In today’s highly competitive business environment, using the right KPI’s has become critical.
Companies are far more complex than just top- and bottom line.
EffCo can help your organization to identify and successfully implement the right set of KPI’s and dashboards.
We don’t believe in large lists of KPI’s with little of no link to the overall strategic objectives, but in exactly the right KPI-set to manage by exception and drive improvements. KPI’s should provide the answers to the most important questions and are primarily designed to empower employees.
In most EffCo improvement projects we implement/upgrade KPI’s in these 4 categories :
- Financialy related
- Customer related
- Process related
- Innovation/learning related
The world is changing rapidly … next to the classic KPI’s telling us what happened, Effco also helps you to identify and implement predictive KPI’s telling us what is going to happen.
Gartner Says Organizations Using Predictive Business Performance Metrics Will Increase Their Profitability 20 Percent by 2017
Organizations that use predictive business performance metrics will increase their profitability by 20 percent by 2017, according to Gartner, Inc. Gartner said organizations should use predictive metrics to alert workers that a business moment (a transient opportunity exploited dynamically that requires unprecedented business velocity and agility) is about to occur, and guide them on the best next action to take in the context of a particular customer’s expectations.
As we are entering the digital world, businesses will need to digitalize business processes, invent new digital business models, and compete at the speed of business moments. Senior IT managers and business process directors will increasingly be called on to manage an unprecedented degree and pace of business change, and to seize transient business moments by discovering what customers value and by personalizing processes to deliver that value — all in the same instant.
“Using historical measures to gauge business and process performance is a thing of the past,” said Samantha Searle, research analyst at Gartner. “To prevail in challenging market conditions, businesses need predictive metrics — also known as “leading indicators” — rather than just historical metrics (aka “lagging indicators”).” Predictive risk metrics are particularly important for mitigating and even preventing the impact of disruptive events on profitability.