As data based decision making is at the core of better management practices today, tools such as scorecards and dashboards can assist with providing critical business data for decision making. Dashboards are operational tools used to illustrate the company’s performance in its most relevant areas. In their recent study on changing practices of financial departments and management audit in businesses (2011), Bearing Point and the Association Nationale des Directeurs Financiers et de Contrôle de Gestion (DFCG) identified several trends in using dashboards across organizations.
For the report Performance Management in 2013, The KPI Institute conducted 20 semi-structured interviews with practitioners, academics and consultants from 18 countries, who offered a detailed image on the state of Performance Management as a discipline.
One of the main editorial rules followed in the development of the content is that a discipline can only evolve through the combined efforts of practitioners, academics and consultants. Gary Cokins, Founder and CEO, at Analytics-Based Performance Management LLC, USAwas one of the consultants that The KPI Institute interviewed.
A target reflects the desired level of a Key Performance Indicator (KPI). Targets make the results derived from measurement meaningful and provide organizations with feedback regarding performance. Targets are a mandatory prerequisite for each KPI measured, they should be quantifiable and clearly expressed.
For some companies making their performance results public is not just a legal regulation, but a way to connect and build the relationship with stakeholders. To ensure transparency, in addition to U.S. GAAP financials, Facebook presents another 16 KPIs that may be of interest for the public.
