Project dashboard

Revision as of 12:17, 4 March 2022

Managing projects can be a complex task as there is a great deal of information and data which requires communication to various stakeholders. The larger the projects, the higher the complexity, thus making project management more difficult. Continuous progress reporting of projects gives project managers the benefit of having insight in the project and allows for informed decision making ^[1]. Project dashboard can be an efficient tool to communicate the most essential information for project stakeholders to improve project efficiency and allow for monitoring progress to determine the status of the project. ^[2].

A project dashboard is a visualization of central project data, which ideally includes key performance metrics which are customized to specific projects. These metrics should track performance and progress of the project such as deadlines, budget, deliveries, and other necessary insights into the project. To succeed with project management, it is imperative that project progress and performance is communicated, and project results are shared ^[3]. This should be done to encourage and motivate stakeholder of the project. Furthermore, the information is critical for project manager as without the necessary information the manager will face difficulty in managing the project. To gain most value of project dashboards it is imperative for project manager to have a fundamental grasp of the concept as a communication medium and be aware of who the receiver of the information and data is. Furthermore, a poorly visualized dashboard will result in a cluttered mess. Thus, a project dashboard should be well presented with necessary data to be an efficient mean of communication ^[4].

This article will focus on the digital dashboards and give an introduction to the general concept and of the tool. Hereafter, the article will focus on the application of dashboards for project management with an emphasis on their value as a communication tool and implementation of project dashboards are presented. Finally, common pitfalls and limitations of project dashboards are discussed.

Dashboards as visual display

The following section will give an introduction to the general concept of dashboard. Followed by a description of the importance of choosing the right Key Performance Indicator (KPI) for the dashboard and how the information and data is visually displayed to enhance communication.

Concept of dashboard

Figure 1: Example of Sales dashboards ^[5]

A dashboard is a visual display of the most critical information and data which is needed to fulfill the objective of a specific job, project, or other tasks. A dashboard is configurable allowing for customization of the data and the ability to choose how the data is displayed to e.g., include text, charts or graphs. Usually, a dashboard is linked to a database where it receives its information from. Thus, the more frequent the linked database is updated, the more up to date the dashboard is ^[6] .

- Dashboards are a communication tool to make informed decisions

Choosing key Performance indicators

You cannot correct or improve something that cannot be effectively identified and measured. Informed decision making requires effective information and data. Thus, it is imperative to establish the meaning of effective information and data, within the context of the specific project. In certain projects the time and cost KPIs can be sufficient. In other projects customized metrics may be required.

Visualization

-The visualization of the project dashboard is essential -Should be able to be viewed with a glance. Psychological aspect of seeing a color e.g., traffic light indicators ^[7]. For instance, having a dashboard monitor a risk, quality, cost etc. By using a color from a traffic light the viewers will just by a glance have an indication of the project metrics status. When the dashboard shows red the viewer will by a quick glance be aware of the status and take necessary action. By showing green, the receiver will be aware of status as under control.

Dashboards for project management

Figure 2: Dashboards core attributes ^[8]

Project dashboards differentiate from typical business dashboards by having to be updated more frequently. Harold Kerzner argues that dashboards for project dashboards, regardless of the projects nature, should include following core attributes ^[9]:

• Aesthetic appearance: Creating a visualization, which is appealing to the viewer or users and make them engage in using the project dashboard
• Easily understood: The information and data displayed should be communicated clearly and should be easy to understand leaving little room for misinterpretations.
• Retention: The information and data should be remembered.

Depending on the nature of the project and the people involved, project dashboards have various different valuable functions. Following section will provide insight to some of the most important, but not limited to, functionalities. The important function which will be on focus for this article is:

• Communication of project objective
• Communication of project progress
• Cost-efficiency

Communication of project objective

ISO (DS/ISO 21500:2021) has defined project as “temporary endeavor to achieve one or more defined objectives” ^[10]. By this standard the success criteria for a project are to achieve the defined objective(s). Thus, the understanding of the project objective must be communicated clearly, and every stake-holder involved in the project must have a common understanding of the objective to perceive the project as a success. Another important point to emphasis is in projects (and especially in agile projects) the objective is changing, which further complicates the process of securing a common understanding of project objective.

Communication of project progress

Cost-efficiency

Implementing Project Dashboards

Implementing project dashboards can be done by following these steps ^[11]:

1. Needs assessment
2. Selecting sufficient data/information input
3. Choosing Key Performance indicators
4. Selecting visuals
5. Secure interaction of project dashboard with stakeholder
6. Maintenance

It should be emphasized that the critical step of implementing project dashboard is the pre-work which is to be done before creating the project dashboards. The quality of the project dashboard is a direct result of the work, which has been made in the first phase.

Limitations of project dashboard

The benefits of dashboards which have been presented in this article, is what potentially can be obtained with the correct use of project dashboards. However, there are limitations. The following section will focus on the common pitfalls of using project dashboards and also the general limitations of project dash-boards.

Common pitfalls of project dashboards

• Misunderstanding the core concept of dashboard: Understanding the concept and value of a dashboard for project management is essential otherwise there is a risk of the dashboard being redundant.
• Insufficient or ineffective information overload

General limitations of project dashboards

• Creating and implementing a project dashboard is time consuming, therefor it is important to consider if time is spent efficiently creating a project dashboard or consider if other means of communication are more efficient.
• It is essential to take the context of the project into consideration. For small projects with a short life span and few stakeholders, it might be more efficient to have close verbal communication rather than using time on creating a project dashboard.
• Technological limitations.

Annotated Bibliography

References

1. ↑ Lamptey, W. N., & Fayek, A., Developing a Project Status Dashboard for Construction, 2012, International Journal of Architecture, Engineering and Construction, pp. 112-120
2. ↑ Harold, Kerzner, Project Management Metrics, KPIs, and Dashboards, 2017, Wiley & Sons
3. ↑ American National Standard, ANSI/PMI 99-001-2004, A Guide to the Project Management Body of Knowledge (PMBOK Guide), 3rd Edition
4. ↑ Stephen, Few, Information Dashboard Design, 2006, O'Reilly
5. ↑ Stephen, Few, Information Dashboard Design, 2006, O'Reilly
6. ↑ Stephen, Few, Information Dashboard Design, 2006, O'Reilly
7. ↑ Harold, Kerzner, Project Management Metrics, KPIs, and Dashboards, 2017, Wiley & Sons
8. ↑ Harold, Kerzner, Project Management Metrics, KPIs, and Dashboards, 2017, Wiley & Sons
9. ↑ Harold, Kerzner, Project Management Metrics, KPIs, and Dashboards, 2017, Wiley & Sons
10. ↑ DS/ISO 21500:2021, Project, programme and portfolio management - Context and concepts, 2021, Dansk Standard
11. ↑ Harold, Kerzner, Project Management Metrics, KPIs, and Dashboards, 2017, Wiley & Sons