Often we see in both large and small organizations that business performance is tracked using spreadsheets and word documents. When an organization has to track business performance, and we really want to say business performance is not personal performance (this is a matter for another day) nowadays it is essential to use their dedicated KPI software.
There are many benefits to using dedicated KPI software. In which at least all KPIs are kept in a central repository and therefore enable accurate interrogation of metrics by using automation tools like dashboard, reports, briefing books, alerts, drill down and a high visual interface.
It is essential. It provides a way to create necessary and meaningful reports or dashboards that management can use to make informed decisions. Clearly, there are standard or basic KPIs that all companies need such as revenue, profit, total profit and operating costs that are relatively easy to explain. However, there are many more KPIs that can affect these key systems that need to be controlled.
Using KPI software not only provides an overall picture, but also allows users to drill down multiple levels of detail. For example, from revenue we can look at sales revenue and then sink into sales costs for specific products and individual products. It can be related to duration – to test seasonal variations – and operational costs related to production and distribution. All of this can be achieved in seconds with a mouse click through an interactive dashboard or by looking at metrics.
Without this process, when using a spreadsheet, multiple reports need to be created and cross-referenced manually. This can be a time consuming activity that can lead to delays and additional costs. Not only that, it means that people involved in extra work will not be able to complete their normal daily tasks which will result in more cost.
There are further benefits to centralizing KPIs into a single KPI management system. Most systems allow administrators to set permissions based on people's roles using the systems. With a permission system, KPIs, reports and dashboards can be made available to a wider audience. For example, if an organization wants to publish its strategy in the form of a strategy map, it can do so by allowing all employees in this area of the KPI software. However, if it wants profit and loss statements to be available only to financial parties and executives, it can do so by setting appropriate authorization controls.
Security is one of the biggest challenges facing both large and small companies. A KPI management system proves to be a huge advantage that can be controlled by permission based on the role. In today's highly competitive environment, the need to communicate effectively with the right people is paramount. Proper infrastructure is required for information distribution. Gone are the days when companies had to rely solely on personal networks. The Internet has provided a way to distribute information cheaply and efficiently.
But it also requires setting up proper security protocols. The best KPI software solutions take advantage of the web These are web-based systems that have the right level of security to allow transit across a public network, while ensuring data is secure.
In short, KPI software is a much more efficient alternative than using spreadsheets and documents. It provides a way to drill down (or across) to find relevant information. So it provides a mechanism for making quick known decisions. Information can be easily and distributed to different types of people based on a role within the organization.
Working as a consultant on strategic planning and the use of balanced scorecards. Software automation is at the heart of good strategic planning and should be a key business tool in today's highly competitive environment. Check out at http://www.evbex.com. They specialize in strategic planning software, balanced scorecard software and KPI software.
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