performance management
TRANSCRIPT
Copyright © 2007, SAS Institute Inc. All rights reserved.Copyright © 2006, SAS Institute Inc. All rights reserved.
Performance ManagementTime to STEP up
Jonathan Hornby, SAS
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – Time to STEP up
Last decade has seen radical change• The world is flat• The world is green• The rules have changed• Information doubles every 11 months
Still only 1,440 mins per day• Time to get Strategic• Time to ensure Transparency• Time to Evolve and innovate• Time to become Proactive
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – Reality check
BusinessWeek survey• Conversations changing
From cost cutting … to balancing cost & innovation• Agility serious concern
<20% of CEOs/ CFOs happy<50% of execs understand what drives profit/ value
Fundamental obstacles• Accountability• Culture toward measurement• Transparency
For more information on the survey, visit: http://www.sas.com/events/cm/157329/
Copyright © 2007, SAS Institute Inc. All rights reserved.
What happened?
How many, how often, where?
Where exactly is the problem?
What actions are needed?
Why is this happening?
What if these trends continue?
What will happen next?
What’s the best that can happen? Optimization
PredictiveModeling
Forecasting
StatisticalAnalysis
Alerts
QueryDrilldown
Ad hocReports
Std.Reports
Performance Management – Analytic depthThe power to improve
Copyright © 2007, SAS Institute Inc. All rights reserved.
See reality - clean & simple
Manage & align resources to strategy
Improve foresight, optimize for value
Learn, share, codify & adapt
Evolve via experimentation & innovationEvolve
Learn
Improve
See
Performance Management – An evolutionSmart Growth
Manage
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – South Dakota DOT
Use SAS® Activity Based Management to answer:• What does it cost to maintain a mile of secondary highway?• How do our costs compare with those of other states and with
private-sector contractors?• Where are the best opportunities for reducing cost?
TAKING THE HIGH ROAD TO SUCCESSWith better information, questions and resultsOver $2m saved in first yearStory @ http://www.sas.com/success/sddot.html
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – South Dakota DOT
Use SAS® Strategic Performance Management to answer:• Is our strategy in line with our mission?• How can we redirect our resources to more productive uses?• How does each part of SDDOT contribute to the department’s
overall success?
“With SAS, we’re becoming more aware of what we’re spending … and how
we’re performing, so we know where to make changes to improve and when we
must request more funding.”
Roxanne RiceChief Financial Officer, South Dakota Department of Transportation
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – Making it happenSee and manage what you have
What we do 1
Inputs
Outputs
PeopleMoneyTechnology
ProductsServicesInformation
DriversCustomersProcessEvents
Strategy 2
Execute 5
Budget 4
Plan 3
Consolidate 6
Review 7
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – Making it happenSee and manage what you have
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – Making it happenUnlocking smart growth – Improve, Learn & Evolve
Internal 9
Human & IT capitalProcess standards & qualityEffectiveness of strategy
External 10
Market & economic trendsSupplier logistics'Customer behaviors
Predict future 11
Simulate options 12
Quantify influence 8
Common themes: Alignment to strategy; Cost & Profitability Optimization
Copyright © 2007, SAS Institute Inc. All rights reserved.
Performance Management – Time to STEP upLast decade has seen radical change
• Time to get Strategic• Time to ensure Transparency• Time to Evolve and innovate• Time to become Proactive
Greatest challenges• Understanding value drivers • Agility
Top 3 obstacles• Accountability• Culture toward measurement• Transparency
SAS can help you • See, Manage, Improve, Learn & Evolve performance to
increase stakeholder confidence & value
Copyright © 2007, SAS Institute Inc. All rights reserved.Copyright © 2006, SAS Institute Inc. All rights reserved.
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