1.
From Data and Measures to
Meaningful Decisions
Designing Useful Information for Senior Management & Boards
Dr Julian Jenkins
2nd Road
Sydney, Australia

2.
Commercial in Confidence 20091
A story about user experience
400
sides of text
66
separate
documents
2hour
meeting
9hours of
reading
Sense of clarity
40-60%

3.
Commercial in Confidence 20092
A story about user experience
400
sides of text
66
separate
documents
2hour
meeting
9hours of
reading
Sense of clarity
40-60%
Oct 2008

4.
Commercial in Confidence 2009
The growing scope of corporate information
Corporate social
responsibility
Balanced scorecards
Triple bottom line
Financial statements
Growing
range of
topics
Multiple locations
Growing
scale of
operations
Multiple industries
Multiple geographies,
cultures
3
Internal compliance
processes
Growing
scope of
regulation
External reporting
Global
financial
crisis

5.
Commercial in Confidence 20094
Management by analysis
“From 1817 onwards … a generation in the USA
learned how to learn in a historically new way.”
Sylvanus Thayer
West Point military academy
1817-1833
• Relentless numerical
measurement of performance
• Written reports as basis for
management
• Focus on planning and logistics

6.
Commercial in Confidence 20095
The dominant knowledge paradigm
The analytical method is really good at solving a certain category
of problems ...
... with stable, measurable parameters
... with linear processes of cause
and effect
... with predictable outcomes and
repeatable, “correct” solutions

7.
Commercial in Confidence 20096
From a 19C to a 21C business context
Machine Web
Hierarchical power Interpersonal influence
Efficiency of production Quality of experience
Manufacturing Knowledge and services

8.
Commercial in Confidence 20097
Two types of problem in the world
be other than they are“ ”
Things cannot
be other than they are“ ”
Things can
 Physical world
situations with fixed,
quantifiable parameters
situations with multiple
qualitative options
 Human environments
Aristotle

9.
Commercial in Confidence 20098
Two types of problem in the world
Horst Rittel
Tame Problems
• clearly definable problems
• “correct” answers
• repeatable solutions
Mystery  Algorithm

10.
Commercial in Confidence 2009
Two types of problem in the world
Wicked
Problems
• multiple, interconnected problems
• no “right” answers
• unrepeatable solutions
Irreducible fluidity
9
Horst Rittel

11.
Commercial in Confidence 200910
Two types of problem in the world

12.
Commercial in Confidence 200911
Two types of thinking toolkits
Scientific Analysis Rhetoric
• Objective data
• Empirical measurement and
observation
• Rational deduction
• Reduction to parts
• Subjective experience
• Qualitative judgments
• Argument and persuasion
• Cohering into a whole

13.
Commercial in Confidence 200912
“Analytical” decision-making
Senior
Managers
& Boards
Data
Measures
Collated
Information
Rational
Decisions
• Automated reports
• Dashboards
• Data warehouses
• KPIs
• Data integrity
• Alignment of measures
A data-driven, IT-heavy process

14.
Commercial in Confidence 200913
“Rhetorical” decision-making
A user-centred, meaning-making process
Senior
Managers
& Boards



15.
Commercial in Confidence 200914
A user-centred, meaning-making process
Conceptual
Framework
A high level mental map or gestalt

16.
Commercial in Confidence 200915
A user-centred, meaning-making process
Strategic
Knowledge
Conceptual
Framework
Focused answers to the
right level of questions

17.
Commercial in Confidence 200916
A user-centred, meaning-making process
Turning operational data into
useful strategic insights
“Alchemists of knowledge”
Data
Measures
Collated
Information
Middle
Managers
Strategic
insights
Clear
arguments
Senior
Managers
& Boards

18.
Commercial in Confidence 200917
A user-centred, meaning-making process
Strategic
Knowledge
Judgement
Conceptual
Framework
• Vision and values
• Experience
• Empathy

19.
Commercial in Confidence 200918
A user-centred, meaning-making process
Strategic
Knowledge
Judgement
Conceptual
Framework
• Cognitive processes
• Social processes
Processes

20.
Commercial in Confidence 200919
A user-centred, meaning-making process
Strategic
Knowledge
Judgement
Conceptual
Framework
Processes
Good
Decisions
Shared Meaning
Coherent Story
Focused Action

21.
Commercial in Confidence 200920
Unlocking the power of information design
Senior Managers
& Boards
Data
Measures
Collated
Information
Decisions
Content
‘The visual display of
quantitative information’

22.
Commercial in Confidence 200921
1. Creating clear conceptual frameworks
Planning
Program Design & Alignment
Strategic Conversation
(AcdB Conversation)
Planning Conversations
(12 Month Program of Work)
Portfolio Conversations
(Budget, Performance Targets)
Strategic Review
(Annually)
Program Reports
(3-6 Monthly Review)
Performance Reports
(1-2 monthly)
Reporting
Reflection & Evaluation
Setting Direction
Organising Action
Doing
Business planning and reporting cycle

23.
Commercial in Confidence 200922
2. Lifting the level of strategic knowledge
Is Product XYZ Operating Effectively?
Level 1 Report
SUMMARY OF KEY ISSUES
Appropriate
revenue?
Green Amber Red
Cost to operate?
1
Community
confidence in
the system?
1
3
Are the right
players in the
system?
3
Clients understand
their obligations?
2
Clients meet their
obligations?
3
1
Risks identified
and acted upon?
1
Internal
capability?
2
Effective Design? 2
Sustainable
Design?
1
OUTCOMES?
OPERATING FEATURES?
ADMINISTRATIVE DESIGN FEATURES?
Data
Confidence
Rating
(1 = Good)
Role of
intermediaries?
• Revenue falling since 1999, but signs it may be levelling out
• Most significant decline in Micro segment (44%)
• High level of debt ($1bn) compared with total revenue ($3.46bn)
• ATO cost is high, because XYZ requires full product support
for a relatively small revenue return
• Significant concern in community regarding cost, because of
technical nature of XYZ, & administrative burden of compliance
• Generally good feedback from community
• Systems deficiencies pose threat to confidence. These may be
highlighted by the forthcoming introduction of the portal.
• No systemic method for determining appropriate participation
• 35% decline in Micro registrations since 1999; however low
levels of revenue involved
• Good understanding of basic lodgement and payment
obligations
• Inherent complexity presents challenges for understanding
at lower end of market
• High level of compliance amongst Large, government &
NFP clients; some concerns at Micro end of market
• Good risk processes in place
• Resources not always available to respond to specific risks
• Low revenue base has resulted in low investment
• Significant risks in terms of systems deficiencies and
compliance staff skilling
• Tax agents play important role because of inherent complexity
• Good relationships established with professional groups
• Fragmented nature of administration dilutes efficiency and
inhibits improvement
• Systems deficiencies make some tasks unnecessarily
labour intensive and reduce administrative efficiency
• XYZ administrative system is old and was designed for a
different taxation environment
• Processing systems are outdated, not easily adaptable, and
are unlikely to be sustainable into the future
• Falling revenue, though probably because of people moving out of the XYZ regime
• Relatively costly and complex for ATO and community to administer
• Systems deficiencies pose some significant risks to administrability, reputation
• Relatively low skills base for XYZ across ATO – expertise vested in small number of staff
Is Product XYZ Operating Effectively?
Level 1 Report
SUMMARY OF KEY ISSUES
Appropriate
revenue?
Green Amber Red
Cost to operate?
1
Community
confidence in
the system?
1
3
Are the right
players in the
system?
3
Clients understand
their obligations?
2
Clients meet their
obligations?
3
1
Risks identified
and acted upon?
1
Internal
capability?
2
Effective Design? 2
Sustainable
Design?
1
OUTCOMES?
OPERATING FEATURES?
ADMINISTRATIVE DESIGN FEATURES?
Data
Confidence
Rating
(1 = Good)
Role of
intermediaries?
• Revenue falling since 1999, but signs it may be levelling out
• Most significant decline in Micro segment (44%)
• High level of debt ($1bn) compared with total revenue ($3.46bn)
• ATO cost is high, because XYZ requires full product support
for a relatively small revenue return
• Significant concern in community regarding cost, because of
technical nature of XYZ, & administrative burden of compliance
• Generally good feedback from community
• Systems deficiencies pose threat to confidence. These may be
highlighted by the forthcoming introduction of the portal.
• No systemic method for determining appropriate participation
• 35% decline in Micro registrations since 1999; however low
levels of revenue involved
• Good understanding of basic lodgement and payment
obligations
• Inherent complexity presents challenges for understanding
at lower end of market
• High level of compliance amongst Large, government &
NFP clients; some concerns at Micro end of market
• Good risk processes in place
• Resources not always available to respond to specific risks
• Low revenue base has resulted in low investment
• Significant risks in terms of systems deficiencies and
compliance staff skilling
• Tax agents play important role because of inherent complexity
• Good relationships established with professional groups
• Fragmented nature of administration dilutes efficiency and
inhibits improvement
• Systems deficiencies make some tasks unnecessarily
labour intensive and reduce administrative efficiency
• XYZ administrative system is old and was designed for a
different taxation environment
• Processing systems are outdated, not easily adaptable, and
are unlikely to be sustainable into the future
• Falling revenue, though probably because of people moving out of the XYZ regime
• Relatively costly and complex for ATO and community to administer
• Systems deficiencies pose some significant risks to administrability, reputation
• Relatively low skills base for XYZ across ATO – expertise vested in small number of staff

24.
Commercial in Confidence 200923
3. Building human empathy

25.
Commercial in Confidence 200924
4. Designing the social process

26.
Commercial in Confidence 200925
5. Communicating strategy coherently

27.
Commercial in Confidence 200926
5. Communicating strategy coherently

28.
Commercial in Confidence 200927
6. Creating a meaningful story

29.
Commercial in Confidence 200928
Unleashing the power of information design
Wicked
problems
Strategic
Knowledge
Judgement
Conceptual
Framework
Processes
Good
Decisions
Shared Meaning
Coherent Story
Focused Action
Meaning-shapersInformation designers

30.
Commercial in Confidence 200929
Reference material
Tony Golsby-Smith “Pursuing the Art of Strategic Conversation: An Investigation
into the Role of the Liberal Arts of Rhetoric and Poetry in the
Business World”, (PhD dissertation, University of Western
Sydney, 2001).
Keith Hoskin,
Richard Macve &
John Stone
“Accounting and strategy: towards understanding the historical
genesis of modern business and military strategy, in Bhimani,
A. (ed), Contemporary Issues in Management Accounting,
(OUP, 2006).
Julian Jenkins “Information Design for Strategic Thinking: Health of the
System Reports”, Design Issues, 24:1 (2008), pp. 68-77.
Horst Rittel & M.
Webber
“Dilemmas in a General Theory of Planning”, Policy Sciences
4 (1973), pp. 155-169.