From Data To Charts

Off-Site Training Document

This presentation stems from two useful books

Say it with Charts, The Executives Guide to Visual Communication., Fourth Edition, Gene Zelasny, McGraw-Hill, 2001

Say it with Presentations, How to Design and Deliver Successful Business Presentations., Gene Zelasny, McGraw-Hill, 2000

Agenda

Some healthy habits Choosing charts Using charts Visual concepts and metaphors

Some Healthy Habits

Cash flow from operations is increasing fast

Cash Flow Statement 2000 2010
- (in thousand) 2003 4.000 68.773 48.498 117.271 -85.240 -80.070 -18.279 -63.312 -25.488 80 -15.311 -835 0 0 -288.455 -171.184 0 -140.380 -140.380 155.782 0 0 0 155.782 0 0 155.782 0 0 155.782 311.564 0 4.000 2004 4.000 171.967 92.456 264.423 -155.097 -103.480 -36.983 -87.236 -36.373 80 -22.622 -470 -1.042 0 -443.223 -178.800 0 -117.067 -117.067 110.056 0 37.878 0 147.934 0 0 147.934 0 0 147.934 295.868 0 4.000

CF direct
IB Collections EQUIPMENT Collections CF OP in

2000 0 0 0 0

2001 0 0 0 0 0 -1.220 0 -13.748 -16.462 0 -1.766 -1.166 0 0 -34.362 -34.362 -31.250 -58.873 -90.123 64.211 0 0 0 64.211 63 0 64.211 0 0 64.274 128.485 4.000 4.000

2002 4.000 15.687 21.821 37.508 -31.644 -53.946 -5.780 -51.606 -19.070 40 -7.280 -1.086 0 0 -170.371 -132.862 0 -139.715 -139.715 136.288 0 0 0 136.288 0 0 136.288 0 0 136.288 272.577 0 4.000

2005 4.000 340.031 139.921 479.952 -209.080 -127.390 -59.398 -118.184 -54.683 80 -25.649 -138 -4.985 0 -599.426 -119.474 0 -91.542 -91.542 0 0 105.508 0 105.508 0 0 105.508 0 0 105.508 211.016 0 4.000

2006 4.000 610.887 187.623 798.511 -298.057 -156.484 -87.091 -153.624 -70.672 80 -25.207 0 -9.109 0 -800.164 -1.654 0 -71.210 -71.210 0 -16.053 44.458 0 28.406 0 0 44.458 0 0 44.458 72.864 0 4.000

2007 4.000 933.294 162.584 1.095.877 -335.102 -136.137 -97.646 -179.411 -79.321 80 -23.387 0 -10.331 0 -861.256 234.622 0 -74.695 -74.695 0 -50.125 0 0 -50.125 0 0 0 0 0 0 -50.125 109.802 113.802

2008 113.802 1.137.534 152.828 1.290.362 -354.726 -134.720 -98.166 -195.750 -83.383 1.178 -19.559 0 -8.067 0 -893.194 397.168 0 -73.677 -73.677 0 -89.070 0 -82.336 -171.406 0 0 0 -75.000 0 -75.000 -246.406 77.085 190.887

2009 190.887 1.226.762 94.280 1.321.043 -308.432 -126.114 -98.166 -204.251 -83.837 3.047 -13.904 0 -2.901 0 -834.560 486.483 0 -70.593 -70.593 0 -116.584 0 -105.508 -222.092 0 0 0 -150.000 0 -150.000 -372.092 43.798 234.684

2010 234.684 1.269.321 71.853 1.341.174 -279.895 -143.989 -98.166 -212.036 -86.112 4.256 -7.933 0 0 -145.923 -969.798 371.376 0 -74.896 -74.896 0 -100.532 0 0 -100.532 0 0 0 -200.000 -128.725 -328.725 -429.257 -132.776 101.908

Outpayment Accounts payable 0 Marketing & Sales (without Set-up, SIM-Card)0 Customer Care 0 Network 0 General & Administration 0 Cash interest 0 Long-term interest vendors 0 Commitment fee 0 Long-term interest banks 0 Taxes 0 CF OP out 0 CF OP 0 CapEx License Outpayment Network, IT, Other CF INV Increase long-term debt (vendors) Repayment long-term debt (vendors) Increase long-term debt (banks) Repayment long-term debt (banks) CF Liability Inpayment (Share capital) Outpayment (Share capital) Inpayment (additional Paid in capital) Outpayment (additional Paid in capital) Dividends CF Equity CF FIN CF Total EB 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

CF OP: Cash flow from operations; CF INV: Cash flow from investing activities; CF Liability + CF Equity: Cash flow from financing activities Source: XYZ Analysis

Cash flow from operations is increasing fast

Thousand

1,600 1,400 1,200 1,000 800 600 400 200 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Year

Growth is mainly driven by developing countries

Projected market demand for our product, by country, 2001-2010 US$ millions
Percent Annual Growth
1,289 340 552 2,660

$11,980

$8,100 946 Japan Industrialized Socialist Developing Socialist Developing Countries Other Western Countries Italy France West Germany U.K. Brazil Canada U.S.A.
239 313 1,225 618 365 405 415 265 493 505 2,311

2001

4.4 3.5 4. 6. 0 5 9. 0 2. 1. 9 1. 0 1. 5 0. 7 6. 7 3. 6 4 3. 5

800 400 463 483 282 876 685

3,150

2010

Growth is mainly within developing countries

Percentage Annual Growth, 2001-2010

Developing Countries Brazil

6.6
Developing Socialists

6.5
Others*

3-4

* Including Japan and Western Europe

Healthy habits checklist

Avoid Information Overload

Keep charts simple: no anxious parade of knowledge Use only one message per chart Show your message, not your analytical process

Mitigation strategies took the following form

Description Current demand forecasting methodology has some key weaknesses, which mean that the forecasts generated under-estimate the level of interest that the Promotion Campaign is expected to generate Impact D Probability D Proximity D Priority H

Context /Impact Broadband demand is higher than current forecasts indicate because: The impact of advertising on demand does not scale with size and breadth of campaign FOH and BOH estimates are underestimated Level of underlying demand is not well understood because 1) forecasts used for operations planning are ADSL specific while the campaign is broadband focused and 2) demand is only forecast for ADSL enabled exchanges If broadband demand is not confirmed and proposed P&A campaign adjusted to reflect this, underestimated demand at launch will result in: Reduced customer satisfaction Reduced customer service levels Increased and unanticipated review of service delivery budgeting (e.g. call centre staffing and training)

Mitigation Strategy Revise ADSL demand forecasting methodology to address key issues Above the line impact advertising impact on market size Below the line advertising forecasting Agree new FOH and BOH enquiry/sales conversion ratios with service delivery team and incorporate into demand model Once changes are incorporated, build in new reports to assess level of Broadband demand generated and to identify incremental impacts of proposed campaign Develop a revised P&A campaign scope which: Ensures size and breadth of promotion campaign in consistent with organisation capability to deliver

Timeframe 15 Sept

Resp. Star Tel Business Case Co-ordinator Star Tel Business Case Co-ordinator, Star Tel FOH Star Tel Business Case Co-ordinator, Star Tel Marketing Manager Star Tel Marketing Manager

22 Sept

10

Minimum legible font size depends on screen width and distance from screen
Width of screen Font size
16pt

6 ft
15 ft 23 30 35 45 50 62

8 ft
18 ft 25 35 40 50 60 70

12 ft
20 ft 27 45 50 60 70 80

18pt

20pt

22pt

24pt

30pt

32pt

11

Healthy habits checklist

Avoid Information Overload Make Charts For Presentations, not Reports

Keep charts simple: no anxious parade of knowledge Use only one message per chart Show your message, not your analytical process Use font size 16 or more! Write short sentences with action verbs, no bedtime stories Highlight key words (e.g., bold/ color)

12

Our companys sales trends, 1996 - 2001

US$ Millions
1996 1997 Major products share 1998

$1.2 1999

$1.8 2000

$0.9 2001

$2.0

$2.9

$3.4

13

Our sales have grown substantially since 1996, in spite of the decline in 1998
US$ Millions
4 3 2 1 0 1996

1997

1998

1999

2000

2001

14

Comparison of 2001 return on investment by company

15% 10% 5% 0% Competitor Competitor Competitor Our Competitor A B C Company D

15

In 2001, our company ranks first in return on investment

0% Our Company Competitor B Competitor D Competitor A Competitor C

5%

10%

15%

16

Market share trends, by company, 1996-2001

Market Share, 1996 20%
15%
Competitor C

10% 5% 0% 0%

Competitor A Competitor B

Our Company

Competitor D

5%

10%

15%

20%

Market Share, 2001

17

Our companys market share has improved since 1996

Our Company
15% 11%

Competitor B

Competitor C
14%

Competitor A

Competitor D

12% 10% 7% 10% 9% 6% 8%

96 01

96 01

96 01

96 01

96 01

18

Results of recent opinion poll of 16 top management executives

Should the political and social climate of developing countries influence our decision to expand into this market? Percentage of Total: 100% = 16

6 No

37.5% 50% 12.5%

8 Yes

2 Undecided

Source:

Recent opinion poll of 16 top management executives

19

Less is more!

Number of charts Density of information

Confusion Boredom Day-dreaming

20

Healthy habits checklist

Keep charts simple: no anxious parade of knowledge Use only one message per chart Show your message, not your analytical process

Avoid Information Overload

Make Charts For Presentations, not reports

Use font size 16 or more! Write short sentences with action verbs, no bedtime stories Highlight key words (e.g., bold/ color) Pick the right representation to highlight your message Use meaningful leads Remember than less is more
21

Ensure Powerful Communication

Meaningful leads checklist

Sentence (including verb) that describes the key message, not the data! Example: Our market share is growing, not Market share trends by company.

Lead is one line long at maximum! Lead explains the message from data, but does not fill data gaps!

22

Choosing Charts

23

There are 3 steps to choosing charts

1. Determine Your 2. Identify The Message Comparison

3. Select The Chart Form

24

It is key to first be clear about the specific point you want to make

1. Determine Your 2. Identify The Message Comparison The data does not determine the chart Rather, it is your message, what you want to show, the specific point you want to make

3. Select The Chart Form

25

Work Project 1

On the following pages, you will find tabular data on the net sales, earnings before interest and taxes, and return on assets over 10 years for seven major U.S. book publishers. Assume Macmillan is our client. On the next page, write a list of 10 possible messages the data might yield, based upon your analysis of the data. Dont worry whether or not the messages are accurate. As you write the messages, keep in mind these word: Share Rank Trend Distribution Relationship
26

Publishing Industry, 1970-1980

Net Sales, $ Millions 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980

Grolier, Inc. Harcourt Brace Jovanovich Harper & Row Publishers, Inc.

231.6 134.1 61.0

256.5 142.0 65.6 64.5 386.6 404.9 134.7

292.6 163.6 69.0 71.4 393.9 430.1 144.1

317.5 176.9 72.5 81.2 420.4 470.3 153.2

252.2 204.6 82.5 89.3 466.6 510.4 176.1

248.7 241.3 89.7 97.1 477.3 536.5 194.0

247.0 270.4 93.2 108.7 493.4 589.8 209.6

221.4 371.1 114.4 124.4 512.7 659.0 230.6

242.8 413.3 137.1 146.2 553.5 761.2 254.9

278.4 456.2 167.1 158.3 529.8

312.7 504.0 170.2 163.9 566.0

Houghton Mifflin Co. 59.3 Macmillian Inc. McGraw Hill Inc. Prentice Hall Inc. 400.3 394.8 128.3

879.9 1,000.1 281.6 353.4

Total 1,409.4 1,454.8 1,564.7 1,692.0 1,781.7 1,884.6 2,012.1 2,233.6 2,509.0 2,751.3 3,070.3
27

Publishing Industry, 1970-1980 (Contd)

Earnings, Before Interest and Taxes, $ Millions 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980

Grolier, Inc. Harcourt Brace Jovanovich Harper & Row Publishers, Inc.

30.3 16.0 3.8

29.2 16.9 4.5 8.5 24.4 40.0 31.2

28.2 18.6 5.3 9.3 31.8 47.1 34.0

29.5 21.1 5.7 12.9 39.4 60.9 36.5

-30.6 24.3 6.7 12.1 39.1 66.5 36.8

7.8 30.9 8.0 14.1 35.1 71.8 39.0

-50.7 33.8 9.9 16.2 41.3 87.6 39.0

16.1 42.0 11.2 19.5 47.5 109.7 46.7

17.1 49.6 9.4 26.2 54.2 134.2 52.9

19.2 54.6 14.1 27.4 39.3 157.7 52.1

29.4 55.8 15.5 19.5 34.2 179.0 64.3

Houghton Mifflin Co. 7.9 Macmillian Inc. McGraw Hill Inc. Prentice Hall Inc. 22.5 43.4 30.0

Total

153.9

154.7

174.3

206.0

154.9

206.7

177.1

292.7

343.6

364.4

397.7
28

Publishing Industry, 1970-1980 (Contd)

Return On Assets, Percent Earnings Before Interest And Taxes As a Percent of Total Assets 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980

Grolier, Inc. Harcourt Brace Jovanovich Harper & Row Publishers, Inc. Houghton Mifflin Co. Macmillian Inc. McGraw Hill Inc. Prentice Hall Inc.

8.6 15.7

7.3 15.1

6.0 14.8

5.8 16.5

7.6 15.5

-2.5 18.7

-21.7 13.4

6.7 14.1

6.7 15.8

7.0 15.7

10.2 14.9

6.5 14.5 5.4 12.6 30.1

7.7 14.7 6.0 11.4 28.3

8.6 14.5 7.9 10.9 30.0

9.0 16.8 9.5 13.8 30.3

49.8 15.3 58.4 14.9 27.1

11.2 16.2 7.8 15.8 25.7

11.9 17.0 8.3 18.2 22.8

12.2 18.5 9.0 20.0 26.2

6.3 23.1 9.6 21.8 26.8

9.6 21.5 8.2 21.2 19.4

11.3 14.4 8.0 22.8 21.7

29

Messages

1.

________________________________

6. ________________________________

2. ________________________________

7. ________________________________

3. ________________________________

8. ________________________________

4. ________________________________

9. ________________________________

5. ________________________________

10. ________________________________

30

The second step is to identify the comparison included in the message

1. Determine Your 2. Identify The Message Comparison

3. Select The Chart Form

Component Item Time series Frequency distribution Correlation

31

Any message always leads to one of five basic kinds of comparisons (1 of 2)

Definition of Comparison
Shows the size of each parts as percentage of total

Example of Message
In May, Product A accounted for the largest share of total company sales Client share of market in 2001 is less than 10 percent of the industry Two sources contributed almost half of total corporate funds In May, sales of Product A exceeded those of Products B and C Clients return on sales ranks fourth Turnover rates in the six departments are about equal Sales have risen steadily since January Return on investment has decreased sharply over the past five years Interest rates have fluctuated over the past seven quarters
32

Component

Item

Compares how things rank; are they the same, more, or less than others

Time Series

Shows how things change over time, whether the trends are increasing, decreasing, fluctuating, or remaining constant

Any message always leads to one of five basic kinds of comparisons (2 of 2)

Definition of Comparison Frequency Distribution
Shows how many items fall into a series of progressive numerical ranges; e.g., how many employees earn less than $30,000; how many people are between 10 and 20, 20 and 30, etc. Shows whether the relationship between two variables does or does not follow a pattern you would normally expect

Example of Message
In May, most sales were in the $1,000 to $2,000 range The majority of shipments are delivered in five to six days The age distribution of company employees differs sharply from that of our competitor Sales performance in May shows no relationship between sales and the salespersons experience Chief executive officer compensation does not vary with size of company Size of policy increases with policyholder income

Correlation

33

Each comparison usually involves a set of typical keywords

Meaning Component Item Time Series Frequency Distribution Correlation

Percentage of a total

Typical Keywords
Share, percentage of total, accounts for X percent, half of total,

Ranking of items

Ranks, larger than, smaller than, equal to, Trend, change, grow, rise, decline, increase, decrease, fluctuate, X to Y range, concentration, frequency, distribution, occurrence, center, Related to, increases with, decreases with, changes/varies with, correlated,
34

Changes over time

Items within ranges Relationship between variables

Work Project 2
The messages shown on the next two pages are based on actual analysis of the publishing industry data.

Please identify the comparison or dual comparison indicated by each message.

35

Work Project 2 (1 of 2)
Messages
1. In 1970, the top three companies generated 73% of total industry sales. 1.

Comparisons
________________ ________________ ________________ ________________ ________________ ________________

2. Macmillan accounted for 18% of total industry sales in 1980. 2. 3. Macmillan sales have risen 41% since 1970. 4. The majority of companies are concentrated in the 10% to 20% share of sales range. 5. In 1970, Macmillan accounted for almost 16% of industry earnings; in 1980, it accounted for only 9%. 6. Since 1970, Macmillans return on assets has not kept pace with that of the industry as a whole. 3. 4. 5. 6.

36

Work Project 2 (2 of 2)
Messages
7. Macmillan had the lowest return on assets of any competitor in 1980. 8. There is no relationship between share of industry sales and return on assets in 1980. 9. In 1980, four of the seven companies had return on assets between 10% and 20%. 10. Macmillans earnings have not kept pace with the industrys since 1978. 11. Macmillan and Houghton Mifflin were the two companies with earnings declines between 1979 and 1982. 12. In 1980, Macmillan accounted for 18% of total industry sales, but only 9% of earnings. 7. 8. 9.

Comparisons
________________ ________________ ________________

10. ________________ 11. ________________ 12. ________________

37

The final step is to select the right chart form

1. Determine Your 2. Identify The Message Comparison

3. Select The Chart Form Pie chart Bar chart Column chart Line chart Dot chart

38

There are five basic chart forms to plot data

The Pie Chart The Bar Chart

The Column Chart

The Line Chart

The Dot Chart

Every data chart is composed of one or more of the five basis chart form

39

All basic types of charts are frequently used

Typical Amount in a Presentation Pie chart Bar chart Column chart ~ 50% Line chart Dot chart Combinations ~ 10% ~ 10% ~ 5% ~ 25% ( Typically way overused!)

40

Each chart form is best equipped to illustrate one of five comparisons

Kinds of Comparison
Time Series Component Item Frequency Correlation

Basic Chart Forms

Dot

Line

Column

Bar

Pie

41

Using charts

42

How to chart different comparisons

Component comparison Item comparison Time series comparison Frequency distribution comparison Correlation comparison

43

Company A has the smallest share of industry sales

Company A Company D

No more than six components (use others category) Position the most important component against the 12 oclock line, or rank components by decreasing size clockwise

Company C

Company B

Emphasize most important component with color/ shading

44

Product design accounts for less than 10% of total cost

Design Service Manufacturing

Be creative to add emphasis

Sales Distribution

45

10% of the employees under 30 years have postgraduate degrees

Total Employees 100%

100%

Postgraduate College graduate

Use in conjunction with bar charts Avoiding using too many pie charts

Over 30 years

Under 30 years

High school graduate

46

Our label distribution is different from theirs

Poor Total us
Label C Label A

Preferred Total them

Label C Label A

Total
Label C

us

them

Label B Label B Label B Label A

When comparing components, definitely use bar charts rather than pie charts

47

How to chart different comparisons

Component comparison Item comparison Time series comparison Frequency distribution comparison Correlation comparison

48

Clients return on sales ranks fourth

Competitor D Competitor B Competitor A Client Competitor E Competitor C 4% 10% 9% 8% 15%

20%

Use a scale or numbers, not both Round-out figures Use color to emphasize

49

There are six variations of the bar chart form

A deviation bar chart

distinguishes the profit winners from the losers

A sliding bar chart

shows the different mix of two components, e.g., percentage of imports versus percentage of exports

A range bar chart

shows the spread between low and high amounts, e.g., range of discounts

A paired bar chart

shows the correlation between two items, e.g., growth of market versus share of market

A grouped bar chart

Compares various aspects of the same item, e.g., with and without discount

A subdivided bar chart

shows the components that make up the total

Use them!
50

Although total fringe benefits vary, profit sharing is the largest portion in all industries

Profit sharing
Industry A Industry B Industry C Industry D Industry E Industry F

Other benefits

51

Product mix varies by area

Products A
Industry A Industry B Industry C Industry D Industry E Industry F

52

Our company is above the average in both categories of sales

Category A
Company 1 Company 2 Company 3 Our Company Company 4 Company 5

Category B

Average

53

How to chart different comparisons

Component comparison Item comparison Time series comparison Frequency distribution comparison Correlation comparison

54

Clients return on sales ranks fourth

Millions
40

30

Use column chart for small set of data points if large set, use line chart

20

10

0 1995 1996 1997 1998 1999 2000 2001

55

There are five alternatives to column charts

The deviation column chart distinguishes, say, the profitmaking years from the losing one

The range column chart shows the spread between low and high amounts, like the barometric performance of the stock market

The grouped column chart, with columns either butting against one another or overlapping, compares two items at each point in time and shows how the relationships change over time, e.g., dollars with inflation and discounted for inflation The subdivided column chart shows how the components contributing to the total vary over time, e.g., salary plus fringe benefits adding to total compensation

Use them!

The step-column chart leaves no space between the columns and is best used to show data that change abruptly at irregular intervals, such as personnel ceilings or capacity

56

Projected growth appears unrealistic in light of performance over past 7 years

Millions
40

Projected

With too many data points, use line charts Can add emphasis, such as area shading

30

20

10

0 1995

1996

1997

1998

1999

2000

2001

57

When using line charts, avoid too many lines at once

The Spaghetti Chart

A B C D E

Untangling the Mess

A B

A C

A D

A E
58

Annual cash flow turns positive in 1998, allowing for break-even in 1999
Millions

Cumulative

Use combination of lines and columns for comparisons

Annual

1996

1997

1998

1999

2000

2001

59

How to chart different comparisons

Component comparison Item comparison Time series comparison Frequency distribution comparison Correlation comparison

60

The majority of shipments are received in 5 to 6 days

Numbers of orders

Use histograms with relatively few buckets Try different levels of precision to extract patterns

1-2

3-4

5-6

7-8

More than 8

Days

61

Most sales are between $30 and $50

Numbers of Sales
70 60 50 40 30 20 10 0 $10 20 30 40 50 60 70 80 90 $100

Use histographs with many data points

Size of Sales
62

The age distribution of company employees differs sharply from that of the companys competitor

Numbers of orders

Use lines and columns for comparisons

Company

Competitor

Under 30-34 30

35-39

40-44

45-49

50-54 55 and over

Age

63

More employees in the higher salary brackets have degrees

Total Employees

Without Degrees

With Degrees

II

III

IV

VI

VII

Salary Grades

64

How to chart different comparisons

Component comparison Item comparison Time series comparison Frequency distribution comparison Correlation comparison

65

There is no relationship between discount and volume sold

Discount

Ex

e ect p

rn tte Pa

Unit Volume Sold

66

There is a relationship between lower prices and increased volume sold

Price

Ex pe cte dP

att ern

Volume Sold

67

In Plant B, employees with more education receive higher salaries

Weekly Wages

With college education

Employees without college education

Education Level

68

There is a relationship between lower prices and increased volume sold

Price Sale 1 2 3 4 5 6 7 8 9 Volume

69

We are well positioned in the marketplace

Profit Contribution $ Millions

Market Attractive

>5 1-5 <1

Company Strengths

70

One of our three business units has moved into a loss position
+ A Return on 0 Assets 0 Return on Spending + 1999 2000 2001

+ B Return on 0 Assets 0 Return on Spending +

+ C Return on 0 Assets 0 Return on Spending +

71

Work Project 3

On the following pages, you will find several sets of data drawn from the analyses of the publishing industry data. On the basis of the data, please sketch the appropriate charts. Dont worry about accuracy a quick sketch is sufficient. Also, write the message title you would use to reinforce each chart in the upperleft-hand space of the page. In every instance, be sure to identify the kind of comparison the message implies, and refer to the matrix to select the appropriate chart form.

72

3A. On the basis of the following data, sketch a chart to demonstrate Macmillan's share of publishing sales in 1980 compared with that of its competitors
Share of Industry Sales By Company, 1980 (Percent)
Houghton Mifflin Harper & Row Prentice-Hall Harcourt Brace Grolier McGraw-Hill Macmillan 5.3 5.6 11.5 16.4 10.2 32.6 18.4 100.0
73

3B. On the basis of these data, sketch a chart that demonstrates how Macmillans return on assets ranks in the industry in 1980
Return on Assets, 1980 (Percent)
Houghton Mifflin Harper & Row Prentice-Hall Harcourt Brace Grolier McGraw-Hill Macmillan 14.4 11.3 21.7 14.9 10.2 22.8 8.0
74

3C. On the basis of the data, sketch a chart that demonstrates whether or not a relationship exists between share of sales and return on assets in the publishing industry in 1980
Share of Industry Sales, 1980 (Percent)
Houghton Mifflin Harper & Row Prentice-Hall Harcourt Brace Grolier McGraw-Hill Macmillan 5.3 5.6 11.5 16.4 10.2 32.6 18.4

Return on Assets, 1980 (Percent)

Houghton Mifflin Harper & Row Prentice-Hall Harcourt Brace Grolier McGraw-Hill Macmillan 14.4 11.3 21.7 14.9 10.2 22.8 8.0
75

3D. With this data, sketch a chart that demonstrates the trends on an index basis for Macmillans sales and earnings between 1970 and 1980, using 1970 as the base year
Macmillan Net Sales $ millions 1970 = 100 400.3 100 386.6 97 393.9 98 420.4 105 466.6 117 477.3 119 493.4 123 512.7 128 553.5 138 529.8 132 566.0 141 Macmillan Earnings $ millions 1970 = 100 22.5 100 22.4 100 31.8 141 39.4 175 39.1 174 35.1 156 41.3 184 47.5 211 54.2 241 39.3 175 34.2 152
76

1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980

1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980

3E. On the basis of these data, sketch a chart that demonstrates that a majority of companies have a share of industry sales between 10 and 20 percent in 1980
Share of Industry Sales by Company, 1980 (Percent)
Grolier Harcourt Brace Harper & Row Houghton Mifflin Macmillan McGraw-Hill Prentice-Hall 10.2 16.4 5.6 5.3 18.4 32.6 11.5
77

3F. On the basis of the following data, sketch a chart that demonstrates the changing mix in share of industry sales from 1970 to 1980. Emphasize Macmillans share
Share of Industry Sales By Company, 1970 (Percent)
Grolier Harcourt Brace Harper & Row Houghton Mifflin Macmillan McGraw-Hill Prentice-Hall 16.4 9.5 4.4 4.2 28.4 28.0 9.1 100.0

Share of Industry Sales By Company, 1980 (Percent)

Grolier Harcourt Brace Harper & Row Houghton Mifflin Macmillan McGraw-Hill Prentice-Hall 10.2 16.4 5.6 5.3 18.4 32.6 11.5 100.0
78

3G. With these data, sketch a chart that demonstrates the change in earnings between 1979 and 1980 for each of the seven companies

Earnings, 1979 ($ Millions)

McGraw-Hill Prentice-Hall Harcourt Brace Macmillan Houghton Mifflin Harper & Row Grolier 157.7 52.1 54.6 39.3 27.4 14.1 19.2

Earnings, 1980 ($ Millions)

McGraw-Hill Prentice-Hall Harcourt Brace Macmillan Houghton Mifflin Harper & Row Grolier 179.0 64.3 55.8 34.2 19.5 15.5 29.4
79

Work Project 4

On the following pages, you have six charts to sketch. In each case, the message title and the chart do not work together for one of three reasons: The wrong chart has been selected to support the message title The scales chosen do not stress the message The chart is too complex and fails to communicate effectively

For each chart, identify the problem and sketch a new chart that demonstrates its message more quickly and clearly. Refer to the matrix where appropriate.

80

4A. Sand usage at Russel has not varied markedly over a 49 week period
Number of Weeks

19

16

9 5

Sand Cars Delivered at Coal Dock Each Week

Plotting Data

Week Cars

1 3

2 3

3 3

4 3

5 3

6 3

7 3

8 3

9 3

10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 3 2 2 2 2 3 3 3 3 4 4 4 4 4 4 4

Week 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 Cars 4 4 4 4 4 5 5 5 5 5 4 4 4 4 3 3 3 3 3 2 2 2 2 2

81

4B. This chart was intended to show that the client has built share in acetic acid and vinyl acetate, remained constant in polyethylene, and lost share in ethanol
Chemicals Corp. Market Share Change 1981 to 1983
Market Share, 1981
25

A
20 15 10 5 0 0 5 10 15 20 25

Acetic Acid Ethanol Polyethylene Vinyl Acetate

B D

B C D

Market Share, 1983

82

4C. Product Cost Varies Widely

(Cents/Cubic Inch)
20 15 10 5 0

January

December

83

4D. This chart attempts to demonstrate that you should take Aspirin (A) instead of Bufferin (B) because it enters your bloodstream more quickly and has a more lasting effect. Taking note of the scales used, sketch a chart that demonstrates the comparison more convincingly
Comparison of Pain Relief Effectiveness (Aspirin Vs. Bufferin)
1.4

Pain Relief Scores

1.3 1.2 1.1 1.0 0.9 0.8 0.7 0.6 0.5

A B

15

30

45

60

120

180

240
84

4E. The intent of this chart was to demonstrate that the cost per subscriber would not increase in proportion to total construction costs. Sketch a chart that will show the relative increases more accurately
Construction Costs For Existing And New Urban Cable Systems
Cost Per Subscriber ($)
$533 $40 $300 $15

Total Construction Costs ($ Millions)

Existing System

New System

Existing System

New System

85

4F. This chart form, while appropriate, is more complex than it needs to be to communicate its message. Sketch a new chart that will support the message title more quickly and clearly
Small Machines Account For Major Percentage of Sales In Seven Loading Markets
Total, $ Millions Backhoes Graders Hydraulic Excavators Small Wheel Loaders Crawler Loaders Small Dozers Off-Highway Trucks Scrapers Large Wheel Loaders Large Dozers $2,311
20 4 8 12 5 11 8 10 10 5 15 7 7 4 6 12 6 17 2 5 20 7 7 4 3 18 30

$505
5 16 8 14 14 5 15 1

$493
10 1

$365
16 4 30 31 18 15 6 4 9 3 8 4

$405
17 1 24

$265
8 3

$415

32

11 21 11 6 7 3 4 16 8 9 6 2 10 1

Small

U.S.

Canada

Brazil

Italy

France

U.K.

West Germany

Large

86

Visual Concepts and Metaphors

87

Changing Course

88

Changing Course

89

Circular Flows

90

Circular Flows

91

Circular Flows

92

Filters and Screens

93

Forces at Work

94

Forces at Work

95

Forces at Work

96

Forces at Work

97

Interrelationships

98

Interrelationships

99

Interrelationships

100

Interrelationships

101

Interrelationships

102

Interrelationships

103

Interrelationships

104

Interrelationships

105

Interrelationships

106

Interrelationships

107

Leverage/ Balance

108

Leverage/ Balance

109

Linear Flows

110

Penetration

111

Processes

112

Vertical Flows

113

Vertical Flows

114