Quick thought experiment: You are configuring a scorecard to report a rolled-up key performance indicator, or KPI. This scorecard starts out with a KPI that is based on a single measured metric, and you have a process in place to measure that metric, apply some weights to the raw score, and then present that score, which is then presented in relation to previously reported scores for the same KPI.
As time progresses, the managers decide that the KPI can be improved by integrating a second measurement and weighted raw score. This is implemented, but here is the issue: the new representation of the KPI is a different indicator with the additional measurement than it was prior to the integration of that measurement. So can the score associated with this new incarnation of the (same old) KPI be compared with the previously reported scores?
There are two sides to this question. On the one hand, if the KPI being reported is different than the one that had been reported earlier, then a comparison is unreasonable since they are effectively measuring two different things. On the other hand, one might anticipate that the weightings associated with the old raw score and the new raw score would be adjusted to scale in line with the previous set of scores.
So let's throw this out to the general readership: how do you suggest presenting the historical view of this KPI whose underlying measures are adjusted over time?
Posted January 5, 2009 9:59 AM
Permalink | No Comments |
Twitter 
LinkedIn 
YouTube
Leave a comment