Introduction
Presenting data is art. You are taking raw and unfiltered data and turning it into something visually appealing so that it is easily readable and analyzable. Turning data into charts and graphs isn’t necessarily easy, but with the proper practice, guidance, and tools, you can do it, too. The purpose of data visualization through dashboards is to convey the appropriate message correctly so that you can be as efficient as possible.
Have you heard the phrase “dress for success?” The way you dress shows people how you want to portray yourself. You are visualizing success. Dashboards are no different. Visualizing important data on dashboards lets you get a clear view of your company’s day-to-day activities and history to predict what is to come.
When it comes to shadow trackers, it is prudent to convey all data clearly and efficiently so that you can identify trends and patterns that may come up using past data. When you use dashboards efficiently, you can portray any information you want to get a clear view of history for future use.
The Dashboard 5
Dashboards are a fun yet essential way to visualize data, but there are nine key reasons why dashboards are great visualization tools for any occasion.
- Never have to guess again!
Dashboard designs are clear, and although some interpretation is involved, the data only allows for a bit of guesswork. You can display all data, including historical data, so you don’t have to guess about the data or second guess yourself.
- Make decisions quickly!
Dashboards can handle real-time data updates so that there is a quicker turnaround. An effective dashboard design can show you the ‘big picture’ and allow you to perceive it within 5 seconds. This way, new trends or changes can be spotted faster. Users can track metrics and see changes as they occur to avoid missing anything.
- Important metrics are highlighted!
Just as necessary as it is to see data updated in real-time to make swift decisions, poorly executed dashboard designs may result in missing essential data or key performance indicators. When the order and presentation of the dashboard are thoughtfully presented, you can frame the most critical metrics to stick out, highlighting them for your audience.
- Contextualize your data!
Effective dashboard designs will present the most critical metrics, highlighting the data. It does more than allow you not to miss any important data; it also provides more context surrounding your data. Designing dashboards that can access underlying data supporting the critical metrics is a great way to get more context surrounding your data.
- Track Success!
You can track key performance indicators using dashboards to know whether you should change your approach. When the dashboard design is done correctly, users can see KPIs clearly, making it more efficient to read data and gather clues to make more informed decisions. Effective dashboard designs also highlight when a strategy is working and compare strategies to stay on the path of success.
Businesses can only generally function with dashboards. They act as the backbone of any data-driven decision-making.
What are the four types of dashboards?
An important factor in success through dashboards is choosing the right one. Four types of dashboards can help you solve different problems, so choosing the right one is essential. Let’s go through the four types of dashboards you can select from.
- Strategic Dashboards- These dashboards are focused on long-term strategies and conveying high-level metrics. They are designed to monitor long-term company strategy and are mainly used by senior-level management or people who are equipped to read and understand high-level data. A strategic dashboard should display goals, projects, action items, and critical measures.
*Reference image for a strategic dashboard.
Analytical Dashboards- These dashboards contain data created using analysis tools. These come in handy to analyze historical data to identify trends, compare multiple variables at once, and even identify future trends using previous patterns. Analytical dashboards are meant to be implemented in business intelligence strategies using programs like SaaS.
Operational Dashboards- These dashboards are used for managing and monitoring shorter, frequently changing dashboards. They track key performance indicators and measure progress toward your goal. The data needs to be updated frequently, every minute so that the data is accurately represented. Google Analytics is a great tool to create operational dashboards.
Informational/tactical Dashboards- Finally, these dashboards are called informational dashboards because they provide essential information for specific sections of your business. These dashboards convey information to clients about goals achieved during a particular time.
To choose the appropriate dashboard, ask yourself these questions.
‘What is the main purpose of my dashboard?’
‘What information do I want my dashboard to convey?’
Answering some such questions will allow you to determine which type of dashboard you should use to present to your targeted audience.
Use Cases for Data Analytics Dashboards
Learning about the types of dashboards can help you make faster, more accurate decisions about which ones you should use to portray which data. Companies have used extensive data analytics dashboards to derive value.
Take the oil and gas industry, for example. Imagine you have thousands of data points daily- you need to know where to drill, when to drill, where you have already prepared, daily drill performance, weather forecasts, fleet management, etc. Oil industry professionals can visually analyze data, conclude why certain places are performing well, and even identify production trends across basins. Dashboards help professionals visualize and interact with hundreds of datasets to determine where to make investments, rank performance, and track correlations.
During the Covid-19 pandemic, data maps were updated with real-time information. With a single search, you can see stats updated in real time about cases worldwide. It allowed people to measure the effectiveness of quarantine orders and mask mandates helping hospital administrators and lawmakers make better informed decisions.
Conclusion
Dashboards are used to represent all types of data visually; there are different dashboards you can choose from depending on what information you want to portray to whom. There are many tools to create dashboards, and finding the right one for you can be challenging. Prudent is here to help. Contact us now to learn more about how you can use dashboards to portray past and present data to predict the future!