3 Tips for creating an effective dashboard
Updated: Jan 11, 2022
Creating your own dashboard to analyze the data sent by your accountant is the first step in designing a decision support tool. It is also one of the main missions of management control. There are also tools on the market, but you still have to have the means to implement them.
In this article we will see 3 tips that will allow you to properly structure your dashboard from the start and anticipate changes that may impact it. Whatever tool you use, the structure of a dashboard must take into account several elements: the structure of your company, its industry and your operational objectives.
Tip 1 - Ask yourself the right questions before starting
Once all the accounting data has been received, in general it’s better to start with data of one month, or a day depending on the volume of data you have. The first essential step to fully understand how your dashboard should be structured is to ask the right questions:
- What questions should your dashboard answer? Ex: how is my turnover and my result evolving? What are my main expenses? etc.
- What are the main elements that you must have: categorization of your costs? Segmentation of your turnover? Funding capacities?
- What are the key indicators (KPIs) of your activity?
Tip 2 - Prepare all the elements of the dashboard
Before starting the adventure, prepare in detail the elements of your dashboard:
- List the elements of each category,
- Identify the data that will allow the categories to be applied ,
- Prepare the formulas for your indicators,
- List the graphic views you will need.
It is important to note at this stage that it is not necessary to arm yourself with a multitude of indicators, define one or two for each issue.
Tip 3 - Choose the right format
The simpler and easier your dashboard is to use, the more time you will save in decision-making. So, avoid overly complex tables and choose the tool you are most comfortable with. A good dashboard must bring together the following elements:
- Load data with the minimum of reprocessing,
- Update the various graphic views easily,
- Contain control elements: totals, automatic controls (allowing errors to be highlighted and business alerts).
A good dashboard can therefore become an essential element for your development. It allows you to analyze your key figures, respond to specific issues for your development, set up effective operational alerts, allowing you to optimize your strategy.
You want to better understand your finance, get:
- Your customized dashboard,
- A FREE user guide,
- Free telephone support for one month following delivery of the dashboard.