10 Reasons Why A Management Dashboard Is Important
What is a management dashboard?
« Un tableau de bord de gestion est un affichage visuel de l’information la plus importante nécessaire pour atteindre un ou plusieurs objectifs et qui a été consolidé sur un seul écran afin qu’il puisse être consulté en un coup d’œil. »
– Stephen Few
1. It helps you manage the complexity of running an organization.
A management dashboard can help you understand what’s important to the organization as a whole by capturing the few critical things that will make the difference. It is for this reason that it is therefore important to have a complete vision of the overall priorities of the organization.
2. It allows you to consolidate information from your entire organization in one place.
Each department or division is responsible for managing its data, but all of this information needs to be consolidated into one dashboard in order for the organization’s strategy to be successful. With a global view, it will be possible to better support the key activities of your organization and to make changes when necessary.
3. It gives you instant access to the metrics that brings value to your organization.
Overall, metrics should reflect and support different strategies for all aspects of the organization, including:
- standards or customer requirements and expectations;
The indicators indicate the priorities of the company and provide a window into performance, ethics and ambition. Moreover, with the tools offered today, it is possible to look at your management dashboard anywhere!
4. It gives you a clear picture of the progress or profitability of your key activities.
Some people see management dashboards simply as a set of key metrics, but in our experience, you’ll also want to be able to see how your projects are progressing and whether the things you are doing to influence them are having the effect. target. Having a view that shows the current state, the percentage of completion, the key stages of the project, a projection on its purpose as well as the profitability of the investments are major elements in a management dashboard for successful projects.
5. Improves decision making.
Indeed, since the management dashboard allows you to keep up-to-date with the business, it allows you to make decisions based on the results. This generally improves the outcome compared to the heuristic method which causes people to ignore information in order to make decisions faster, more frugally or with less precision.
6. It can be used at all levels of your organization (strategic, operational or tactical).
- monitor the long-term strategy of the business using critical success factors (Strategic);
- manage more detailed information, which is mainly used in the analysis and monitoring of processes carried out by the middle managers of an organization (tactics);
- monitor processes whose data is updated very frequently, sometimes even down to the minute (operational).
7. To motivate the team by allowing to see the current state and the desired future state.
By defining SMART objectives (Specific, Measurable, Achievable, Realistic and Time-bound), we promote the engagement rate of employees since they can compare the current state to the desired future state while respecting their individual capacity. Thus the employee feels that he contributes individually and collectively to the organizational objectives. By providing a management dashboard, tracking these goals becomes easier for everyone.
8. To give an alert in a critical situation.
Alerts add richness to the management dashboard as they capture users’ attention to organizational issues and prompt them to act quickly to resolve them.
9. It saves time.
Many executives spend countless hours logging into corporate systems and running reports. Conversely, a good management dashboard always shows you the latest results of every metric you need to do your job. This saves you precious hours every month.
10. To be aware of the situation (perception, understanding, projection).
In fact a management dashboard which has these 3 levels of situational awareness and which are well understood by the user will increase the likelihood of the latter to make a good decision. Thus, a user who has a good perception of the elements of his environment (level 1), a good understanding of their meaning (level 2) as well as a good projection of their future state (level 3) has greater chances to make good decisions than someone who has only some or none of these levels.