Abstract: While KPIs are critical for every organization, they are often misunderstood or misrepresented, leading to inefficient decisions. In this blog post we will discuss about different types of KPIs that can help your visualization.
What is KPI:
A Key Performance Indicator (KPI) is a measurable value that demonstrates how effectively an organization is achieving key objectives. Organizations use KPIs to evaluate their success at reaching targets.
Various types of KPIs:
- Quantitative KPIs are straightforward, since they are made up of measurable numeric metrics and help you track clearly measurable progress.
- Qualitative KPI: KPIs aren’t always about measuring quantitative aspects of your organization. You may also want to track some qualitative aspects. quantifying qualitative data using the Likert scale or other similar tools, greatly helps in measuring and tracking qualitative KPIs.
- Process KPI: sometimes, when different processes feed into each other, a funnel view is a better way to understand the overall flow than tracking individual KPIs for each process.
- Combined KPI: when you have too many interdependent metrics to track, you can use statistical models to combine a bunch of similar metrics into a score and then visualize them in the form of scorecards. Scorecards give a quick snapshot of what is going right and what isn’t. Your dashboard could then have drill-downs into each scorecard to help you dig deeper into the root causes of the problems that need fixing.
Conclusion: KPI visualizations are becoming an essential part of the way organizations track their metrics and use those to develop nimble strategies for the future. Categorization of KPIs and finding what kind of KPI you are dealing with will help you make sure that you are getting the most value out of your KPI visualizations.
References:
https://www.klipfolio.com/resources/articles/what-is-a-key-performance-indicator
https://www.socialcops.com/kpi-visualization
http://unilytics.com/5-steps-to-actionable-key-performance-indicators/
http://unilytics.com/top-7-tips-for-dashboard-visualization/