Imagine lying on the beach, soaking up the rays
knowing that when you get back to the hotel there
will be one sheet faxed to you that will enable
you to know – at a glance – how your company is
performing while you are away on vacation. If
you are like many busy entrepreneurs who know
all too well the reams of paper that fly through
your office at any given time, take heart. This
could be your reality.
When you step behind the wheel of your car, all
the vital information is right in front of you.
Indicators of speed, fuel consumption, oil level,
temperature gauge and RPMs allow you to avoid
unnecessary disasters such as running out of fuel,
overheating the engine or stripping out the gears.
Other information allows you to plan for the short-
or long-term future. You check the odometer to
plan for buying your next car and rely on your
maintenance records to ensure you maximize the
care of your investment.
Your business is much like your car. And, like
a car, all the information you need to keep it
humming like a top race car can be condensed down
to one sheet of paper. As the driver of your business,
what information do you rely on a daily basis
to drive your business?
For decades, business owners have accepted that
the mountains of paper that stream into their
offices are required to stay on top of their businesses’
performance. Now, we know that this is simply
not true. Success leaves clues and those clues
are found in your company’s Key Performance Indicators
These indicators allow you to know how well your
business is doing – at a glance. This means, that
one sheet of paper can help you drive your business
more profitably and efficiently than actually
wading through every figure in your financials.
In essence, these indicators and performance drivers
allow you to know which areas need attention,
which areas are running at top performance and
what you can do to maximize your resources to
attend to both. Of course, like the odometer on
your car, the historical documentation you currently
are managing still offers you valuable information
for other decisions you may make, including selling
or planning for succession.
Each business, regardless of the industry, has
a unique set of key performance indicators (KPIs)
that allow business owners and executives to strategically
manage the company’s operations. In today’s fast-paced
business world, it’s critical to leverage your
time whenever possible. If you could look at one
sheet of paper each day and know – without a question
of doubt – what needed to be tweaked to improve
performance, would you?
In short, this one sheet of paper – also called
a “Performance Dashboard” (much like the dashboard
on your car) – allows you to put the power of
performance to work for you. You can easily pinpoint
trends, evaluate available options, determine
solutions and maximize your opportunities. You
will quickly become proactive and, with strategic
action, you can realize vast improvements in performance.
An effective dashboard condenses information into
an easy-to-use format. It offers information in
a way that is meaningful to you, the business
owner, and connects to other information that
can be used for short- and long-term planning.
Some other items that may be on a typical dashboard,
& Gross Profit for the last three years
and rate of change for each.
& Gross Profit to date and current month.
revenue for the remainder of the year.
per employee and corresponding headcount.
$ sale (historical versus current).
of active customers, # of new customers &
# of lost customers.
of customer leads and conversion rates (historical
working capital (historical versus current
By developing a customized dashboard, you can rev
your engine only in the areas where it will be most
beneficial. To learn more about building your one-page
dashboard, give us a call today. We can put you
on the road to increased performance!