ROE Du Pont Chart and the respective KPIs


  1. The most efficient approach to organisational analysis is through the ROE Chart.  The critical success factors is identified through its strength and weaknesses.
  2. If the company perform better than standard and that strength has significant impact on the result where the entrepreneur has to focus his attention is one set CSF.
  3. If the company has some weak performance areas which could have a significant impact on the result is another set of Critical performance gaps.
  4. The targeted return objective should be cascaded downwards along the ROE chart through the departments to the individual lowest bottom worker.
  5. To identify the critical activities, Pareto principle and sensitivity analysis could be applied.
  6. Performance standards should be benchmarked with that of the industry.
  7. Trends either positive or negative also determines a set of critical activities.
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