The Business Performance Index Development And Evolution & Performance

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The Business Performance Index – An Explanation Neil Geoghegan, Corporate Resources Director, Business Link Northwest Ged Mirfin, Chief Data Officer, Business Link Northwest Landes Land, Lead Developer, BPI Data Warehouse, Business Link Northwest Business Link Northwest’s Business Performance Index: History, Design & Development, Implementation and Impact

description

A Presentation Presented to the Directors at BIS on the History, Evolution & Impact of the Business Performance Index

Transcript of The Business Performance Index Development And Evolution & Performance

Page 1: The Business Performance Index   Development And Evolution & Performance

The Business Performance Index – An Explanation

Neil Geoghegan, Corporate Resources Director, Business Link Northwest

Ged Mirfin, Chief Data Officer, Business Link Northwest

Landes Land, Lead Developer, BPI Data Warehouse, Business Link Northwest

Business Link Northwest’s Business Performance Index:

History, Design & Development, Implementation and Impact

Page 2: The Business Performance Index   Development And Evolution & Performance

Agenda1. I’ll Show You Mine…If You Show

Me Yours

2. It’s Not What You Do…It’s The Way That You Do It – And That’s What Gets Results!

3. How the Northwest Was Won

4. London Calling - What Now & Where Next

Page 4: The Business Performance Index   Development And Evolution & Performance

“60% of Public Sector Organisations around the

world think that inaccurate and incomplete data costs

them money in terms of wasted resources, lost

productivity and/or wasted marketing spend”

“The impact poor data management has on your organisation”

QAS Experian

International Research White Paper

September 2005

Page 6: The Business Performance Index   Development And Evolution & Performance

BLNW Business TimelineBLNW Opens

Doors – 01st Apr 2007

Installation Microsoft CRM 3 May to Jul 2007

Data Import into CRM - manually fills the system with very

poor quality & aged data from legacy

systems.

Manual Import, De-Duping & Merging of

Legacy Data from Sub-Regional Business

Links Jul to Sept 2007

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Merging of Sub-Regional Business Link Data

Page 8: The Business Performance Index   Development And Evolution & Performance

Merging of Sub-Regional Business Link Data

-BL Manchester Universe of Company

Data

-600k

Page 9: The Business Performance Index   Development And Evolution & Performance

BLNW Business TimelineBLNW Opens

Doors – 01st Apr 2007

Installation Microsoft CRM 3 May to Jul 2007

Manual Import, De-Duping & Merging of

Legacy Data from Sub-Regional Business

Links Jul to Sept 2007

“Cleansing”, Further De-duping &

Appending of Third Party data - Oct to

Dec 2007

Poor implemented “Data Cleanse” project results in the overwriting of current data with even older data

affecting CRM system and hampering operational

performance

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CRAP IN however results inCRAP OUT

“Data Cleanse” by Third Party Results in Overwriting of CRM Data with Aged Out-of-Date Data:

CRAP it wasn’t! – Universe Shrinks Further

-BL Northwest Universe of

Company Data

350k A = Accurate

P = Populated

130k

C = Consistent

R = Recent

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“Business users are rightly intolerant of new systems

that are delivered filled with rubbish data and may even fail to adopt the system. It’s

like investing in a new sports car, filling it with the oil and fuel drained from your old

vehicle, and then wondering why it fails to perform as it

did on the test drive.”

(Source: PricewaterhouseCoopers)

Page 13: The Business Performance Index   Development And Evolution & Performance

The Quality Scores for our “Best” Data (Intensive Assist) was not high!

• 57.04% of Company Names and Addresses were Incorrect.

• Lower than Average Address Verification 47.03% - Average for “Clean Data” c.65%.

• Premise Level Verification means Business Addresses could not be absolutely verified – we knew the building, site or business park but not their exact location.

• We could not be sure our Direct Mail was reaching its intended audience – high volumes of returned mail.

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Quality Barometer• Clean Data from Experian’s

National Business Database dramatically improved the Population Rate and Quality of the record set

• Massively reduced no. of unknowns improved BLNW’s ability to report on a much larger data population

• Experian’s NBD allowed BLNW to contextualise internal performance against all businesses within NW Region

• This allowed BLNW to accurately measure Business performance across the region and highlight issues & concerns or areas of regional best practice.

Data Barometer

Data AccuracyPopulation Rate of Business

Critical Data

%Traffic Light Comment %

Traffic Light Comment

100%     100%    

95%     95%    

90%   Imp

act Ap

pen

din

g E

xperian

D

ata

90%   Imp

act Ap

pen

din

g E

xperian

Data

85%   85%  

80%   80%  

75%   75%  

70%   70%  

65%   65%  

60%   60%  

55%   55%  

50%  

Existin

g D

ata

50%  

45%   45%  

Existin

g D

ata

40%   40%  

35%   35%  

30%   30%  

25%   25%  

20%   20%  

15%   15%  

5%   5%  

Page 15: The Business Performance Index   Development And Evolution & Performance

BLNW Business TimelineBLNW Opens

Doors – 01st Apr 2007

Installation Microsoft CRM 3 May to Jul 2007

Manual Import, De-Duping & Merging of

Legacy Data from Sub-Regional Business

Links Jul to Sept 2007

“Cleansing”, Further De-duping &

Appending of Third Party data - Oct to

Dec 2007

Commenced building Data Warehouse to separate New from

Legacy Data Jan 2008

Building of Data Warehouse to separate and report on new data

delivers highly functional web

accessed granular reporting capability

Page 16: The Business Performance Index   Development And Evolution & Performance

Agenda

It’s Not What You Do…It’s The Way That You Do It – And That’s What

Gets Results!

Page 17: The Business Performance Index   Development And Evolution & Performance

BLNW Business Timeline

Manual Import, De-Duping & Merging of

Legacy Data from Sub-Regional Business

Links Jul to Sept 2007

“Cleansing”, Further De-duping

& Appending of Third Party data - Oct to Dec 2007

Commenced building Data Warehouse to separate New from

Legacy Data Jan 2008

Appointment of Experian as Data Management Services Supplier. Detailed Health-

Check and Profiling of Intensive Assist Data - Feb

2008

Lack of clean up-to-date prospect marketing data

begins to impact on BLNW’s ability to meet penetration

targets: Initial Solution favoured: Creation of Pool

“Look-A-Like” Prospect Data that would convert into

Intensive Assists

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Example of Initial Profiling

Digital & Creative Sector

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No. of Employees : Majority Businesses in Sector Has Less than 5 Employees

• Penetration rate Very Small Businesses Lowest of All Business Band Sizes – 22,865 Businesses to Target

• BLNW well ahead of the curve for North West as a whole with SMEs (6 to 49 Employees). 37.35% as against 21.61% for NW as a whole

• Penetration Rate Low at 3.72% however

• Very few Medium & Large Businesses in this Sector – 1,401. BLNW is well behind curve with Businesses of this size especially Large Businesses where we have seen only 3 out of 423

• Many Unclassified Businesses (Web Designers & Consultants).

• What do these look like? What do there Yell and Thomson profiles tell us about these Businesses?

Employees in Business

Client File North West

INDEXZ-

Score# %Northwest

Penetration # %

A : 1 to 5 477 47.13% 2.04% 23339 49.68% 95 -1.61

B : 6 to 10 220 21.74% 4.03% 5464 11.63% 187 7.75

C : 11 to 19 85 8.40% 3.39% 2504 5.33% 158 3.50

D : 20 to 49 73 7.21% 3.34% 2186 4.65% 155 3.13

E : 50 to 99 15 1.48% 2.33% 643 1.37% 108 0.30

F : 100 to 199 8 0.79% 2.39% 335 0.71% 111 0.28

G : 200+ 3 0.30% 0.71% 423 0.90% 33 -3.42

U : Unclassified 131 12.94% 1.08% 12084 25.72% 50 -11.89

Total 1012 100.00% 2.15% 46978 100.00%    

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Sic Sector Analysis

SIC Section

Client File North West

INDEXZ-

Score# %

Northwest

Penetration # %

<NULL> 111 10.97% 22.11% 502 1.07% 1026 10.07

A: Agriculture, Hunting and Forestry 1 0.10% 7.69% 13 0.03% 357 0.72

B: Fishing 0 0.00% N/K 0 0.00% - -

C: Mining and Quarrying 0 0.00% 0.00% 10 0.02% 0 -3.16

D: Manufacturing 125 12.35% 2.45% 5092 10.84% 114 1.45

E: Electricity, Gas and Water Supply 0 0.00% 0.00% 5 0.01% 0 -2.24

F: Construction 9 0.89% 1.66% 542 1.15% 77 -0.88

G: Wholesale and Retail Trade; Repairs 37 3.66% 6.47% 572 1.22% 300 4.12

H: Hotels and Restaurants 2 0.20% 5.26% 38 0.08% 244 0.83

I: Transport, Storage and Communication 17 1.68% 1.00% 1702 3.62% 46 -4.70

J: Financial Intermediation 1 0.10% 6.25% 16 0.03% 290 0.65

K: Real Estate, Renting and Business Activities 572 56.52% 2.20% 25954 55.25% 102 0.81

L: Public Administration, Defence and Compulsory Social Security 0 0.00% 0.00% 16 0.03% 0 -4.00

M: Education 10 0.99% 18.87% 53 0.11% 876 2.81

N: Health and Social Work 2 0.20% 0.08% 2368 5.04% 4 -28.11

O: Other Community, Social and Personal Service Activities 125 12.35% 1.24% 10073 21.44% 58 -8.65

P: Private Households with Employed Persons 0 0.00% 0.00% 20 0.04% 0 -4.47

Q: Extra-Territorial Organisations and Bodies 0 0.00% 0.00% 2 0.00% 0 -1.41

Total 1012100.00

% 2.15% 46978 100.00%    

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EVIDENCE AND ANALYSIS DOCUMENT WHICH SUPPORTS THE FINAL REPORT OF THE CEP (CREATIVE ECONOMY PROGRAMME) ISSUED BY DCMS.

MUCH OF THE CRITICISM SEEMS TO HAVE CONCENTRATED ON THE ESTIMATED ECONOMIC CONTRIBUTION CREATIVE INDUSTRIES MAKE TO THE UK.  THESE CRITICISMS FALL INTO TWO CATEGORIES:  THE DEFINITION OF CREATIVE INDUSTRIES IS TOO WIDE OR TOO NARROW AND THEREFORE THE NUMBER IS TOO BIG OR TOO SMALL; AND THE LACK OF OFFICIAL STANDARD STATISTICS FOR THE CREATIVE INDUSTRIES IN PARTICULAR, PROBLEMS HAVE BEEN RAISED WITH THE IDENTIFICATION OF CREATIVE INDUSTRIES WITHIN OFFICIAL CLASSIFICATIONS.  OFFICIAL STATISTICS ARE DRAWN FROM ONS SURVEYS WHICH COVER BUSINESSES THAT ARE REGISTERED FOR VAT AND DO NOT INCLUDE THOSE THAT ARE NOT REGISTERED OR SMALL BUSINESS WHOSE TURNOVER IS BELOW THE VAT THRESHOLD.  THIS IS PROBLEMATIC WHEN TRYING TO IDENTIFY AND MEASURE THE ACTIVITY OF THE CREATIVE INDUSTRIES BECAUSE MANY OF THE INDUSTRIES ARE VERY SPECIFIC AND SMALL IN TERMS OF NUMBER OF BUSINESSES, TURNOVER AND EMPLOYMENT… THE BULLETIN USES NATIONAL STATISTICS SOURCES WHERE POSSIBLE – PRIMARILY THE ANNUAL BUSINESS INQUIRY, THE INTER-DEPARTMENTAL BUSINESS REGISTER AND THE LABOUR FORCE SURVEY….DEFINITIONS ARE BASED ON THE UK STANDARD INDUSTRIAL CLASSIFICATIONS (SIC)…, HOWEVER THEY DO NOT ACCURATELY REFLECT THE STRUCTURE OF THE CREATIVE INDUSTRIES. AS SUCH IT IS DIFFICULT TO CAPTURE THE FULL EXTENT OF… ACTIVITY. THERE IS CONCERN THEREFORE THAT OFFICIAL STATISTICS ARE NOT TOTALLY REPRESENTATIVE OF THE WHOLE CREATIVE INDUSTRIES SECTOR.  THE ONLY WAY TO OVERCOME THIS WOULD BE TO CARRY OUT A SEPARATE SURVEY OF SMALL CREATIVE FIRMS AND INDIVIDUALS BUT THIS WOULD BE A HUGE UNDERTAKING INVOLVING SIGNIFICANT COSTS AND POTENTIALLY PLACING A CONSIDERABLE BURDEN ON THE FIRMS. 

The Problem with SIC Codes

Page 22: The Business Performance Index   Development And Evolution & Performance

Turnover: Businesses operating in the Digital & Creative Sector are primarily Small Turnover Businesses

• Two Thirds of Businesses operating in this RES Sector (65.07%) have a turnover of less than £2.5M

• BLNW scores well above average in working with Businesses with a turnover between £90K and £2.5M – 3.5% penetration

• 5.30% penetration rate for Businesses in the £400K to £2.5M category – 1 in 20

• BLNW much less successful when it comes to working with high turnover Businesses in this sector and Very Small Unincorporated Sole Trader/Partnership Businesses with Turnover Less £90K

• Is this a (Network) Access, Broker Skill-Set or Marketing Communications Issue

• What do we have to offer these Businesses, particularly the Really Small One & Two Man Bands and more importantly what do they look like?

Turnover

Client File North West

INDEX Z-Score# %Northwest

Penetration # %

1 : Unclassified 130 12.85% 0.86% 15084 32.11% 40 -17.94

2 : 1 to <90k 412 40.71% 2.27% 18118 38.57% 106 1.37

3 : 90k to <400k 246 24.31% 2.78% 8858 18.86% 129 4.01

4 : 400k to <1m 105 10.38% 4.40% 2389 5.09% 204 5.49

5 : 1m to <2.5m 85 8.40% 7.10% 1197 2.55% 330 6.69

6 : 2.5m to <5m 15 1.48% 3.14% 477 1.02% 146 1.22

7 : 5m to <10m 11 1.09% 3.54% 311 0.66% 164 1.30

8 : 10m to <40m 6 0.59% 1.97% 304 0.65% 92 -0.22

9 : 40m+ 2 0.20% 0.83% 240 0.51% 39 -2.18

Total 1012 100.00% 2.15% 46978 100.00%    

Page 23: The Business Performance Index   Development And Evolution & Performance

SOHO Businesses – 15% of All Intensively Assisted Digital & Creative Businesses

• Very Different kind of Businesses Brokers typically used to dealing with

• Consultants and Graphic Designers who work from Home/Garden Shed/Back Bedroom in large Nos.

• What advice can you give them?

SoHo Businesses

85%

15%

No Yes

SoHo Total

No 1132

Yes 194

Grand Total 1326

Page 24: The Business Performance Index   Development And Evolution & Performance

Top Yell Classifications

YP Classification Code Total % YP Classification Code Total %

Blank 490 36.95% Computer Systems 9 0.68%

Printers & Lithographers 86 6.49% Management & Business Consultants 9 0.68%

Internet Web Design & Development 78 5.88% Photographers-Commercial & Industrial 9 0.68%

Designers-Advertising & Graphic 52 3.92% Sign Makers 9 0.68%

Computer Software Development 48 3.62% Design Consultants 8 0.60%

Computer Services 44 3.32% Newspapers & Magazines 8 0.60%

Marketing & Advertising Consultants 33 2.49% Promotional Items & Incentives 8 0.60%

Architects 27 2.04% Telecommunication Equipment 8 0.60%

Internet Services 27 2.04% Computer Networking & Cabling 6 0.45%

Advertising Agencies 21 1.58% Interior Designers 6 0.45%

Photographers-General 17 1.28% Arts Organisations 5 0.38%

Computer Consultancy 15 1.13% Document Management 5 0.38%

TV, Film & Video Production Services 15 1.13% Sound Equipment Installations 5 0.38%

Publishers & Publications 13 0.98% Theatrical Companies 5 0.38%

Computer Software Sales 12 0.90% Training Services 5 0.38%

Telecommunication Services 11 0.83% Architectural Services 4 0.30%

Art Dealers & Publishers 10 0.75% Charitable & Voluntary Organisations 4 0.30%

Page 26: The Business Performance Index   Development And Evolution & Performance

BLNW Business Timeline“Cleansing”,

Further De-duping & Appending of

Third Party data - Oct to Dec 2007

Commenced building Data Warehouse to separate New from

Legacy Data Jan 2008

Appointment of Experian as Data Management Services Supplier. Detailed Health-

Check and Profiling of Intensive Assist Data - Feb

2008

Integrate CRM Data with NW Segment of Experian NBD giving access to detailed

financial info, Yell, Thomson, Commercial Mosaic allowing

BLNW to scientifically segment data at a very

granular level

Page 27: The Business Performance Index   Development And Evolution & Performance

The Gartner View• Biggest contributory factor in “outright

failure” CRM is lack of process ownership.

• The problem is nobody owns it. When CRM cuts across different departments it breaks down at the interface between different departments. There's no understanding of the end-to-end process.

• No helicopter overview.

• Therefore no CRM “grand strategy”.

Page 28: The Business Performance Index   Development And Evolution & Performance

Data Stewardship

Creation of a formalised management structure including systems,

processes and the establishment of standards. Accountability for the processing of data throughout the business was designed to increase

operational effectiveness, promoting “data” and its use into a highly valued

“strategic asset”

Page 29: The Business Performance Index   Development And Evolution & Performance

Who owned BLNW Data?

• Marketing

• Operations

• Brokers

• IT

• CRM Manager

• M. I. Team

• Business Improvement

Page 30: The Business Performance Index   Development And Evolution & Performance

Who had ultimate “ownership” of BLNW Data?

• Everyone and No-One

• Everyone had responsibility for their individual piece of the jig-saw

• Devolved Control of the Management of Data was dispersed throughout the Business

• This led to anarchical and fragmented decision-making and ineffective quality control mechanisms

• No one Individual or Team was in charge

Page 31: The Business Performance Index   Development And Evolution & Performance

The Gartner View“The challenge of poor data quality

presents a vicious circle. If business users don’t trust the existing data in a system, they

take less care themselves when entering new information, which only compounds the data quality

problem. With data being recognised as an organisation’s second most valuable asset, and

poor data quality losing organisations up to a quarter of their revenue, this is a topic that

cannot be ignored.”

Page 32: The Business Performance Index   Development And Evolution & Performance

Data Governance –Ensuring Data Quality, Data Acquisition &

Reporting

Structures and Processes for Management & Storage of Data

as a Strategic Asset

Maintaining Data Integrity

& Measuring Data Quality

Placing Data at the very heart of BLNW activities

Data Stewardship

Data

Team

-Data Strategy

Data TQM

Page 33: The Business Performance Index   Development And Evolution & Performance

Data Strategy

• Identifying ways to improve current data

• Searching the market for external data that can further enrich current dataset

• Establishing a programme for managing suppliers.

• Monitor the quality of this data.

• Implementing effective control procedures.

• Apply change management processes.

• Measure the impact of data.

• Establish review processes.

Page 34: The Business Performance Index   Development And Evolution & Performance

Issues Encountered At O2

-Focus at Executive Level -Wider Organisation Buy

In removal of accepted norms

-Addressing Director Silo Culture

-Gaining Agreement for Information Ownership

-Sheer Volume and Complexity

of Data

-Agreement on Change in Organisational Structure and Process and Reallocation to

Corporate Resources Directorate

-Sufficient Power Vested in Project Team to Ensure Delivery of Project Form a powerful team with a real

remit to make the change happen

-Recruitment of Experienced Specialist Contractor “Developer”

Resource

-Proving the Business Case and Obtaining Funding

Issues Encountered At BLNW

Page 35: The Business Performance Index   Development And Evolution & Performance

Communicating the Benefits of Data as a Corporate Asset – the Advocacy Approach

“Selling the vision for data for the business going forward.”

• Evangelical approach to the adoption of Data internally by

publicising Data Issues

• Developing effective working relationships with key data users

and the ICT team to develop performance management

solutions.

• Actively pursue collaborative and cohesive working relationships with

all internal personnel.

Page 36: The Business Performance Index   Development And Evolution & Performance

-Business Link North West Strategy statement 2008/09.

• Objective 3 of 5

• “To be recognised as the leader on regional business intelligence”

• Objective 5 of 5

• “To play a vital role in informing business support policy making”

Page 37: The Business Performance Index   Development And Evolution & Performance

History of the BPI

Page 38: The Business Performance Index   Development And Evolution & Performance

We incorporated Business Link universe and Experian’s National Business Database into the BPI

Page 39: The Business Performance Index   Development And Evolution & Performance

-Consolidates North West Business

Universe

-406k

-111k

Section of database unique to Business Link – Lifestyle and

Grey economy businesses

Section of database unique to Business Link – Lifestyle and

Grey economy businesses

We incorporated Business Link universe and Experian’s National Business Database into the BPI

-19k

Page 40: The Business Performance Index   Development And Evolution & Performance

-Consolidates North West Business

Universe

-406k

-111k

We incorporated Business Link universe and Experian’s National Business Database into the BPI

-19k

Of 150,000 Additional Penetration Impacts Added to CRM over last 18 Months – increasing size of CRM Universe to

280,000 Records, 120,000 were part ofExperian Prospect Universe (80%)

Page 41: The Business Performance Index   Development And Evolution & Performance

BLNW Business TimelineAppointment of Experian as

Data Management Services Supplier. Detailed Health-

Check and Profiling of Intensive Assist Data - Feb

2008

Building Web-Accessed Data

Reporting Dashboards &

ExtraNet Jun to Jul 2008

Development of Extra Net Capability Accessible by Partners. Phase 1: Static

User-defined Reports downloadable in Pdf Format. Phase 2: Dynamic Drill-down Dashboard Reporting facility

accessible over the Web within a Citrix Server

Operating Environment.

Decision taken to integrate CRM Data with

NW Segment of Experian NBD giving

access to detailed financial info, Yell,

Thomson, Commercial Mosaic allowing BLNW to segment data in a scientific manner at a

very granular level

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Agenda

How the West Was Won

North

Page 43: The Business Performance Index   Development And Evolution & Performance

Cross Referencing – The key to real data value and context

• When Experian attempted to match BLNW’s database to theirs they had a 38% match – BLNW achieved currently 87%. (Ultimate aim 95%)

• A 38% match would effectively render Experian's data base as invalid and would prevent a satisfactory richness of company profiling.

• Data would be viewed by general management as irrelevant unless it is structured & organised in a format that is easily understandable.

• Every organisation has a language and a framework – they will ignore anything that they do not intuitively understand.

• 38% is TOO LOW

• Brace yourself – here’s the Techie bit

Page 44: The Business Performance Index   Development And Evolution & Performance

•Data Matching

• Fuzzy Logic• Levenshtein algorhythm• Stripping the data• Other routines

Populating the Data Warehouse

• Data Quality• Data Richness• Fitness for Purpose• “Trendable” data

Reporting from the Data Warehouse

• Examples of what is available from the Extranet reporting facility

Technical Focus on the BPI Project

Page 45: The Business Performance Index   Development And Evolution & Performance

How did Business Link achieve a high proportion of matches?

Fuzzy Logic Matching of CRM against Experian data

Levenshtein Distance formula utilised to identify text string

similarity

Company Trading Names stripped of spurious characters, suffixes and cases prior to matching

Routines developed to

associate SIC codes to RES

Sectors

Page 46: The Business Performance Index   Development And Evolution & Performance

…and the result?

CRM

130k records

Experian

536k recordsMatching

Business Performance

Index Warehouse

550k records

87%

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DData Richness:

Building the Business Performance Index Warehouse

CRM

Have we already dealt with the business?

YES

Valuable additional data attributes incorporated into CRM, richer records incorporated into Data Warehouse

BPI Data Warehouse

536k records

Page 52: The Business Performance Index   Development And Evolution & Performance

Business Performance Index Reporting

•First Phase

• Business Objects utilised to build a suite of reports

• Bursting routines produce Acrobat pdf versions of these suites aimed at the various target audiences:

- Sub-Regional organisations- Local Authorities- Others

• Sharepoint used as the delivery vehicle

• Advantages- Easiest method for a quick, consistent delivery- Limits reliance on Business Objects licenses- Very secure

Page 53: The Business Performance Index   Development And Evolution & Performance

How Can We Help?C

om

ple

xit

y o

f Q

ue

ry

Business Link Involvement

The Rapid Response FrameworkComplex Data Analytics

to provide Partners with

very detailed information

Simple phone Hotline to

service requests for Data

from Business Support

Agencies

Web Enabled multi partner

access to BLNW Database

through Extranet facility

Page 54: The Business Performance Index   Development And Evolution & Performance

….and MANY more

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“Real time” Business data - updated monthly

Key Attributes of BLNW’s Business Performance Index Data

Is the first (B2B) business profiling system in the public sector

Using Commercial Risk Data allows BLNW to identify, track & monitor struggling Businesses

BLNW’s BPI Data is the hub at the heart of a Shared Intelligence Network accessible by Partners

The Rapid Response Framework: 3 Level Response to the Current Economic Climate:

Page 56: The Business Performance Index   Development And Evolution & Performance

Agenda

London Calling

Page 57: The Business Performance Index   Development And Evolution & Performance

Key StakeholdersMarketing

Build increased

penetration amongst

service users through

improved segmentation and targeting

Operations

Improve take-up of intensive

assists for Broker Team by increasing

lead generation

Executive

Meeting of Strategic

Priorities: To be recognized as the leader on regional business

intelligence and playing a vital role in informing business

support policy making

Cluster Orgs.

Make definitive pronouncements

about the effectiveness of BLNW services delivered to the NW Business Community including

Membership & Cluster Orgs,

Local Councils, Politicians &

Opinion Leaders

“Advanced Customer

Segmentation”

“Vastly Improved

Lead Quality”

“Delivering Strategic

Priorities”

“Sharing of Key Data across the

Region”

NWDA

Provision of relevant and up-to-date

information on emerging business

trends allowing the NWDA to

service requests from Government,

Political Parties & Lobbying

Orgs

“One Version of the Truth”

The Business Support EnvironmentINTERNAL EXTERNAL

Page 58: The Business Performance Index   Development And Evolution & Performance

Impact Analysis – Key Achievements to Date

• Marketing: Dramatically Improved Response Rates from Direct Marketing Activity

• Has allowed BLNW to Build increased penetration through improved segmentation and targeting

• Achieved 14.29% conversion rate rate from Large Scale Direct Mail Activity (35,000) – c.5,000 new users over a 2 Month period

• Operations: Has given Adviser Teams Access to High quality Leads in Increased Volumes

• Has Improve take-up of intensive assists for Broker Team by increasing lead generation – Diaries of Advisers full

• Access to a Much Wider Universe of Businesses than previously allowing BLNW to widen the net

• Executive: Strategic Priorities: Recognized as the leader on regional business intelligence and playing a vital role in informing business support policy making

• Enhancement both Reputation and Policy Influencing Role of BLNW within Business Support Community

Business Support Community Partners & Stakeholder Orgs: Has allowed BLNW to Make Definitive Pronouncements about the effectiveness of its Services to the NW Business Community including Membership & Cluster Orgs, Local Councils, Politicians & Change Architects

• Has allowed BLNW to contextualize the impact of its service delivery with robust evidence

• Benchmarking effective performance and identifying gaps

• In return has allowed Business Support Community Partners & Stakeholders to consider their own activity whilst providing effective specific Business Support in their Geography/Sector

• Northwest Development Agency: Provision of relevant and up-to-date information on emerging business trends allowing the NWDA to service requests from Government, Political Parties & Lobbying Orgs

• BLNW Data recognized as the Primary Source of Business Intelligence in the Northwest Region

• Creation of Rapid Response Framework with BLNW Data Warehouse(s) at Core

• Delivery of Strategic Business Trend Data to Key Decision-Makers have become Key Forecasting Indices

• Data at this level of granularity is available to no other RDA

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Who wanted to know what?

Everyone had an opinion but NOBODY had the facts

• NWBL had a significant set of operational targets for Y1 of its operation

• Certain members of the business support community in the North West felt challenged by BL

Interested Parties Local Regional By Sector By Theme By Team Team Member

NWDA

Government

Cluster Organisations

Geographic Orgaisations

Local Operations Management

Marketing

Business Development

Information Type - Performance

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BLNW are uniquely placed to deliver market intelligence

Aim: Change from Anecdotal &

Judgmental to Evidence-basedDecision making

Experience-influenced

Evidence-based

Opinion-basedEvidence-influenced

Exp

erie

nce

Evidence / Information

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The Advocacy ModelBuild Data Coalition: Communicate the

Benefits Internally

Creation of Database – customers – internally focussed

BL Management and internal data consumers

Value Chain for the North West Business Data Universe

First Phase - Create

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The Advocacy Model

Internal

Sector specialists and cluster management teams

First interaction with third party data consumers and political oganisations

Data becomes more relevant for decision making bodies

Second Phase – Sell Benefits

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Internal

Geographically dispersed bodies require data to confirm Business support activities or to quantify the impact of future plans and policies

Data becomes more relevant for decision making bodies

Sector

The Advocacy Model

Third Phase – Build Dependency

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What happened after we shared the data?Lancashire Economic Partnership

Major Input into Economic Downturn Report for 4Northwest

Collaborative Reporting and Shared Input into Policy Making

West Lancashire District Council

Report on SoHo Businesses across the Borough, Profiling of Industry Sectors and provision of Data on Plastics Manufacturers.

Informing Policy Making

The Mersey Partnership

Cross LA Report on Commercial Risk Position at Sub-Regional Level and Insolvency Rates

Benchmark Reporting

Manchester City Council

Ward level Reporting on Commercial Risk and Insolvency Rates amongst Businesses in Manchester to identify and market to Businesses in need

Supporting Data Driven Decision Making

Liverpool Vision

Testing of criteria to inform delivery of Business Support Activity designed to render assistance to struggling retail Businesses

Data Driven Marketing to effect the optimum delivery of Public Funding available to support struggling Businesses and that its impact can be effectively measured

The Commission for the New Economy (Manchester Enterprises)

Cross Local Authority View of Commercial Risk, Insolvency and Businesses by Size and Turnover

Top Down versus Bottom-Up view of Policy Making to identify severity and concentration of impact upon Businesses of both the recession and policy

Bolton Council/Business Bolton

Profiling of Large Businesses by Employee Nos. to identify Businesses in Above Average or High Commercial Risk Bands

Segmentation to drive Collaborative Direct Marketing Activity to deliver Business Support to deliver policy impact – in this case ameliorate the impact of unemployment

Cumbria Vision

Sub-Regional View of Business Performance across all 6 Local Authorities

Provision of Data where none existed previously and the development of shared analytical resource facilities to meet analytical resource deficiencies – in this case the Cumbria Observatory.

Page 65: The Business Performance Index   Development And Evolution & Performance

Internal

Local hierarchy of business support functions demand input to decision making and assessment of economic impact.

Data becomes more relevant for decision making bodies

Sector Geography

The Advocacy Model

Fourth Phase – Widen User Base

Page 66: The Business Performance Index   Development And Evolution & Performance

How do you Identify a…

Liverpool (13,704)

Employs 50 or more (207)

Central Ward (66)

In Retail Sector (4)

Deteriorating Payment Profile (1)

…company that is at least of Above Average Risk

which is based in Liverpool

which Employs 50 or more Employees at Site

specifically in the Central Ward

which is in the Retail Sector

whose payment profile is deteriorating.

The Power of the BPI: Project Rapier – a Business Support Partner in Liverpool’s objective of spending £10M to save 40 businesses in the

retail sector by end Q1 2009

£729.71£729.71

£48,309£48,309

£151,515£151,515

£2.5M£2.5M

£10M£10M

-This information is based on data provided by Experian. The data has been subject to further analysis by Business Link North West.  

Are we seriously suggesting

that we would be prepared to

give just 1 Retailer all £10M of the

available support funding?

Page 67: The Business Performance Index   Development And Evolution & Performance

• Zavvi payment profile was 20 days better than industry sector average from Jan 2008 – June 2008

• In July Zavvi payment profile was in line with sector average (20 days beyond terms)

• By September the profile was 60 days beyond terms, October was 80 days. Zavvi went into receivership in December

• What is the true cost of poor data - £10m?

And that business was?

Page 68: The Business Performance Index   Development And Evolution & Performance

Internal

Demand for joined up information sources and “one version of the truth” among all business support organisations.

Tie together regional strategy and delivery with a system of quantifiable evidence based results

Data becomes more relevant for decision making bodies

Sector Geography Local

The Advocacy Model

Fifth Phase – Consolidate Business Intelligence

Page 69: The Business Performance Index   Development And Evolution & Performance

Internal

Regional Data can be used to challenge and improve National directives.

Involve regional factual data in National extrapolation.

Data becomes more relevant for decision making bodies

Sector Geography Local Regional

The Advocacy Model

Sixth Phase – Influence National Agenda

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What Have We Built

"Success is the ability to go from failure to failure without losing your enthusiasm” Winston Churchill

• Developed the first of its kind Business Objects reporting tool for Business Support in the North West.

• Have placed “evidence based” policy making capabilities within the reach of the regions political agencies.

• We have challenged perceived truths and can support or refute anecdotal claims

• We have developed cutting edge Fuzzy Logic matching routines

• We have mapped the main business classification systems to the language used in Local Government and Business Support

• Created the first B2B profile driven database

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Risks & Key Considerations

•Data Protection (DPA) is a key issue – currently Business Link are investigating with Eversheds the steps required to allow us to share data whilst ensuring compliance with DPA

•The service development within Business Link needs to focus on data integrity

•Business Link can offer a unique perspective on the North West Business community and offers specific anecdotal evidence to the BPI to enhance its credibility with partners

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Data SharingProgress to date:

• Director and Senior Manager allocated responsibility for Data Protection

• Extended the scope of purpose for ICO registration

• BLNW Data Protection policy and procedures now in draft

• BLNW Contract in place with Experian

• Technical controls now in place

• Data sharing Partner agreements distributed to partners

• Staff training in Data Protection ongoing

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Data Sharing – Ensuring compliance……To ensure compliance and demonstrate that BLNW has conducted its operation properly, the following principles will be adopted with Partners:

• Partners and BLNW will ensure staff reliability by training all staff in Data Protection

• BLNW and our data sharing partners will meet regularly to review and further develop our Data Protection and IT security strategies.

• BLNW will only share data with agreed partners and that data will be screened to prevent disclosure of confidential data

• BLNW will advise data sharing partners where ‘purposes’ as declared under registration with the Information Commissioner are not compatible with our purposes.

• While purposes do not have to be identical they do need to be compatible and not contradictory.

• Bespoke Data Sharing agreements with all Partners.

• Ongoing engagement and close Partnership working with the BLNW data team.