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Business Intelligence Essay

1665 words - 7 pages


Business Intelligence

Philippe Polders
Sofie Theunissen
Brighid Verstrepen

3e bachelor BI
2012- 2013

Table of contents
Introduction 3
Mission, vision and balanced scorecard 3
Mission 3
Vision 3
Balanced scorecard 3
Strategic map 5
Management report 6
Evaluation of the KPI’s 6
KPI 1: Margin 6
KPI 2 and 3: Revenue on sales and Shipping costs 7
KPI 4: Customer size 7
KPI 5: On time delivery 8
KPI 6: Stock levels 9
KPI 7: Product portfolio 9
KPI 8: Sales per employee 10
KPI 9: Employee age 11
Management Advices 12
References 13

Northwind traders is a fictitious company which imports and exports specialty foods from ...view middle of the document...

1 customer = 10% of revenue | * More and better diversified means of transportation * More advertising |
Internal | * Employee age * Product portfolio and BCG * Sales quota per employee * Stock levels | * Average age: 30-35 * Target amount of products per category and product rank * € 70 000 per employee * Max. 50 units per product | * Hire younger employees * More suppliers * Create a rewarding system * Create JIT system with suppliers |

Strategic map

Revenue on sales

Shipping costs



On time delivery rate

Customer size


Stock levels
Sales quota per employee
Product portfolio

Employee age

Management report
The first part of our management report evaluates the KPI’s of Northwind Traders, we will check if the targets are met. After the evaluation we will suggest solutions to improve the situation for Northwind Traders.
Evaluation of the KPI’s
KPI 1: Margin

This graph shows the sum of revenues and the margin for each year. Our target was a margin of 60% of our revenues, if this target was met than the column Margin will be green. In this graph we can clearly see that we have met this target every year.

KPI 2 and 3: Revenue on sales and Shipping costs

The first KPI that is illustrated in this graph is the evolution of our revenue. The target we had to achieve was a 10% rise of revenue for each year. We have achieved this target between the years of ’94 and ’95, but during the next year we can see a decline in revenues. This can be due to the fact that we do not have the complete results of the year ’96. We predict that we would have met the target if we would have had the sales figures of the whole year.
The second KPI that is illustrated in the graph is the evolution of our freight cost. Our ambition is to lower our freight cost each year by 10%. The blue line on this graph shows us that we have a slight rise in our costs between ’94 and ’95. This rise in costs remains relatively constant during the next year. But the same lack of sales figures can be responsible for this constant level of costs.

KPI 4: Customer size

This pie chart represents the percentage of revenue per customer that contributes to the total revenue. We can see that our most important customers are QUICK-Stop, Save-A-Lot Markets and Ernst Handel. The target we had to achieve was that at least one customer contributed 10% to our total revenue. None of our customers have met this goal. When we checked this by setting boundaries to show us the customers who represented 10% of our total revenue, none were shown. When we lowered the boundary to 8% of total revenue, the three most important customers appeared. The chart below illustrates this.

KPI 5: On...

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