Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
Based on e...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
• Investin...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
• Business...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
1. Alignme...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
Current or...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
Meet Both ...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
Data Quali...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
Data Integ...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
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Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
Dashboard ...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
Example of...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
• With com...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
1) Kaplan,...
Examining Best Practices And Potential Pitfalls
In The Use Of BI Dashboards
Sami Tayara, Independent Consultant
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Sami Tayara BI Presentation ATT Jan07B

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Sami Tayara BI Presentation ATT Jan07B

  1. 1. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Based on extensive experience of BI and BSS related initiatives across a number of leading Middle East operators including Iridium, Djezzy, Syriatel, MTC Touch, and Spacetel Yemen Sami Tayara will share key insights into utilizing dashboards to successfully communicate key metrics to all stakeholders in your organization. • Outlining current interest in the use of performance dashboards and the potential pitfalls that arise during implementation • Understanding design challenges and developing effective solutions that will aid the success of data warehouse and dashboard initiatives • Reviewing best practice as applied at #1 wireless operator in USA: Tactical dashboard for monitoring and analysis of product lifecycle information. Metrics in dashboard enable management to quickly adjust the product offering or adjust quality and performance characteristics, leading to increased subscribers satisfaction and an optimized portfolio Presentation Summary Sami Tayara | Bicentric | 227 Bellevue Way NE #157 | Bellevue, WA 98004 | USA | email: sami@tayara.net
  2. 2. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant • Investing in BI became a must with the large increases in available business data and the increasing importance of having the right information at the right time • The proliferation of enterprise applications in all departments as well as services delivered through external partners resulted in a “data jungle” and raised the need for standardization and consolidation, and for “one version of the truth” • Managers at all levels realized the EIS of the 1980s is not cutting it anymore! • Rising competitive pressures plus legal compliance requirements put more weight and urgency on developing a new BI strategy, which gave dashboards prominence as the most visible component at the top of the BI pyramid Embracing BI and Dashboards within Management Strategy A 2005 Gartner research 4 emphasized this persistent misconception that dashboards are a “quick way to present strategic KPIs in a portal to top management”. It warns that the failure of a poorly conceived dashboard project can harm the prospects of future better planned BI initiative, and urges BI consultants to be prepared to stand up and explain to managers why it is not enough to “only want a dashboard”.
  3. 3. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant • Business Performance Management (BPM) is an emerging framework that moves us from measuring performance to managing performance • “A Performance Dashboard is a multilayered application built on a business intelligence and data integration infrastructure that enables organizations to measure, monitor, and manage business performance more effectively“ 6 • Operational Dashboards monitor key operational processes and are used by employees closer to the customer such as in Call Centers • Tactical Dashboards are used at the department or project level and emphasize analysis and monitoring against targets • Strategic Dashboards mostly use a Balanced Scorecard approach to monitor progress of strategic objectives, and provide the critical link between KPIs and company- wide strategic goals Without a business context, dashboards are of little benefit, and in many cases can be counterproductive. This pitfall is documented since the 1990s in the works of experts such as Kaplan and Norton, Harvard Business School 1, and widely adopted by today’s leading BI tools providers. Not Just Dashboards: Performance Dashboards and Scorecards
  4. 4. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant 1. Alignment of Tactics and Strategy by using a “strategy map”1 and the sharing of metrics and communication of goals throughout the organization 2. Focusing Employees on Priorities by enabling managers to focus on performance in those areas aligned with strategy, and not get distracted with unrelated opportunities 3. Promoting Accountability and Ownership by assigning employees responsibility over specific metrics, and avoiding cases where a problem remains unattended for lack of clear ownership • Avoid metrics that single out particular individuals and produce undue pressures in the workplace, as these have shown to backfire • Metrics used to influence behavior or evaluate future strategies will affect employees’ actions and decisions, and behavioral dynamics will push the company to inadvertently “become what it measures” 2, despite the executives best intentions Careful KPI Selection To Achieve Three Specific Business Gains
  5. 5. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Current organizational structures tend to promote information silos which obstruct information sharing and increase the cost and implementation time of BI projects, even leading to total project failures. Above mentioned policies can be a cure to the silos phenomenon. • Executive sponsorship of BI initiatives is critical, but a more practical and effective approach is the introduction and enforcement of company-wide metadata and BI policies and standards, as well a the setup of BI competency centers • Metadata for all company data-holdings should be centrally developed and managed as soon as possible, within the context of company-wide data integration • BI standards cover many areas, but they should all serve the ultimate goal of enabling the sharing of data by BI applications to guarantee one version of the truth. Another key goal is to balance and align short-term tactical BI initiatives with the long term goal of integrated BI systems company-wide • Implement strict controls on the integrity of data assets using QA processes, data lineage, and audit trails. Restrict the “Excel culture” which was proven to be an impediment to BI in the best cases and a vehicle of fraud in many cases Company-Wide Metadata and BI Policies
  6. 6. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Meet Both Current and Future Requirements A successful dashboard is one that will get high user adoption, and that will consequently grow and be subjected to new user requirements. Scope expansion needs to be foreseen in the original design, and should have a clear roadmap from the start. A dashboard is primarily a tool to visualize data in an underlying data warehouse. The data warehouse architecture is key to meeting the scope expansion challenge. In particular, the right metadata architecture within the data warehouse, and building metadata-driven ETL processes, will both greatly contribute to a flexible and scalable solution. Metadata-Centric Data Warehouse Architecture
  7. 7. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Data Quality Assurance Gartner article 5 predicts that in 2007, half the BI projects in the USA will have limited acceptance, or fail outright, due to lack of user trust in the completeness and accuracy of the data in the warehouse. • The first line of defense against bad data is the ETL code used to import it into the data warehouse. Your ETL design should enable customizable quality checks for each input data stream, and clear flagging of detected bad data • The second line of defense is the inclusion in the data warehouse architecture of complete end-to-end audit trails and data lineage, which are required enablers for automated (as well as people driven) Quality Assurance systems Enable QA with End-to-End Audit Trails and Data Lineage
  8. 8. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Data Integration • The flow of data into your warehouse is preceded by several pre-requisites, one of them being source data “profiling”, a discovery process that precedes the setup of ETL processes to bring the right data into the warehouse • Data profiling is greatly simplified when a company has implemented a form of data/metadata integration. Data profiling can get complex, time-consuming, inefficient, and unreliable when no data integration exists • As a result, many BI and dashboard initiatives have faced bottlenecks at this critical step at the very beginning of the data pipeline, and project costs and/or success rates have suffered • There is no immediate quick fix to this problem! There are many Data Integration standards currently gaining acceptance (such as SOA for BI, JSR 168, etc), but they haven’t matured yet • BI projects time and cost can be gradually lowered when companies introduce BI policies that mandate all IT transactional systems and other data sources be “BI- friendly”, as per emerging Data Integration standards Include Data Integration Standards in Company-Wide BI Policies
  9. 9. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Operations and Maintenance (O&M) for Long Term Success Once your new BI system passes acceptance testing, continued operations and management (O&M) often prove more significant than originally expected. This is mainly due to IT limited familiarity with this most recent addition to its portfolio. The below table from a 2002 DMReview article 3 provides an estimate of human resource commitments for O&M, excluding any change requests and new features Plan and Budget O&M Resources Early in BI Project
  10. 10. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Dashboard Implementation Example from USA #1 Wireless Operator • Tactical Dashboard for monitoring and analysis of product lifecycle information. It includes 100s of metrics from many internal and external (partner) data sources and allows drill-downs for root-cause analysis • Allows quick analysis on a product by product basis thus enabling as-needed adjustments to the product offering or to the quality and performance characteristics, leading to increased subscribers satisfaction and an optimized portfolio • Dashboard usage is integrated within a complete business process that involves periodic requirements and quality review sessions with product managers, and is supported by a department dedicated to service quality measurement
  11. 11. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Example of Best Practices in BI Systems Design • Support for End-to-End Data Quality Assurance • Metadata-Driven ETL for Scalability and Lower Operational Costs • Most efficient ETL when data sources are standardized, but acknowledging shortcomings in data integration, the design allows for import of unstructured data • Pre-calculated metrics enable delivering new dashboards while ETL team is still integrating the detailed data sources, leading to faster response to new requirements
  12. 12. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant • With competition so intense, dashboard enables executives, managers, and other stakeholders to easily remain on top of their numbers • As a result of the metrics alignment with strategy, information in the dashboard provides the right insight management is looking for • Below is one possible dashboard concept that implements this best practice Best Practices in Dashboard Design : Alignment of Metrics and Strategy NOVEMBER 7, 2005 INFORMATION TECHNOLOGY/Online Extra Getting Cingular Up to Speed CEO Stanley Sigman talks about the challenges of the AT&T Wireless merger and how he plans to catch up with Verizon Wireless How are you doing in key metrics like churn and profitability? We call the key metrics in this company the Four Rs -- rate of penetration, revenue intensity, return on operations, and reputation. On rate of penetration, we're certainly behind Verizon. We outsell them in gross sales by 20%, but their churn is better than ours, so their net addition of customers is better. In average revenue per user, we were about a dollar better than them -- about $50 vs. $49. On return on operations, they're the best in class and we're the lowest in class on our margins. And on reputation, they're best in class and we're toward the bottom of the pack. What's the strategy for improving your service and reputation? I don't think it's time for us to go out touting on a national basis that we have the best network until we do have the best network. I know where our network stacks up. There's absolutely no reason why we can't have as good a network as Verizon has. If we don't, we failed to execute. What's your data strategy? We have more data customers than anyone else in the market today. We have the most prolific 2.5G data network [which runs at 60 to130 kilobits per second] in the country. We have nearly 47,000 sites. What services do you offer that have given you the No. 1 spot in data? [The biggest segment] of the data services is e-mail messaging. We're the leader in BlackBerry (RIMM ).
  13. 13. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant 1) Kaplan, Robert and Norton, David (1996) “The Balanced Scorecard: Translating Strategy Into Action” Harvard Business School Press 2) Hauser, John and Katz, Gerald (1998) “Metrics: You Are What You Measure!” 3) Gallo, James (2002) “Operations and Maintenance in a Data Warehouse Environment” Published in DMReview in December 2002 4) Buytendijk, Frank and Gassman, Bill (2005) “Management update: Just Give Me a CPM Dashboard” Gartner Inc. 5) Hostmann, Bill and Buytendijk, Frank and Friedman, Ted (2005) “Avoid the Fatal Flaws of Business Intelligence and Corporate Performance Management” Gartner Inc. 6) Eckerson, Wayne (2005) “Performance Dashboards: Measuring, Monitoring, and Managing Your Business” Publisher: Wiley Sami Tayara | Bicentric | 227 Bellevue Way NE #157 | Bellevue, WA 98004 | USA | email: sami@tayara.net References:
  14. 14. Examining Best Practices And Potential Pitfalls In The Use Of BI Dashboards Sami Tayara, Independent Consultant Thank you for attending! For additional information contact Sami Tayara at the address below Sami Tayara | Bicentric | 227 Bellevue Way NE #157 | Bellevue, WA 98004 | USA | email: sami@tayara.net

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