[This is the first in a series of blogs on the Birst Value-Based Design (VBD) process. This installment focuses on identifying the top metrics for any analytics deployment, and future blogs will cover other aspects of the VBD process.]
We at Birst have had the privilege of working with companies of different sizes, in a variety of industries across the globe, as they transform their organizations with analytics. As a result, we have learned a great deal about what leads to analytics success. One of the most effective processes we have developed to help customers benefit from data-driven insights is what we term “Value-Based Design.”
Value-based Design is an approach to applying business context to your analytical systems, such that you help people focus on improving the most critical metrics for them in their roles. It also helps focus the analytics deployment and rollout efforts, so solutions can be launched more quickly and delivered to end users more successfully. This dramatically increases the overall success of our customers by shortening their time-to-value, increasing adoption and driving greater business impact.
This game-changing approach is captured in a series of key business questions that identifies the business value and the factors internally that impact it. The process begins with the identification of what we term a “Key Value Indicator,” or “KVI.”
A KVI is the metric on which the highest ranking person in an organization gets measured – the metric that will cause the leader of that group of people to either get a big bonus at the end of the year or get fired. For instance, the KVI for a VP of worldwide sales is generally “revenue” or, in the case of a subscription software company, “new license subscription bookings.”
Every group of people has a metric on which they primarily are measured, so the KVI for each group should be relatively easy to find. The next step is identifying the metrics that drive that KVI, or the “KVI Drivers.” These drivers, when changed in one direction or another, have the most impact on the KVI.
Ultimately, the goal is to help business users boost the KVI by improving the KVI Drivers. There are many other steps in the process, but the first two show how Birst uniquely helps our customers focus on the end goal before the project begins. This helps us deliver the highest success rates in the enterprise analytics industry.