KPI stands for Key Performance Indicators. As an example, Net Sales and Gross Profit in a particular month are two of the major KPIs in the Finance Department. Companies go for BW as they want to see their major KPIs in the form of easy to use and visually appealing BI reports.
Once the BW implementation starts, most of the companies have already an ECC system in place. In some cases, it may happen that the instead of ECC system, they are using flat files in the form of excel reports.
The main task for BW team here is to find out which KPIs business is using and any new KPIs they want to analyze through BW implementation. Thus, client meetings and gatherings pay a key role here. You have to also ask for any legacy reports from business to analyze the current scenario and propose BI reports.
Here, the legacy reports or OLTP reports from ECC system are studied by the BW team to find out the measures, dimensions and derived measures.
Then form each of these reports, BW comes up with a list of KPIs along with the logic or formula used to derive that KPI.
Below is the step by step procedure to create such KPI report-
- Attend client meetings, take note of new requirements
- Study the existing reports and make a list of KPIs already being reported
- Write down the logic to derive each existing KPI as well as expected logic for a new KPI
- Note down the point of contact and department for each KPI
All these points can be tabulated in an excel format which will be your KPI requirements document. This can be presented to the client for a review to check that all the requirements are covered.