Plasma KPIs

The KPIs used in Plasma are structured into 4 dashboards: 

Here is a quick overview of how these dashboards can help pricing specialists. For details, check out Plasma dashboards.

Executive Summary

Primary dashboard that consolidates some of the most important KPIs which are present also in the other dashboards.

In the executive summary there are 7 charts that will appear in other dashboards as well. Here is what information they convey.

Comparison Waterfall

Price waterfall comparison chart

Understanding the chart

The Comparison Waterfall Chart is a visual representation that allows the display of two sets of data, namely KPI Data and Company Data, side by side. The data presented in this chart is represented as percentages. In this chart, the value of the first price point, known as "Global_List_Price," serves as the basis for comparison, representing 100%. All other data points are calculated and displayed relative to this baseline.

The chart provides support for two distinct modes: Aggregated mode and Drill down mode. In Aggregated mode, the price points are grouped together based on predefined categories. This grouping enables a higher-level overview, allowing users to quickly compare and analyze data within these categories. On the other hand, the Drill down mode provides a more detailed perspective. It enables users to explore all the individual price points included within the categories. In this mode, all the price points and adjustments are displayed and calculated, providing a comprehensive view of the data. From high-level analysis to granular examination of individual price points and adjustments, the Comparison Waterfall Chart is a powerful tool to help you identify areas of improvement to be more competitive against industry peers.

The comparison waterfall enables benchmarking against other companies in order to identify best practices in terms of pricing structure and to identify profit leakage so as to derive levers of improvements.

Percentage of Accounts with Negative Margin

This is calculated with revenue.

Understanding the chart

The bar chart presents Key Performance Indicator (KPI) Data, showcasing three separate bars on the X-axis representing the bottom quartile, median, and upper quartile. The Y-axis represents the percentage of accounts with a negative margin. Additionally, there is a blue reference line in the chart that represents Customer Data. This line corresponds to the average of the available customer data when drilling down into the details.

To access the detailed customer data by month, you can click on the blue line, which provides a drill-down option. In this detailed view, the customer data is presented. If the output value is negative, it is displayed as zero.

The purpose of this chart is to illustrate the revenue share generated by customer accounts that have a negative gross margin during the specified period. It calculates the ratio of revenue from accounts with a negative margin to the total revenue, providing insights into the price effectiveness after considering all price leakage.

In terms of interpretation, the chart indicates that X% of the revenue was contributed by customer accounts with a negative gross margin during the period under consideration.

In this case, you want to rank in the bottom quartile as it means this is where the best deals with the lowest negative margin are made.

Percentage of Transactions with Negative Margin

These are calculated with revenue.

Understanding the chart

The bar chart provides a visual representation of key performance indicator (KPI) data, specifically focusing on the percentage of transactions with a negative margin. The X-axis of the chart is divided into three separate bars, representing the bottom quartile, median, and upper quartile. On the Y-axis, the percentage of transactions with a negative margin is displayed.

In addition to the bar chart, a blue reference line is included, which showcases customer data. This reference line corresponds to the average of the customer data available when drilling down into the details. By clicking on the blue line, users can access more detailed customer data categorized by month. This will allow you to see if you are on a correcting trend by month as opposed to a general feel. It may happen that overall you might be doing better but month by month the trend might be telling a different story and you need to be aware of this.

For instance, take company X. While they seem to be working on improving their negative transactions percentage, you can notice that in fact, despite fluctuations, there is an ascending trend which is clearly detrimental.

It is important to note that if the output value is negative, it will be displayed as a zero value. This ensures clarity and prevents confusion when analyzing the chart.

The primary purpose of this chart is to illustrate the revenue share generated by transactions with a negative gross margin during the specified period. This is calculated by dividing the revenue from transactions with a negative margin by the total revenue.

Moreover, this chart serves as a measure of price effectiveness, taking into consideration any price leakage that may have occurred. By examining the percentage of revenue generated from transactions with a negative gross margin, it becomes possible to assess the impact of pricing strategies and identify potential areas for improvement.

To interpret the chart, you can observe the percentage indicated on the Y-axis, which represents the proportion of revenue derived from transactions with a negative gross margin during the specified period. For example, if the chart displays "X% of my revenue came from transactions with a negative gross margin on the period," it signifies that X% of the total revenue was generated from such transactions.

In this case, you want to rank in the bottom quartile as it means this is where the best deals with the lowest negative margin are made.

TTM per Unit Realized Price Percent Increase

Understanding the chart

The bar chart is a powerful visualization tool that effectively displays key performance indicator (KPI) data. The Y-axis represents the percentage of per unit realized price increase. This chart provides valuable insights into the performance of the company's pricing strategy.

The blue reference line that displays customer data serves as a benchmark for comparison and allows users to gauge the effectiveness of their pricing strategies relative to customer expectations.

The value shown on the main chart corresponds to the latest available month of data. By drilling down into the chart, you can access detailed customer data on a monthly basis. This feature provides a more granular understanding of customer behavior and allows for targeted analysis and decision-making.

It is worth noting that if the output value is negative, it will be displayed as zero. This ensures that negative values do not skew the overall analysis and presentation of the data.

Overall, the chart effectively presents the actual average percentage increase of the realized price over a specific period. It enables you to analyze whether the realized price has increased or decreased in the last trailing twelve months. This information is crucial for evaluating the effectiveness of pricing strategies, identifying trends, and making informed pricing decisions to drive revenue growth.

Percentage of Deals Outside Guidelines

This is calculated with number of deals.

Understanding the chart

The primary purpose of this chart is to measure the percentage of deals that fall outside guidelines. Deals are considered outside guidelines when the InvoicePrice is less than or equal to the TargetPrice. In cases where no TargetPrice is provided, any deal that deviates from the default approval flow is considered outside guidelines. This information is vital for assessing the effectiveness of deal guidance and approval processes and can help derive corrective actions for improvement.

By analyzing the percentage of deals outside guidelines over time, companies can identify areas for improvement and make informed decisions to enhance their deal guidance and approval processes.

Plan

Dashboard based on transactions data providing mostly insights on pricing business structure. The Plan dashboard includes 7 charts alongside the Comparison Waterfall, Percentage of accounts with negative margin and Percentage of transactions with negative margin we have described above.

Let’s have a look at the remaining 7 typical for this dashboard.

Price 

Dashboard based on transactions data providing insights on pricing processes and execution. It includes 4 related charts along the Number of Products TTM chart described in the Plan dashboard.

Now, let’s glance at the 4 available charts in this dashboard.

Profit 

Dashboard based on quotes data providing insights on pricing strategy and deal process performance. It includes 4 charts along Deal Velocity for Deals Needing Approval, Average Number of Steps in Approval Process, Percentage of Deals Outside Guidelines which have been presented in detail in Executive Summary.

For the last dashboard, let’s get a closer look at each of the available charts.

 

 

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