The Metrics That Matter: Learn how to choose the right metrics for your dashboard
Unlocking meaningful insights for business and their impact on project outcomes.
Avoiding Vanity Metrics and Focusing on Impactful Data
In the realm of business intelligence (BI), vanity metrics can often mislead stakeholders as they seem impressive but do not provide valuable insights or reflect actual performance. To develop meaningful, informative, and actionable dashboards that drive success, consider these key aspects while choosing metrics for your project:
- Dashboard Simplicity and Focus: Prevent confusion and maintain dashboard effectiveness by concentrating on relevant and actionable key metrics, covering 80% of common use cases. Avoid cluttering your dashboard with irrelevant or unnecessary metrics.
- Business Objectives Alignment: Prioritize metrics that directly support your organization’s goals and measure success. For instance, if the objective is to increase sales, focus on revenue-related metrics over customer satisfaction.
- Technological and Process Compatibility: Ensure that the required technologies and processes are in place to obtain and analyze data for your chosen metrics.
- Data Cadence Consideration: Take into account the frequency at which data becomes available, as varying cadences can make metric reviews more complicated.
