Finance KPI driven companies, before, relied on traditional management systems that took weeks and months to generate report. However, there is a new trend that makes data analysis available, in days.
Finance KPI or key performance indicators have been around since business execs learned how to evaluate and measure the success charisma of corporate activities. Today, even the smallest corporation now has its own robust system of managing performance. But as companies look after Fortune a-listers, software developers, corporate moguls and IT managers are consistently looking for new ways to improve KPI integration.Currently, there are four new trends in incorporating KPI into the financial aspects of a business operation. First, the new drift in managing company performance is the role-oriented key performance indicator tools. These tools are primarily designed for small and medium-sized organizations who are willing to keep track and assess different business procedures.The second trend is integration. KPI applications are now being incorporated into today’s office applications, which now allow easy linking or implementation in existing platforms.The third is data specialization. The present systems now allow managers to access data that are specific to their needs. Finally, there is the data cooperation. With the latest systems, a more precise data is achieved.The latest release of this performance management systems still cling to the original purpose of KPI which is to give managers a bird’s eye view of the company’s present performance. However, where complex organizations and activities thrive, there had risen a need to concentrate on specific departments, be it sales, operations, accounting or customer service. This was how role-oriented KPI tools were born.Companies who have already implemented the role-oriented system have regarded it as KPI personalization. Usually, the older performance management systems provided the same data to all departments. Now, there is specific data for a specific role. A good example was when a certain company wanted a data analysis of its three hundred unique projects. Typically, the KPI system will just collect all the data from all departments for the executives’ use. What they get however is the accumulated data, there are no specifics.With the new approach, collection is made different. It segregates data based on work force, expenses, accounts receivables and accounts payables. The result is a comprehensive report that can be sorted out but customer, city, country or region.Another great advantage of this new solution is faster data gathering. Systems before would took managers weeks and even months accumulating data and generating reports for the various levels of the company. The new approach has literally reduced the process time from weeks to just merely days.The new system indeed is very efficient. But collection of data however is no different from traditional KPI systems. Developers of the role-oriented tools explain that the concept is the same. It starts by gathering data from the internal database. Then it sorts out the data into different types usually in columns that are labeled as expense data, services time, inventory, or orders, etc. After sorting out the data appropriately, the system will then generate an executive-friendly graphic report.Fast processing, robust report generation and user friendly graphic presentations, these are just some of the benefits you can get with role-oriented management systems. An essential tool for finance KPI conscious managers, this is one big investment that any small or midsize organizations cannot afford to miss.