Rully Agus Hendrawan eraha@is.its.ac.

id
Business intelligence &
Data Warehouse
Measure Metrics KPI
Lecture
Disclaimer
Private use only
Dont distribute this document along with its
accompanying materials anywhere else
You cannot manage
what you do not measure
Measure:
evaluate or estimate
the nature,
quality,
ability,
extent, or
significance of;
to Measure =
to Count
Albert Einstein
"Not everything that counts can be counted,
and
not everything that can be counted counts."
Albert Einstein
"Not everything that counts can be counted,
and
not everything that can be counted counts."
Albert Einstein
"Not everything that counts can be counted,
and
not everything that can be counted counts."
"Not everything that counts can be counted,
You cannot manage
what you do not measure
"Not everything that counts can be counted,
I want to manage my employees
"Not everything that counts can be counted,
I want to manage my employees
I want to measure the
performance of my employees
"Not everything that counts can be counted,
I want to manage my employees
I want to measure the
performance of my employees
How can you count this?
Key Indicator
Performance of employees
How many times he/she comes late
% deadline
% presence / absence
etc
Key Indicator
Performance of employees
How many times he/she comes late
% deadline
% presence / absence
therere many things that
can be counted
Key Indicator
Performance of employees
How many times he/she comes late
% Deadline
% Presence / absence
etc
but, remember
Albert Einstein
"Not everything that counts can be counted,
and
not everything that can be counted counts."
Albert Einstein
"Not everything that counts can be counted,
and
not everything that can be counted counts."
Eg.
How many stars in the sky?
How many hairs do you have on your head?
Albert Einstein
"Not everything that counts can be counted,
and
not everything that can be counted counts."
Why?
not everything that can be counted counts."
not everything that can be counted counts."
I want to manage my employees
NOT
- important
- significant
- related
to/for
our objective
Qualitative
Non numerical data
About quality
It counts but most likely can not be counted.
How to count Quality?
Quantification!
Qualitative Quantitative
Quantitative
Numerical data
Easier to summarize and compare
It can be counted, but does it counts?
Scale / Level of Measurement
Nominal
Just Different
Gender
MALE
FEMALE
Ordinal
Can be ranked
Socioeconomic status
High
Medium
Low
How important is religion to you?
Not very
Fairly
Very
Most
Interval
Can be ranked, Equal distance
No absolute zero
Fahrenheit temperature scale
17-18 = 89-90
IQ
Ratio
Nominal + Ordinal + Interval
True Zero
Age, Cash youre carrying, Number of siblings, GPA
More about measurement
ftp://ftp.sas.com/pub/neural/measurement.h
tml
Samples (Warehouse / Stock)
Google search, warehouse performance
metrics, warehouse performance
indicators,
http://www.associatedcontent.com/article/93
7015/business_tips_performance_metrics_for
.html?cat=3
http://www.logisticsmgmt.com/article/CA629
9814.html