A Performance Management Dashboard is a single interface, graphical display of the current status and historical trends of an organization as defined by its Key Performance Indicators (KPI’s). Its purpose is to allow organization executives and managers to make informed business decisions based on superior information availability.
The concept of management dashboards arose out of the decision support systems invented in the 1970s. With the availability of real-time information through the internet and secure intranets as well as ERP and CRM systems, dashboards have become more popular. In many organizations, management dashboards have been created in-house due to dissimilar IT architectures. Today, many dashboards are technologies are available “out-of-the-box” and link seamlessly into various existing reporting systems.
Performance Management Dashboard types vary based on their business objective as well as availability of information within the organization. However, most allow users to view information at a high level, and then drill down into that information for root cause analysis.
Initially based on a car’s dashboard, performance management dashboards contain the necessary operational components meant to “drive” the organization. This information is generally displayed in a graphical format (bar graphs, scatter-plots, etc) highlighting areas of sub-par and superior performance.
There are many different uses of Dashboards; examples include Operational Performance Management, Customer Retention Performance, Sales Performance Management, Marketing Campaign Effectiveness, Pricing Performance, Inventory Management, and many others. All applications of dashboards share the need for relevant information based on the most meaningful metrics to the organization.
1. Dashboard objective and strategy definition
2. Dashboard stakeholder identification
3. KPI identification
4. Dashboard design
5. Stakeholder review
6. Dashboard implementation
7. Dashboard fine-tuning
8. Monitoring & reporting
• Stronger ability to make more informed decisions based on meaningful metrics
• Aligns strategic objectives with operational goals
• Saves time and resources by consolidating important metrics in one location
• Meaningful graphical presentation of KPIs
• Stronger ability to identify and correct negative trends
• Fast and easy identification of outliers and correlations in performance data
• Few, Stephen (2006). Information Dashboard Design. O'Reilly. ISBN 978-0-596-10016-2.
• Eckerson, Wayne W (2006). Performance Dashboards: Measuring, Monitoring, and Managing Your Business. John Wiley & Sons. ISBN 978-0-471-77863-9.