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Figure 6-51. Setting the thresholds
32.
Save the KPI and workspace file.
The thresholds used in the last target created might not seem to make sense at first. The default banding pattern
used by PerformancePoint is “Band by normalized value of Actual/Target.” In this mode, a calculation is performed on
each actual and target value for the KPI. A percentage is assigned based on the distance the actual and target are from
the “worst value” set in step 3 of the scoring pattern wizard. By default, the “worst value” is set to 0. The worst value is
somewhat arbitrary because it is quite possible for actual values to be below it. The percentages calculated in that case
are simply negative.
In our case, 0% indicates that the gross profit margin for the selected promotion is exactly the same
as for the No Discount promotion. If it’s lower, the percentage value is negative. If it’s better, the value is positive.
AdventureWorks management has decided that our profitability goal for these promotions is to be within 20 percent
of the non-discounted value (green indicator). A value worse than 100 percent below the standard indicates a serious
problem, so the indicator turns red. Anywhere between –20 percent and –100 percent, the indicator will show a slight
problem or a yellow indicator.
 
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