CHAPTER FOUR ****

  

C4 :MEASURING THE SUCCESS OF  STRATEGIC INITIATIVES

·       

             Key performance indicators (KPIs)

The measure that are tied to business drivers .

Efficiency IT metrics	Effectiveness IT metrics
·         Measure performance of IT system itself	·         Measure impact IT has on business process and activities

·         Benchmarking

Process of continuously measuring system result, comparing those result to optimal system

Performance and identifying steps and procedures to improve system performance.

Effiency IT metrics	Effectiveness IT metrics
1.      Throughput 2.      Transaction speed 3.      System availability 4.      Info security 5.      Web traffic 6.      Response time	I.            Usability                             II.            Customer satisfication                          III.            Conversion rates                          IV.            financial

·         Website metrics

·         Abandoned registration

·         Abandoned shopping carts

·         Click through

·         Conversion rate

·         Cost – per – thousand (CPM)

·         Page exposure

·         Total hts

·         Unique visitors

·         SCM metrics

·         Back order

·         Customer order promised cycle time

·         Customer order actual cycle time

·         Inventory replenishment cycle time

·         Inventory turnover

·         CRM metrics

·         Sales metrics

·         Service metrics

·         Marketing metrics

·         BPR  ERP metrics

-          Balance Scorecard

4 perspectives

                                                       I.            Learning and growth

                                                    II.            Internal business process

                                                 III.            Customer

                                                 IV.            financial