while visiting an office I came across a similar table on a whiteboard: number of phone calls, number of meetings and number of sales completed. A few weeks ago, while taking to a friend, the whiteboard emerged again as a useful tool for keeping track of important performance measures.

What makes it so special?

  • It is beautiful in its simplicity and effectiveness. It achieves its purpose. It facilitates communication of performance data and it makes the information actionable.
  • It only has enough space for the most important data, so it filters through complexity.
  • It is noticeable by the entire team. Being in sight all day and available instantly, without the need to turn on a computer or logging in, it delivers its message more directly and frequently than any other tool.
  • It motivates. You see your targets and results every day, at least when you get to the office and when you leave the office. It makes performance real.
  • It provides value for money and utility for effort ratios that are difficult to match. Yet, it is almost ignored in Performance Management and Business Intelligence circles.

It doesn’t have the bells and whistles of the latest generation analytical software tools. But it does plenty with less. And considering the number of small businesses, the level of usage and sales at international level, whiteboards might also be some of the most used Performance Management tools.

Stay smart! Enjoy smartKPIs.com!

Aurel Brudan
Performance Architect,
www.smartKPIs.com

The 2010 Magic Quadrant for Business Intelligence Platforms

Monday, February 8th, 2010

A useful resource for assessing the market of Business Intelligence (BI) Platforms is  The 2010 Magic Quadrant for Business Intelligence Platforms, released on 29 January 2010, by Gartner. The report provides a comprehensive evaluation of the main software vendors for the BI platforms, as well as defining the BI market and its trends. An eagerly expected publication in BI circles, this year’s report was authored by four Gartner analysts: Rita L. Sallam (ex Oracle),  Bill Hostmann (ex IBM – Informix),  James Richardson (ex Hyperion, now Oracle) and Andreas Bitterer (ex IBM).

“In 2009, megavendors held almost two-thirds of business intelligence platform market share. But impatient business users increasingly turned to pure-play BI platforms, particularly those of small innovative vendors, to fill usability and time-to-value needs unmet by the larger vendors.” the report states.

The Business Intelligence Market

According to Gartner’s 2010 BI Magic Quadrant report, the market for BI platforms will remain one of the fastest growing software markets despite the economic downturn. Organizations will continue to turn to BI as a vital tool for smarter, more agile and efficient business. Gartner’s annual survey of CIO technology priorities reflects that BI remained among the top five priorities in 2009, while being No. 1 in each of the previous four years.

Evaluation Criteria for the BI Vendors

Gartner used 8 criteria for evaluating each BI vendor present in the Magic Quadrant for Business Intelligence Platforms. The criteria are presented in the table bellow:

For further reading:

Gartner Publication, 29 January 2010, The Magic Quadrant for Business Intelligence Platforms

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