o Measurable – It can be easily measured and reported on in reports or
scorecards (e.g. 100 phone calls per day or 100 sales per week). Where
possible, KPIs should not be recursive (e.g. if the calculation of the KPI is
iterative because it affects the measure it is calculated against – see next
section for an example)
o Agreed upon – It has been agreed between the individual and their superior,
and the individual and their subordinate(s).
o Realistic – It can be achieved within the knowledge, resources and time
available to the individual.
o Time-bound – KPIs must be achieved by a certain date or within a certain
period of measurement.
Why is performance reporting poorly done?
Performance reporting is poorly implemented for the following reasons:
• Reporting has not kept track with changes in KPIs.
• Reporting for KPIs is performed in different areas of the organisation, leading to a
myriad of measures that are not integrated into a single report, or worse, may result
in different data for the same KPI measure.
• Data is obtained from multiple systems that have become out of sync.
• KPIs that cannot be effectively measured (e.g. recursive measures – for example
bonuses paid on Profit Growth for the year, but the payment affects Profit Growth
Implementing effective performance reporting
The following represents a staged approach to creating an effective performance reporting
system in an organisation to help it achieve its desired business outcomes. The reports can
be organised by the following three groupings:
• Broad category
1. Categorise the KPIs
The KPIs should be categorised into broad groups to facilitate reporting and sourcing
2. Establish the reporting hierarchy following the organisational hierarchy
The performance reporting and scorecard hierarchy is determined following the
organisational and KPI hierarchy. For example, in a call centre, the following hierarchy
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Org Level Report Recipient Lowest unit of reporting
All Call Centres Head of Call Centres Call Centre
Call Centre Call Centre Manager Teams
Team Team Leader Individuals
Individual Operator Individuals
3. Establish the frequency of reporting
The performance reports have to be distributed at various frequencies. Typically, there are
four frequencies of distribution:
• Daily – For lower levels of the hierarchy and day-to-day operational aspects, to
provide information on the previous day’s performance.
• Weekly – For lower and mid levels of the hierarchy and day-to-day or medium
term information, to provide information on the previous week’s performance.
• Monthly – For all levels, to provide a snapshot for KPI discussions.
• Quarterly – For all levels, to provide a record of the quarter’s performance and for
4. Automate distribution
Performance reports and scorecards should all derive from the same data source, so that the
information is comparable across all levels of the hierarchy and across all the reports
provided at various frequencies. To ensure that this is done, and to efficiently utilise the
scarce reporting resources, the generation of the performance reports and scorecards should
be automated. Automation yields the following benefits:
• Consistency – performance reports look the same across the hierarchy of reporting
and across different frequencies of reporting. This facilitates understanding of
performance measures within a level in the hierarchy and across levels.
• Accuracy – the same methodology of calculation from the same data sources
ensures that all the reports have accurate data.
• Timeliness – automation provides the means to provide the performance reports on
time and within agreed Service Level Agreements.
• No further processing – providing the reports in its final form (and in an uneditable
format such as pdf) means that the end users do not have to further process it to
obtain the result they require nor can they change the results.
Examples of where effective reporting has paid off
This example shows the performance reporting hierarchy that was developed for the in-
bound call centres handling service calls for a major retail bank. The new reporting
hierarchy helped to achieve the following:
• Cut down on the number of unnecessary reports received.
• Reduced the need to further process raw data at each level to produce their own
highly individualised and non-comparable performance reports.
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• Enabled management to have visibility of performance reporting across the entire
• Enabled operators to have timely scorecards (and interim scorecards) that informed
them on how they were tracking across their KPI goals, and also what the forecast
bonus would be for them if they continued to perform at their current levels.
As a result of this new performance reporting hierarchy, performance reports and
scorecards were consistently produced on time, MIS resources were freed up, and
management and staff had an accurate view of how they were tracking against their KPIs.
Performance Reporting Hierarchy
Daily Weekly Monthly Quarterly
Report type Report level Report recipients Metrics
Team Leader Centre Manager Head of Call Ctr GM Call Centres
Centre • Required vs available FTE by skill
group per half hour
• Staff logged in
Centre • AHT
Performance • Calls offered, answered, abandoned
National • Grade of Service
Team • Shrinkage
• Adherence to schedule
Labour Centre • ACW, HT, TT
• Sales and referrals
Centre • Staff attrition
Staff Attrition • Staff replacement
Centre • CET
Customer • CCQ
Centre • Sick days ranked from most taken to
Sick Leave least taken by individual
How can BDP help
BDP has strong experience in helping large organisations create an effective performance
reporting and scorecard system to ensure that they meet their KPIs and business objectives.
We also provide implementation support and skill development in this area.
Please contact us at firstname.lastname@example.org to learn more.
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