Run time parameters
| Parameter | |
|---|---|
| Actual Year | Year |
| Base Year | Year |
| From Period | Month |
| To Period | Month |
| Total investment | Amount |
| Net margin base | Percentage |
| Cost of funds | Percentage |
Values calculated from parameter
| Value | |
|---|---|
| Days | Number of days in the interval |
| Month | Number of months in the interval |
Active balances
The following balances are used by the system to retrieve information. These balances must be activated in the actual company:
| Balance type | Description |
|---|---|
| 001 | Sales net value |
| 002 | Sales gross value |
| 003 | Sales cost value |
| 004 | Sales quantity |
| 021 | Purchase net value |
| 024 | Purchase quantity |
| 082 | Average tied-up capital |
| 091 | No of sales order lines |
| 092 | No of returned sales order lines |
| 095 | No of sales order lines delayed, promised |
| 097 | No of sales order lines, back ordered |
| 098 | Sales order fulfilment lead-time |
| 101 | No of purchase order lines |
| 103 | No of purchase order lines delayed |
| 109 | Purchase order fulfilment lead-time |
| 112 | Damaged goods cost |
| 113 | Theft/lost goods cost |
| 117 | Expired / obsolete items cost |
| 118 | Write off deprecations cost |
| 201 | Service total external net value |
| 202 | Service total external gross value |
| 203 | Service total external cost value |
| 301 | System currency amounts |
| 305 | Quantity |
| 311 | Cust system currency amounts |
| 321 | Supp system currency amounts |
Inactive balances
The following balances are delivered inactive in the standard IBS Enterprise system. Note: They must be manually activated to be able to use the Business Performance Director.
| Balance type | Description |
|---|---|
| 091 | No of sales order lines |
| 092 | No of returned sales order lines |
| 095 | No of sales order lines delayed, promised |
| 101 | No of purchase order lines |
| 103 | No of purchase order lines delayed |
Selections
The balances are retrieved using a limited number of query group definitions. These definitions may involve selection on account level. They cannot be delivered with the system as default value.
Note: Each installation must enter the selection definitions manually.
The selection codes are:
- ALL
- EC
- TOTSMC
- NETASSETS
- NBREMP
Note: The general selection used by most of the balances is selection ALL.
It can typically be a selection on the “Originating Company” using mask = ‘__’ to select everything.
This selection is used by balances, which are by nature, already well defined.
For example:
- Balance 001 containing the “Sales net value” will not need other selection (use ALL).
- Balance 301 containing the “System currency amounts” will need a limitation on account level to return usable information. This balance type is used by the entire G/L system and may contain Assets balances as well as Employee cost.
Three definitions are used for the Balance 301 (System currency amount).
The selection will probably be done on account parts. It will depend on the chart of account that you are using.
- EC is used to retrieve the Total Employee Cost.
- TOTSMC is defined to retrieve the Total Cost associated with the supply chain management including execution, administration and planning (Note: The code is TOTSMC and not TOTSCM)
Note: For both EC and TOTSMC the period values are used by the formulas.
- The NETASSETS selection returns account holding the Net Assets balance. The average for opening and closing balance will be calculated.
The last definition NBREMP is connected to the Balance 305 (Quantity)
This selection will also be defined with an account part choice.
Each returned period value contains the total number of employees (not the variation). The average is calculated by the formula.
Calculation of KPI Elements
| KPI group | Balance | Formula |
|---|---|---|
| Hidden (Note: Hidden rows are used as calculation help. The flag hidden is set on the row definition) | ||
| Sales cost | B003 + B203 | |
| Sales | ||
| Value | B001 + B201 | |
| Delivery performance to commit date | (B091 – B095) / B091 * 100 | |
| Order fulfilment lead time | B098 / B004 | |
| Returns | (B092 / B091) * 100 | |
| Procurement | ||
| Gross margin | (SALES Value – HIDDEN Sales cost) / SALES Value * 100 | |
| Discounts | ((B002 + B202) – (SALES Value)) / SALES Value * 100 | |
| Delivery performance to commit date | (B101 – B103) / B101 * 100 | |
| Order fulfilment lead time | B109 / B024 | |
| Asset | ||
| Inventory | B082 / Average balance between “from period” and “to period” | |
| Fill rate | 100 – ((B097 / B091) *100) | |
| Inventory days of supply | (ASSET Inventory / HIDDEN Sales cost) / Days in interval | |
| A/R | B311/ Average balance between “from period” and “to period” | |
| Days outstanding A/R | (ASSET A/R) / (SALES Value)) / Days in interval | |
| A/P | B321/ Average balance between “from period” and “to period” | |
| Days outstanding A/P | (ASSET A/P) / (SALES Value)) / Days in interval | |
| Cash to cash cycle time | ASSET Inventory days of supply + ASSET Days outstanding A/R – Days outstanding A/P | |
| Net asset turns | (SALES Value * 12) / Periods in interval / (B301 with Query NETASSETS) | |
| Cost | ||
| Employee cost | (B301 with Query EC) | |
| Number of employees | (B305 with Query NBREMP) / Periods in interval | |
| Cost per employee | (COST Employee cost / COST Number of employees) | |
| Total SMC cost | ((B301 with Query TOTSMC) / SALES Value) * 100 | |
| Warranty cost | B112 + B113 + B117 + B118 | |
| Value added employee productivity | (SALES Value – B021) / (COST Number of employees) | |
Calculation of ROI Elements
- Actual interval = Selected interval of periods
- Base interval = Corresponding interval in the base year
- Base Year = The complete base year
| Group | KPI | Formula |
|---|---|---|
| Sales | ||
| Value | (SALES Value for Actual interval – SALES Value for Base interval) * (SALES Value for Base Year / SALES Value for Base interval) * (Net margin base) | |
| Procurement | ||
| Gross Margin | (((SALES Value for Actual interval – HIDDEN Sales cost for Actual interval) / SALES Value for Actual interval) – ((SALES Value for Base interval – HIDDEN Sales cost for Base interval) / SALES Value for Base interval))) * (SALES Value for Base Year) | |
| Assets | ||
| Inventory | ((ASSETS Inventory for Base interval / SALES Value for Base interval) – (ASSETS Inventory for Actual interval / SALES Value for Actual interval)) * (SALES Value for Base Year) * (Cost of funds) / 100 | |
| A/R | ((ASSETS A/R for Base interval / SALES Value for Base interval) – (ASSETS A/R for Actual interval / SALES Value for Actual interval)) * (SALES Value for Base Year) * (Cost of funds) / 100 | |
| A/P | ((ASSETS A/P for Base interval / SALES Value for Base interval) – (ASSETS A/P for Actual interval / SALES Value for Actual interval)) * (SALES Value for Base Year)* (Cost of funds) / 100 | |
| Cost | ||
| Employee Cost | ((COST Employee cost for Base interval / SALES Value for Base interval) – (COST Employee cost for Actual interval / SALES Value for Actual interval)) * (SALES Value for Base Year) | |
| Total = Sum of the column calculated values | ||
| Calculated Payoff = Total investment / (sum of calculated annual values * number of years with annual values) | ||