SlideShare a Scribd company logo
1 of 10
Download to read offline
The problem with KPI’s
First is of course the wording. Key Performance Indicators
suggest that there are Performance Indicators and Key
Performance Indicators. This is rarely true; every indicator
appears to be key indicator, which makes no sense.
Some people say: ‘it doesn’t matter how you call them,
you know what we mean’. Well…it does matter to me
because it’s nonsense calling every indicator Key. Same
for calling every employee ‘manager’.
1
The problem with KPI’s
Secondly I find that many organizations over-use KPI’s and
spend to much time ‘staring in the rear mirror’ while lacking
a proper dashboard to steer day-to-day operations.
I am sure many LEAN specialists will agree.
And since we all love to mystify our work; let’s call your
dashboard RKPI’s; Real time Key Performance Indicators
And I will be the RKPI-Manager then, the RKPIM 🙂
2
Get a dashboard first
Enough with the fun now, KPI’s can be really useful if designed wisely.
In this super short presentation I will indicate what a good dashboard should
do for you. The first ‘best practice’ tells you: “less is more”.
In order to fly and land a plane, a pilot needs six gauges. We, humans are
not really able to steer on more that six indicators in real time. These six
gauges would be RKPI’s, the rest of meters and stuff would be PI’s;
performance indicators that are not real time, though relevant sometimes and
key sometimes.
3
Less is more
4
ACTION!
What you can learn from the picture of a submarine on
the previous page is that below every gauge there is a
handle or wheel. So, if you aren’t able to act upon a
RKPI, you can do without, it doesn’t belong on your
dashboard.
5
Near real timeAs every nerd will happily
tell you, real time doesn’t
exist, but you’ll get the
idea. Make sure your
dashboard is close to real
time. Since it has to be
actionable, you don’t want
it to be late. It’s that
simple.
If your RKPI comes in
after an hour, it isn’t a
thing you need on your
dashboard.
6
Correlating RKPIs
If you have strongly correlating RKPI’s try to stick with the most
important one or if you know your business logic, the first one
that steers all others.
But…use your brain; the age of Miss America clearly correlates
with Murders by steam, hot vapors and hot objects….
7
tylervigen.com
Graphics please!
We, human beings, are
not very good with
numbers and we are
really horrible with
statistics. That’s us, can’t
change that. But we are
reasonably OK with
seeing patterns and
differences in graphs and
charts. So if you can
dump a number in favor
of a chart or graph, do so.
If that graph is a real time
moving graph, you have
little more to wish for on
your dashboard
8
An example of a really
good RKPIs in a call
center
If you would like to see a series of good visualizations of what
is going on in a call center with 7 streams if incoming traffic,
click here. It’s dynamic, there is a lot of useful real time
information packed in really easy to use graphical overviews.
If this is your dashboard, you have a head start on many,
many other organizations.
9
Need more?
• paul.harts@visionpartners.ae
• +971 55 45 28 480
• or add visionpartners.ae to your Skype contacts
• or just click here to download a vCard
• or see our Facebook: https://www.facebook.com/
AAAvisionpartners
• or see our LinkedIn group: https://www.linkedin.com/
company/aaa-vision-partners

More Related Content

Recently uploaded

edited gordis ebook sixth edition david d.pdf
edited gordis ebook sixth edition david d.pdfedited gordis ebook sixth edition david d.pdf
edited gordis ebook sixth edition david d.pdf
great91
 
Fuzzy Sets decision making under information of uncertainty
Fuzzy Sets decision making under information of uncertaintyFuzzy Sets decision making under information of uncertainty
Fuzzy Sets decision making under information of uncertainty
RafigAliyev2
 
如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一
如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一
如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一
0uyfyq0q4
 
一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理
一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理
一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理
pyhepag
 
如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一
如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一
如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一
fztigerwe
 
Toko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra Malang
Toko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra MalangToko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra Malang
Toko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra Malang
adet6151
 
一比一原版阿德莱德大学毕业证成绩单如何办理
一比一原版阿德莱德大学毕业证成绩单如何办理一比一原版阿德莱德大学毕业证成绩单如何办理
一比一原版阿德莱德大学毕业证成绩单如何办理
pyhepag
 
1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证
1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证
1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证
ppy8zfkfm
 
Abortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotec
Abortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotecAbortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotec
Abortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotec
Abortion pills in Riyadh +966572737505 get cytotec
 
如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一
如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一
如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一
hwhqz6r1y
 
Exploratory Data Analysis - Dilip S.pptx
Exploratory Data Analysis - Dilip S.pptxExploratory Data Analysis - Dilip S.pptx
Exploratory Data Analysis - Dilip S.pptx
DilipVasan
 
Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...
Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...
Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...
Valters Lauzums
 

Recently uploaded (20)

basics of data science with application areas.pdf
basics of data science with application areas.pdfbasics of data science with application areas.pdf
basics of data science with application areas.pdf
 
edited gordis ebook sixth edition david d.pdf
edited gordis ebook sixth edition david d.pdfedited gordis ebook sixth edition david d.pdf
edited gordis ebook sixth edition david d.pdf
 
Fuzzy Sets decision making under information of uncertainty
Fuzzy Sets decision making under information of uncertaintyFuzzy Sets decision making under information of uncertainty
Fuzzy Sets decision making under information of uncertainty
 
Artificial_General_Intelligence__storm_gen_article.pdf
Artificial_General_Intelligence__storm_gen_article.pdfArtificial_General_Intelligence__storm_gen_article.pdf
Artificial_General_Intelligence__storm_gen_article.pdf
 
如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一
如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一
如何办理滑铁卢大学毕业证(Waterloo毕业证)成绩单本科学位证原版一比一
 
一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理
一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理
一比一原版加利福尼亚大学尔湾分校毕业证成绩单如何办理
 
Formulas dax para power bI de microsoft.pdf
Formulas dax para power bI de microsoft.pdfFormulas dax para power bI de microsoft.pdf
Formulas dax para power bI de microsoft.pdf
 
Easy and simple project file on mp online
Easy and simple project file on mp onlineEasy and simple project file on mp online
Easy and simple project file on mp online
 
如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一
如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一
如何办理哥伦比亚大学毕业证(Columbia毕业证)成绩单原版一比一
 
NOAM AAUG Adobe Summit 2024: Summit Slam Dunks
NOAM AAUG Adobe Summit 2024: Summit Slam DunksNOAM AAUG Adobe Summit 2024: Summit Slam Dunks
NOAM AAUG Adobe Summit 2024: Summit Slam Dunks
 
Toko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra Malang
Toko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra MalangToko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra Malang
Toko Jual Viagra Asli Di Malang 081229400522 COD Obat Kuat Viagra Malang
 
2024 Q2 Orange County (CA) Tableau User Group Meeting
2024 Q2 Orange County (CA) Tableau User Group Meeting2024 Q2 Orange County (CA) Tableau User Group Meeting
2024 Q2 Orange County (CA) Tableau User Group Meeting
 
Generative AI for Trailblazers_ Unlock the Future of AI.pdf
Generative AI for Trailblazers_ Unlock the Future of AI.pdfGenerative AI for Trailblazers_ Unlock the Future of AI.pdf
Generative AI for Trailblazers_ Unlock the Future of AI.pdf
 
一比一原版阿德莱德大学毕业证成绩单如何办理
一比一原版阿德莱德大学毕业证成绩单如何办理一比一原版阿德莱德大学毕业证成绩单如何办理
一比一原版阿德莱德大学毕业证成绩单如何办理
 
1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证
1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证
1:1原版定制利物浦大学毕业证(Liverpool毕业证)成绩单学位证书留信学历认证
 
Abortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotec
Abortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotecAbortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotec
Abortion pills in Dammam Saudi Arabia// +966572737505 // buy cytotec
 
Aggregations - The Elasticsearch "GROUP BY"
Aggregations - The Elasticsearch "GROUP BY"Aggregations - The Elasticsearch "GROUP BY"
Aggregations - The Elasticsearch "GROUP BY"
 
如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一
如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一
如何办理澳洲悉尼大学毕业证(USYD毕业证书)学位证成绩单原版一比一
 
Exploratory Data Analysis - Dilip S.pptx
Exploratory Data Analysis - Dilip S.pptxExploratory Data Analysis - Dilip S.pptx
Exploratory Data Analysis - Dilip S.pptx
 
Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...
Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...
Data Analytics for Digital Marketing Lecture for Advanced Digital & Social Me...
 

Featured

How Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental HealthHow Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental Health
ThinkNow
 
Social Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie InsightsSocial Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie Insights
Kurio // The Social Media Age(ncy)
 

Featured (20)

2024 State of Marketing Report – by Hubspot
2024 State of Marketing Report – by Hubspot2024 State of Marketing Report – by Hubspot
2024 State of Marketing Report – by Hubspot
 
Everything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPTEverything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPT
 
Product Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage EngineeringsProduct Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage Engineerings
 
How Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental HealthHow Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental Health
 
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdfAI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
 
Skeleton Culture Code
Skeleton Culture CodeSkeleton Culture Code
Skeleton Culture Code
 
PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024
 
Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)
 
How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024
 
Social Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie InsightsSocial Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie Insights
 
Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024
 
5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary
 
ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd
 
Getting into the tech field. what next
Getting into the tech field. what next Getting into the tech field. what next
Getting into the tech field. what next
 
Google's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search IntentGoogle's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search Intent
 
How to have difficult conversations
How to have difficult conversations How to have difficult conversations
How to have difficult conversations
 
Introduction to Data Science
Introduction to Data ScienceIntroduction to Data Science
Introduction to Data Science
 
Time Management & Productivity - Best Practices
Time Management & Productivity -  Best PracticesTime Management & Productivity -  Best Practices
Time Management & Productivity - Best Practices
 
The six step guide to practical project management
The six step guide to practical project managementThe six step guide to practical project management
The six step guide to practical project management
 
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
 

The reason why i don't like kpi's (but love dash boards)

  • 1. The problem with KPI’s First is of course the wording. Key Performance Indicators suggest that there are Performance Indicators and Key Performance Indicators. This is rarely true; every indicator appears to be key indicator, which makes no sense. Some people say: ‘it doesn’t matter how you call them, you know what we mean’. Well…it does matter to me because it’s nonsense calling every indicator Key. Same for calling every employee ‘manager’. 1
  • 2. The problem with KPI’s Secondly I find that many organizations over-use KPI’s and spend to much time ‘staring in the rear mirror’ while lacking a proper dashboard to steer day-to-day operations. I am sure many LEAN specialists will agree. And since we all love to mystify our work; let’s call your dashboard RKPI’s; Real time Key Performance Indicators And I will be the RKPI-Manager then, the RKPIM 🙂 2
  • 3. Get a dashboard first Enough with the fun now, KPI’s can be really useful if designed wisely. In this super short presentation I will indicate what a good dashboard should do for you. The first ‘best practice’ tells you: “less is more”. In order to fly and land a plane, a pilot needs six gauges. We, humans are not really able to steer on more that six indicators in real time. These six gauges would be RKPI’s, the rest of meters and stuff would be PI’s; performance indicators that are not real time, though relevant sometimes and key sometimes. 3
  • 5. ACTION! What you can learn from the picture of a submarine on the previous page is that below every gauge there is a handle or wheel. So, if you aren’t able to act upon a RKPI, you can do without, it doesn’t belong on your dashboard. 5
  • 6. Near real timeAs every nerd will happily tell you, real time doesn’t exist, but you’ll get the idea. Make sure your dashboard is close to real time. Since it has to be actionable, you don’t want it to be late. It’s that simple. If your RKPI comes in after an hour, it isn’t a thing you need on your dashboard. 6
  • 7. Correlating RKPIs If you have strongly correlating RKPI’s try to stick with the most important one or if you know your business logic, the first one that steers all others. But…use your brain; the age of Miss America clearly correlates with Murders by steam, hot vapors and hot objects…. 7 tylervigen.com
  • 8. Graphics please! We, human beings, are not very good with numbers and we are really horrible with statistics. That’s us, can’t change that. But we are reasonably OK with seeing patterns and differences in graphs and charts. So if you can dump a number in favor of a chart or graph, do so. If that graph is a real time moving graph, you have little more to wish for on your dashboard 8
  • 9. An example of a really good RKPIs in a call center If you would like to see a series of good visualizations of what is going on in a call center with 7 streams if incoming traffic, click here. It’s dynamic, there is a lot of useful real time information packed in really easy to use graphical overviews. If this is your dashboard, you have a head start on many, many other organizations. 9
  • 10. Need more? • paul.harts@visionpartners.ae • +971 55 45 28 480 • or add visionpartners.ae to your Skype contacts • or just click here to download a vCard • or see our Facebook: https://www.facebook.com/ AAAvisionpartners • or see our LinkedIn group: https://www.linkedin.com/ company/aaa-vision-partners