March 2008

Andy Steeds

Performance Measurement or Performance Management

Agenda

• Company Overview

• Evolution of Performance Management

• The role of Business Intelligence today

• Measuring, modelling and managing performance

• Deployment to the masses

• Summary

Company Overview

• Provider of Business Intelligence and Performance Management systems

• Automate business performance improvement methodologies (eg. Six Sigma, BPR, Lean, Kaizen, Balanced Scorecard)

• 6,000+ customers

• 90 employees– Sydney – Asia Pacific (global research & development)– London – EMEA – Minneapolis

Performance Measurement

…But there’s more to performance management than metrics, dashboards, and scorecards.

For two decades, organisations have been deploying technology to measure performance...

The need for performance management

Key Market Forces Driving Change

• Accreditation – ISO 9001, TQM etc • Competitive – EU Enlargement, Euro Zone, Eastern Europe, China• Economic - Recovering global economy, emerging markets• Strategic – Embrace new global opportunities, increase market share

…Creating unprecedented pressure to

drive profitable growth &

improve corporate visibility

Day-to-Day Activities

Performance Metrics

Strategy

Disconnect

• Strategy, initiatives, resources, and risks are discussed at the executive level

• But day-to-day activities and performance metrics are often unrelated

As a result….

Many organisations can measure performance,

but cannot manage it

The need for performance management

Measurement

Systematic measurement is important in understanding where you are.

….But pointless if not used in conjunction with an end goal and supporting strategy.

Where are we going?

How do we get there?

What could go wrong?

Why will people make it happen?

How is it to be paid for?

Communicate Vision & Objectives

Manage Initiatives

Manage Risks

Create the Right Incentives

Manage Resources

Strategy

Day-to-Day Activities

Objective Management

Resource Management

Risk Management

Incentive Management

Performance Metrics

Initiative Management

CorVu’s Unique Solution

Performance Management

Strategy

Aligned Initiatives & Day-to-Day Activities

Strategy

Aligned Initiatives & Day-to-Day Activities

Business Intelligence

CRM LegacyData

WarehouseExcelERP

Strategic Management System

Performance Metrics

Objective Management

Resource Management

Risk Management

Incentive Management

Initiative Management

Others

Productionmonitoring

ConsolidatedPerformanceRepository

ERP

Supply Chain

Systems

Human Resources

Automatically scheduled reports dashboards and graphical

scorecards

Spreadsheets

Measures

& Data

Automatic extraction,

multiple data sources

DataFram

ewor

kData

Manual entry Internet/Intranet

Architecture

Business Intelligence for Business Users

Purpose-built Analysis

– interactive analytical reports

– business performance reports

– operational reporting

– exception alerts (email, SMS)

Purpose-built Analysis

Adhoc Analysis

– adhoc reporting for business users

– adhoc graphical analysis

– adhoc pivot tables

Purpose-built Analysis

Adhoc Analysis

– Adhoc Reports

– Adhoc Graphical Analysis

– Adhoc Pivot Tables

Purpose-built Analysis

Adhoc Analysis

– adhoc reporting for business users

– adhoc graphical analysis

– adhoc pivot tables

Purpose-built Analysis

Adhoc Analysis

Advanced Analytics

– Data Mining

– ‘What-if’

– Forecasting

Purpose-built Analysis

Adhoc Analysis

Advanced Analytics

Dashboards

Purpose-built Analysis

Adhoc Analysis

Advanced Analytics

Dashboards

Management Report Packs

CorBusiness

Knowledge Library Links all Data sources/tables/fields for point and click inclusion.

Dynamically Drill down from summary to the most granular level of detail

Simple ad hoc changes to drill down scenarios on the fly.

Simple ad hoc changes to drill down scenarios on the fly.

Drag and drop changes to pivot table dimensions, pick lists etc.

Intuitive Quick Report Wizard…

…produces easily formatted, colour conditioned, drillable reports with expand/collapse columns and rows

Add comments, drill through to detail, publish as pdf or html

Drillable dashboards – summary to detail

Executive alerts can be emailed to owners if pre defined conditions/exceptions are met

Others

Productionmonitoring

ConsolidatedPerformanceRepository

ERP

Supply Chain

Systems

Human Resources

Automatically scheduled reports dashboards and graphical

scorecards

Spreadsheets

Measures

& Data

Automatic extraction,

multiple data sources

DataFram

ewor

kData

Manual entry Internet/Intranet

Architecture

Organisational Hierarchy, (can roll up weighted scores

in a parent child relationship)

Scorecard Hierarchy, (can roll up weighted

scores in a parent child

relationship)

Arrows indicate trends

Summary

• Increase visibility and clarity of:– Strategic objectives (making performance everyone’s business)– Management information (eg. KPI’s, dashboards, trend analysis,

forecast) – Operational processes requiring attention (plan, do, review)– Initiatives to achieve specific objectives– Cause and effect (relationships between departments, processes)

• Alignment of operational activities to the organisation’s mission and overall company strategy (focusing on things that matter)

• Single repository for performance information (online collaboration, web based work flow, version control, formula control etc)

• Performance management, not just measurement