5 Reasons Why Reporting Dashboards Are Essential for Businesses
Data is vital to the success of businesses. It helps business owners and executives spot patterns, anticipate outcomes, and make informed decisions. In fact, according to a Deloitte survey of executives from 75-plus companies, more than 80% of respondents stated that data analytics supported their business strategies.
However, while data is essential to businesses, keeping track of large collections of data isn’t easy. That’s why reporting dashboards are essential. But what exactly are reporting dashboards? In this post, we’ll explore what they are and why businesses need them.
What Are Reporting Dashboards?
Reporting dashboards are interfaces that provide a bird’s-eye view of a business’s performance. They typically present data using visuals, including pie charts, graphs, scorecards, and more.
Some key business metrics reporting dashboards can track include:
- Sales revenue
- Net income
- Customer satisfaction
- Inventory turnover
From marketing and sales to finance and HR, reporting dashboards can be helpful across various departments in an organization.
Reasons Why Businesses Need Reporting Dashboards
1. Simplify Complex Data
Many companies struggle to understand their data. According to a Capital One survey, nearly eight out of 10 executives found it difficult to interpret their data.
Large data sets can be relatively difficult to interpret — particularly if they’re represented only as figures. By representing data in visual formats such as graphs and charts, reporting dashboards make data easier to understand.
2. Improve Decision-Making
Businesses can’t make informed decisions without data. In fact, according to a survey from Deloitte, nearly 50% of respondents stated that data analytics helped them make better decisions.
By using reporting dashboards, businesses can leverage data to make informed decisions. For instance, using a reporting dashboard, a business can monitor its inventory and decide to continue or discontinue a product based on its sales.
3. Facilitate Data Retrieval
Retrieving data from multiple sources can be challenging and tedious. According to a Nintex survey of 1,000 full-time employees in the U.S., about four out of 10 employees stated that they had trouble finding and pulling data on sales because of inefficient document management processes.
Reporting dashboards can make it easier to retrieve data because they consolidate all important information in a central location. As a result, not only can they make data retrieval easier, but they can also boost employees’ productivity.
4. Enhance Collaboration
Collaboration among employees working in different departments can sometimes prove to be difficult. Reporting dashboards can improve collaboration among employees by centralizing information. As a result, they allow employees to monitor tasks assigned to team members and hold one another accountable. This feature can also be useful for HR managers — particularly during end-of-year performance reviews.
5. Reduce Errors
About 41% of CFOs who do not fully trust the accuracy of their financial data cite human error as their top concern. When entering numbers into spreadsheets, employees may transpose or omit numbers by mistake.
Reporting dashboards can reduce human error by eliminating the need for employees to use spreadsheets to compile data.
Enhance Your Data Analysis With a Business Dashboard
Reporting dashboards can simplify complex data, enhance decision-making, facilitate data retrieval, enhance collaboration, reduce human error, and more. As a result, they can drive positive business outcomes and improve your bottom line.
Ready to start using dashboards for your business? Schedule a demo to learn more about Worldview’s robust reporting dashboard.