What is this tool?

This tool uses a combination of both an Analytic Hierarchy Process (AHP) and an Analytic Network Process (ANP) to help you select the KPIs/metrics relevant to your strategy and estimate their relevance. KPIs/metrics are categorised following the Balance Scorecard (BSC) perspectives:

• Financial Perspective: This perspective focuses on the financial performance of an organization. Key components include:
  • Revenue Growth: Monitoring the increase on the company's income over time.
  • Cost Management: Keeping track of operating costs and reducing unnecessary expenses.
  • Profitability: Measuring the net income after all expenses have been deducted from revenues.
  • Return on Investment (ROI): Assessing the efficiency of an investment or comparing the efficiency of several different investments.
• Customer Perspective: This perspective focuses on the satisfaction and retention of customers. Key components include:
  • Customer Satisfaction: Measuring how products or services meet or surpass customer expectations.
  • Customer Retention: Tracking the percentage of customers the company retains over a period.
  • Market Share: Evaluating the company's share of the market compared to competitors.
  • Customer Acquisition: Measuring the number of new customers or the increase in customer base.
• Internal Processes Perspective: This perspective focuses on the internal operational goals and outlines the key processes necessary to deliver the customer objectives. Key components include:
  • Process Efficiency: Evaluating how well internal processes convert inputs into outputs.
  • Quality Control: Ensuring products or services meet certain standards and reducing defects.
  • Cycle Time: Measuring the time taken to complete a process from start to finish.
  • Innovation Processes: Encouraging and managing new ideas and improvements in products, services, or processes.
• Learning and Growth Perspective: This perspective focuses on the intangible assets of an organization, primarily human capital, information capital, and organizational culture. Key components include:
  • Employee Skills and Competencies: Enhancing the skills and abilities of the workforce.
  • Employee Satisfaction and Retention: Measuring the satisfaction and retention rates of employees.
  • Training and Development: Providing ongoing education and professional development opportunities.
  • Organizational Culture: Promoting a culture that encourages continuous improvement and innovation.

How to use this tool?

To use this, you need to create an account and log in (top right of the navigation bar). Once you are logged in, you can then create and access your evaluations (My Evaluations in the navigation bar). Each evaluation corresponds to a single strategy, so you may want to create multiple ones. Once you have created an evaluation, all you have to do is to follow the steps and their instructions.

In practice, you will select how important each Balance Scorecard (BSC) perspective is for your strategy. Based on these perspectives, it will offer a selection of KPIs/metrics (you can create your own too) that you can select to include into your evaluation. How important KPIs/metrics are for your perspectives is set through the selection of preference levels (from 1 to 100). If some KPIs/metrics are computed based on others, you can then create relationships between them. It can even handle circular dependencies (e.g. metric1 depending on metric2 which depends itself on metric1)!

Finally, once everything has been selected and weighted, we provide an analysis that gives you some insights on what are the most important KPIs/metrics for your strategy. You will be able to download a PDF report. These insights can then be included in your own system used measure your KPIs/metrics to estimate the performance of your overall strategy.