In the digital age, companies generate and collect so much data that using it properly is a tall order. Business intelligence provides ready access to important information in a useable format so you can make decisions based on key performance indicators (KPIs) tailored to your needs.
The purpose of a dashboard is to link your company’s strategy to its operations and monitor the effectiveness of your interventions.
Strategic vs. performance dashboards
In business intelligence there are two types of dashboards: strategic and operational.
Strategic dashboards measure the execution of your strategy, quickly identifying deviations and helping you concentrate on priority objectives and steering the strategy.
Operational dashboards measure results like speed of execution, quality, response time, etc. See our blog post on the difference between performance and operational indicators.
Strategic dashboards are the ones you look to when it comes time to make decisions.
Only communicate the important stuff
Strategic dashboards should only contain information that’s crucial for making decisions. Just because something is measurable doesn’t mean it needs to be on the dashboard. Every chart should be designed to answer one question only and be easy to read at a glance.
In dashboard monitoring meetings, it’s important to focus exclusively on certain indicators and prioritize those that indicate underperformance in order to identify actions that can be taken to achieve your objectives.
Business intelligence storytelling
Remember, dashboards and indicators tell stories that are meaningful to stakeholders using clear, accurate, and reliable data.
Each indicator should have an “owner,” who is selected based on their position within the company. The owner should use and interpret the indicator and understand how it works and the way it’s designed. In other words, they are responsible for telling the indicator’s story. In a general sense, they are responsible for actions taken with regard to the indicator. They are also responsible for ensuring that it’s updated before each meeting so it can be reviewed and discussed.
Business Intelligence according to Merkur
Setting up data warehouses and machine connectivity requires time and money, but it’s crucial if you want to take full advantage of manufacturing 4.0 and improve the performance of your teams. Having the right performance indicators will go a long way to helping management make the best decisions for your company.
Merkur has the expertise to help you through the process, from 4.0 diagnostics to achieving your digital objectives.