Benefit measures are the measures of benefit that you get from an
Outcome. These are added to an Outcome through right clicking on the Outcome node and selecting 'Add
Measure'. You can add more than one benefit measure to an outcome. Benefit measures can be
removed by right clicking on the benefit measure you wish to remove and
selecting 'Delete'.
There are three types of Benefit Measure within Realisor. These
are:
- Cashable Financial -An actual direct monetary benefit.
- Non cashable Financial -A financial impact that is not directly cashable, for example saving time through increasing staff productivity.
- Non Financial - These are benefits to the company that are not quantified in financial terms – for example positive press exposure, good customer feedback.
Benefit measure nodes have additional data that can be entered in the 'Measurement' section of the 'Details' tool bar or in the Model Data tab. Here you can edit the Units, set whether the Benefit Measure is financial, and if so whether it is cashable, select the Financial frequency and whether it is cost or revenue. You are able to set the Moderate and Critical Bounds of the Performance Measure and select whether the bounds are proportional (which will put the values into percentages). More information about moderate and critical thresholds can be found below. The final option in this section is the How Changes value. This allows you to select 'Delay Change For', 'Spread Change Over' and 'Change By' and enter the number of days.
Moderate and Critical Thresholds
You might also want to be notified or see the change in status of
the measure if it went above a certain level or below a certain level and that
is what these bounds are representing. This can be done by setting the
bounds. The Moderate Bounds are the first level, both above and below the expected.
The Critical Bounds are further away from the amount expected. There are
two types of entry that can be used to define bounds. You can say there is a
definite number for each. So, for example, if an objective is to get
process duration down to 5 minutes, you could state that the Moderate Bounds
might be 1 minute either side, so 4 minutes as a lower and 6 as a higher before
a warning was given. You can enter that value of 1 in the Moderate Bounds
and it will automatically do the level above and level below and the same for
Critical Bounds. If you click the box “Bounds are proportional” then
rather than having an absolute number or value as the upper and lower limits,
you can enter a percentage above or below in the Moderate and Critical Bounds
fields.
Performance Levels
Within the 'Measurement' section there is another expandable option - Performance levels. Here you can edit the performance levels of the benefit measure.The plus and minus symbols allow you
add and remove these. Note that the % Performance values shown above -
0% and 100% cannot be deleted or edited nor can a row be inserted above 0% and
below 100%. All levels in between these can be added and amended by clicking in
the cell you wish to edit.
The way that a benefit measure is going to be judged is in terms of its
achievement. For example, if there is no performance level (0%), then the
number of units and the financial level will be the baseline (what is currently
happening). If there is an optimum performance level (100%) being created then
what is the number of units that will then be achieved for that measure and
what will the financial value be as well? For example, at a 0%
performance it might be 60 minutes of time for process duration. At 100%
the target number of units could be 5. Another example is to have a
Measure for people costs. The number of units will be the baseline number of
people currently performing a process (10). The financial cost of those people
for that process is £150,000. At 100% there is expected to be 5 people and the
cost is £75,000. By ticking “cashable” or not it signifies whether for
reporting purposes the financial amount should be added as a cashable
benefit. There might be an expected level of benefit to be received over
time and when you are actually delivering a programme you will want to know if
the actual level of benefit is going away from that expected, so it is higher
or lower?
