dataviz/docs/09-unify.md

# UNIFY – Apply semantic notation

UNIFY covers all aspects of applying semantic notation in reports and
presentations.

_Applying semantic notation_ means that reports and presentations follow this
governing principle: _Similar content should be visualized in a similar manner;_
what looks the same should also mean the same. On the flip side: If the content
is not the same, it should not look the same.

In many specialized disciplines such as engineering, music, and architecture,
_semantic notation standards_ are a matter of course. The world of business
communication lacks such notation standards, one of the main reasons management
reports are sometimes hard to understand. For example, no common agreement on
the meaning of various style elements such as titles, line markers, axes,
highlighting indicators, etc. used in business charts exists yet.

This chapter covers semantic rules for all important and frequently recurring
aspects of meaning in the context of business communication, such as terminology
(e.g. words, abbreviations, number formats), descriptions (e.g. messages,
titles, legends), dimensions (e.g. measures, scenarios, time periods), analyses
(e.g. comparisons and variances), and indicators for highlighting, scaling and
other purposes.

1. [Unify terminology](#un-1-unify-terminology)
2. [Unify descriptions](#un-2-unify-descriptions)
3. [Unify dimensions](#un-3-unify-dimensions)
4. [Unify analyses](#un-4-unify-analyses)
5. [Unify indicators](#un-5-unify-indicators)

## UN 1 Unify terminology

_Terms_ are the non-visual part of business communication. Unified _terms and
abbreviations_ as well as unified formats for _numbers, units and dates_
accelerate understanding.

## UN 1.1 Unify terms and abbreviations

![Figure UN 1.1: Unify terms and abbreviations](img/un-1.1.png)

The standardization of terms and abbreviations in reports and presentations is
achieved by using an unambiguous language (see SA 4.2 “[Speak with precise
words](01-say.md#sa-42-use-precise-words)“) and by unifying the usage of terms
(glossary).

Unify, compile and explain all terms and abbreviations used in reports and
presentations in a clearly arranged _glossary_ including abbreviations and
definitions, see Figure UN 1.1.

A glossary with terms and abbreviations in more than one language might be
necessary in order to avoid different translations.

Often the names of business measures are too long for charts and tables. Use
abbreviations instead. It might be a good solution to define _short
abbreviations_ (e.g. to _A/R_ for _Accounts Receivable_ be used in table
_column_ headers) and _long abbreviations_ (e.g. _Acc. Receiv._ to be used in
table _row_ headers).

Unified terms and abbreviations for the notation of scenarios and time periods
are covered in the respective sections.

## UN 1.2 Unify numbers, units, and dates

![Figure UN 1.2: Unify numbers, units, and dates](img/un-1.2.png)

The uniform use of formats for numbers, units and dates will enhance legibility,
see Figure UN 1.2.

**Numbers**

Different languages and countries use different _number formats_, e.g.
1.234.567,00 (D); 1,234,567.00 (USA); 1’234’567,00 or 1’234’567.00 (CH).

It is important to unify the number formats in all reports and presentations.
The _International System of Units (SI)_ as described in “ISO 80000-1”
recommends the following notation:

-   Thousand delimiter: 1 234 (blank space)
-   Decimal sign: 1,23 or 1.23 (SI allows both versions)

Do not use long numbers in order to avoid distraction and to concentrate on the
essentials, see also SI 5.2 “[Avoid long
numbers](05-simplify.md#si-52-avoid-long-numbers)”. Use _currency prefixes_ and
_metric prefixes_ to limit the number of digits to a maximum of three in charts
and four in tables.

The most common formats for _negative values_ are “-123” and “(123)”. Use the
same format for all negative values.

_Positive values_ do not have a plus sign, unless they represent variances.

**Currencies**

Use the standard _currency abbreviations_ based on [ISO
4217](http://en.wikipedia.org/wiki/ISO_4217). ISO 4217 provides a set of
currency abbreviations using three-letter acronyms such as EUR, CHF, USD, and
GBP. The use of special currency symbols such as €, $, and ₤ is not recommended
if a report includes many different currencies.

Use “metric prefixes” in combination with the currency units for monetary values
expressed in thousands or millions. Use lower case characters to differentiate
the prefixes from the currency abbreviations and use single digit metric
prefixes to save space, such as “k” for thousand, “m” for million and “b” for
billion. The following shows the correct use of currency metric prefixes with
EUR:

1 bEUR = 1 000 mEUR = 1 000 000 kEUR = 1 000 000 000 EUR

(The metric prefixes for physical units are “M” for “millions”and “G” for
“billions”. Nevertheless, this guide suggests using “m” and“b” for currency
metric prefixes, as “mEUR” and “bEUR” which is easier to understand than MEUR
and GEUR.)

**Physical units**

For _physical units_ use the [International System of Units
(SI)](http://en.wikipedia.org/wiki/International_System_of_Units) such as kg, t,
m, km, etc.

In the case of non-monetary values expressed in thousands or millions, use
[metric prefixes](http://en.wikipedia.org/wiki/Metric_prefixes) suggested by the
_International System of Units_ such as “G” for billion, “M” for million, and
“k” for thousand.

**Dates**

_Dates_ are best displayed using [ISO
8601](http://en.wikipedia.org/wiki/Iso_date), an international standard covering
the exchange of date and time-related data: YYYY-MM-DD, e.g. “2015-12-31”.

Other significant notation principles regarding time-related aspects will be
dealt in UN 3.3 “[Unify time
periods](09-unify.md#un-33-unify-time-periods-and-points-of-time)”.

## UN 2 Unify descriptions

_Descriptions_ are textual elements that describe the visual elements in reports
and presentations facilitating comprehension. The following suggests unified
layouts for every kind of _descriptions_.

## UN 2.1 Unify messages

![Figure UN 2.1: Unify messages](img/un-2.1.png)

The _message_ the author intends to convey to the reader or audience is best
recognized, if the position and the layout of the message is always the same,
see Figure UN 2.1.

![Figure UN 2.1-1: Message text line](img/un-2.1-1.png)

The _notation_ of messages should be two text lines at the top of a report or
presentation page, either a) above the title (see figure on the left) or b)
right of the title. Position b) is not structured as clearly as position a) but
it helps saving valuable vertical space especially on pages in landscape format.

## UN 2.2 Unify titles and subtitles

![Figure UN 2.2: Unify titles and subtitles](img/un-2.2.png)

_Titles_ identify the content of pages and their objects in its entirety,
omitting nothing necessary to understand the content, see Figure UN 2.2. In
contrast to messages, titles do not contain any evaluating aspects, such as
interpretations, conclusions, or propositions.

If there is more than one object on a page, use _page titles_ for entire pages,
slides, or screens and _sub titles_ for different objects on a page.

**Page titles**

_Page titles_ identify the content of a page. In general, three lines suffice to
completely describe the content of a page:

**Title line 1: Reporting unit**

Element(s) of a structure dimension representing the object of the report,
typically a legal entity, an organization unit, a line of business, a project,
etc. or combinations thereof, e.g.

-   ABC Corporation
-   ABC Corporation and its main competitors
-   ABC Corporation, European division
-   ABC Corporation, European division, Project B

Add filter information if the elements are not exhaustive, e.g.

-   International Chocolate Corporation, top ten clients
-   International Chocolate Corporation, divisions with negative EBIT in 2016

If title line 1 becomes too long its content can be split into two lines, e.g.

```
International Chocolate Corporation, European division
Top ten clients
```

**Title line 2: Business measure(s)**

Element(s) of the measure dimension such as sales, profit, and shipment.
Business measures are measured either in currency units (e.g. EUR, USD) or in
physical units (e.g. #, kg, t). Use metric prefixes (e.g. k, m, b) where
appropriate. Measures are written in bold font, their units are written in
regular font. Examples are:

-   **Net sales** in mEUR
-   **Net sales** in mEUR, **margin** in %
-   **Headcount** in #

Use a suiting name for a _set of measures_, if more than two measures have to be
presented on one page. Examples are:

-   **Income statement** in kEUR
-   **ROI tree** in mEUR
-   **Balanced scorecard**
-   **Product market portfolio**

Use footnotes if parts of the measures are redundant or if parts of the measures
are of minor importance for understanding. Examples are:

-   **Net sales** in mEUR (without intercompany sales) – simpler: **Net
    sales\*** in mEUR
-   **Operating margin** in mEUR (non-IFRS) – simpler: **Operating margin\*** in
    mEUR

_Additional information_ about the way presenting the content can help to
understand better the respective page. They might concern structure dimensions,
e.g.

-   **Profit** in mUSD, by products
-   **Net sales** in kEUR, by products and by countries

or they might be analytical annotations, e.g.

-   **Net sales** in mEUR and **profit** in mEUR, sorted by net sales (↓)
-   **Full time equivalents** in #, indexed (2012 = 100%)
-   **Gross margin** in kUSD, top ten

or even combinations of structure dimensions and analytical annotations, e.g.

-   **Net sales** in mEUR, by countries, sorted by net sales (↓)
-   **Full time equivalents** in #, by offices, indexed (2012 = 100%)

If title line 2 becomes too long its content can be split into two lines, e.g.:

```
**Full time equivalents** in #, by offices
Indexed (2012 = 100%)
```

```
**Net sales** in mEUR, by countries
Sorted by net sales (↓)
```

**Title line 3: Time period(s) scenario(s), and variance(s)**

![Figure UN 2.2-1: Title lines](img/un-2.2-1.png)

Element(s) of the time dimension (e.g. years, months), of the _scenario_
dimension (e.g. actual, plan), and variances (e.g. ΔPL, ΔPL%) if necessary.

In general, elements of the _time_ dimension (e.g. 2016, 2016-Q1) are necessary
for understanding. Elements of the _scenario_ dimension (e.g. AC, PL, FC)
and _variances_ are added if they help to understand the page content faster. If
only actual values are presented, the attribute AC can be omitted.

Display the time element first if both time and scenario elements are shown in
title line 3.

Use “&” (ampersand sign) when title elements together make up a time series,
e.g. “AC&PL” (without blanks) if the first 8 months of a year present AC values
and the last 4 months present PL values.

Use “and” when different elements are presented for all time periods, e.g. “AC
and PY” if all 12 months of a year present both AC and PY values.

Examples of alternative arrangements in _title line 3_ are:

-   2017-Q1
-   2016-03..2017-02
-   2017 AC and PL
-   2017 AC&FC and PY
-   2016 AC, 2017..2021 PL, or: 2014..21 AC&PL, or: 2014..21
-   2016 AC and PL and ΔPL, or: 2016 AC and PL, or: 2016

Keep it clear and easy to understand – too many elements tend to be confusing.
In many cases the information depicted in column headers of tables and legends
of data series in charts are sufficient and give better and quicker insight than
long texts in _title line 3_. In any case, rules for abbreviating time periods
and dates as well as the rules for abbreviating scenarios and variances must be
followed.

In general, position _page titles_ at the very upper left corner of a page,
directly underneath the message (if a message exists). Alternatively, position
them at the same height as the message if there is not enough space – preferably
on the left hand side of the message.

Here are some typical examples of _page titles_:

```
Chocolate Corp.
**Gross profit** in mUSD
2016
```

```
Construction Inc., Division EMEA
**Net sales** in mEUR, **profit margin** in %
\_2016-Q3 (AC, PL)
```

```
Beverage Corporation
**Product market portfolio**
2015 and 2016
```

```
Milk & Cheese Corp.
**Shipments** in t, by product, by country
2016-W01..10
```

**Subtitles**

![Figure UN 2.2-2: Subtitles](img/un-2.2-2.png)

_Subtitles_ identify either page segments or objects (e.g. charts and tables)
within a page with multiple objects. They complement the identification
information already given in the page title. Subtitles display identifiers that
differ from object to object on a page. Put identifiers that are identical for
all objects of a page in the page title and not in the subtitles.

In most cases, one line is sufficient for subtitles because different elements
of only one dimension have to be identified. Typical examples are:

```
**Revenue** in mEUR
Apples
2014..2016
```

```
**Sales** in SKU
Pears
2016-Q1..Q4
```

```
**Avg. price** in EUR/SKU
Oranges
2016-10..12
```

_Subtitles_ are positioned above the respective objects (charts, tables, etc.)
which they identify – either centered or left-aligned.

**Titles on screen pages**

Unlike titles on printed pages, the layout of titles on screen pages can depend
on the device (responsive design). For small devices in landscape format e.g.
writing the three title lines in one line separated by a “|” (pipe sign) is a
valid solution.

Titles on screen pages can also mutually interfere with interactive navigation
objects such as drop-down boxes for selection and check boxes for filtering.
These navigation objects can contain redundant title information, but they
cannot replace the title or parts of it. Hide these navigation objects when they
are not in use or when the screen page is being printed.

## UN 2.3 Unify the position of legends and labels

![Figure UN 2.3: Unify the position of legends and labels](img/un-2.3.png)

A standardized notation of _legends_ and _labels_ will improve legibility and
speed up comprehension of charts, see Figure UN 2.3.

**Legends**

_Legends_ (also called “_data series labels_”) identify data series.

If possible, integrate legends into charts, not positioned externally. Write
legends horizontally for better legibility.

Legends for single column charts and single bar charts are best integrated into
the title.

![Figure UN 2.3-1: Legends of a stacked column chart](img/un-2.3-1.png)

In stacked column charts, position legends either to the left of the leftmost
column or to the right of the rightmost column.

![Figure UN 2.3-2: Legends of a stacked bar chart](img/un-2.3-2.png)

Center legends of stacked bar charts above the top bar.

![Figure UN 2.3-3: Legend with assisting line](img/un-2.3-3.png)

_Assisting lines_ can help to assign the legends to the correct _visualization
elements_. In grouped column charts and grouped bar charts, assisting lines can
also help to assign the legends to the correct _visualization elements_.

![Figure UN 2.3-4: Legends of a line chart](img/un-2.3-4.png)

In line charts, position legends either to the right of the line end or close to
the course of the line.

![Figure UN 2.3-5: Legends in a chart with two value axes](img/un-2.3-5.png)

For charts with two value axes, externally positioned legends next to symbols
can be a good choice. When helpful, integrate these legends into the chart by
positioning them next to typical points or bubbles.

**Labels**

_Labels_ (more precise: _data labels_) assign the data values to the respective
visualization elements.

Omit labels of small visualization elements, use labels with not more than three
digits, and avoid unnecessary and distracting labels (see also the SIMPLIFY
rules SI 5 “[Avoid distracting
details](05-simplify.md#si-5-avoid-distracting-details)”).

Write labels horizontally for better legibility.

Position labels next to their visualization elements. If this is not possible,
use lines connecting the labels to the correct visualization elements.

![Figure UN 2.3-6: Labels in a column chart](img/un-2.3-6.png)

In charts with horizontal category axes, position labels above or below the
visualization elements, see the first and second figure. In stacked columns,
either center labels in the data points (if the data points are large enough) or
position them outside of the data points.

![Figure UN 2.3-7: Labels in a line chart](img/un-2.3-7.png)

![Figure UN 2.3-8: Labels in a chart with vertical category
axis](img/un-2.3-8.png)

In charts with vertical category axes, position labels right or left of the
visualization elements. In stacked bars, either center labels in the data points
(if the data points are large enough) or position them outside of the data
points.

![Figure UN 2.3-9: Labels in a chart with two value axes](img/un-2.3-9.png)

In charts with two value axes, position labels next to the visualization
elements (above or below, right or left). Large bubble visualization elements
labels can also have centered labels.

## UN 2.4 Unify comments

![Figure UN 2.4-1: Unify comments](img/un-2.4-1.png)

Mainly in static reports, _comments_ detail other elements (e.g. definitions of
data series) and objects such as charts and tables. Sometimes comments also
refer to complete pages.

The level of comprehension increases when comments refer directly to the visual
representation. Therefore, comments on an object (e.g. chart) are integrated
into that object when possible. Comment elements should be linked to the content
of tables, charts, etc. through comment references.

## UN 2.5 Unify footnotes

![Figure UN 2.5-1: Unify footnotes](img/un-2.5-1.png)

_Footnotes_, a special type of comments, provide general explanations,
explanations of abbreviations, and information that increases the credibility of
the content such as the sources or the dates of retrieval and printing. They can
be omitted from slides projected on the wall, but must be included in written
material.

Position footnotes at the bottom of a page.

## UN 3 Unify dimensions

Data in reports and presentations can be viewed from various perspectives called
_dimensions_. For example, all business measures, such as sales, profit, margin,
etc., constitute a measure dimension, all months, quarters, years, etc., a time
dimension.

Identifying dimensions via uniform visualization will help to understand reports
and presentations.

This section suggests visualization standards for measures, scenarios, time
periods, and structure dimensions.

## UN 3.1 Unify measures

![Figure UN 3.1: Unify measures](img/un-3.1.png)

Business _measures_ such as sales, profit, margin, etc. describe, report, and
calculate business situations. A standardized notation will help to comprehend
the specific characteristics of measures, e.g. whether they are basic measures
or calculated ratios of measures, whether they represent value or volume
figures, flow or stock figures, or whether they have a positive or negative
impact, see Figure UN 3.1.

The _visualization_ of business measures is presented here. Their _definition_,
generally given in accounting manuals or similar documentation, is not
discussed here.

**Basic measures and ratios**

_Basic measures_ such as “export sales” are directly derived from business
processes. _Ratios_ such as “return on sales” are quotients of two basic
measures.

**Basic measures**

Basic measures have either _currency units_ (e.g. EUR) or _physical units_ (e.g.
kg). They are neither shares of something (percentages) nor quotients of two
measures.

![Figure UN 3.1-1: Monthly basic measures in a column chart](img/un-3.1-1.png)

Use 2/3 of the category width for the column width in _column charts_ and the
bar width in _bar charts_ to visualize basic measures.

![Figure UN 3.1-2: Monthly basic measures in a line chart](img/un-3.1-2.png)

Use thick lines for representing basic measures in _line charts_.

**Ratios**

_Ratios_ are quotients of two basic measures such as “return on sales”. In
practice, few denominators exist: “Sales”, “units sold”, “headcount”, and
“capital”constitute the majority of all business ratios.

If both the enumerator and denominator have the same unit the resulting ratio
has no unit. It is expressed in _percent_ (e.g. “profit in % of sales”).

In addition, if both enumerator and denominator have the same basic measure
(e.g. “headcount”), it is called a _share_(e.g. “gender share”).

![Figure UN 3.1-3: Monthly ratios in a column chart](img/un-3.1-3.png)

The width of both bars and columns representing _ratios_ is 1/3 of the category
width, i.e. 50% of the width of bars and columns representing _basic measures_.

![Figure UN 3.1-4: Monthly ratios in a line chart](img/un-3.1-4.png)

Represent ratios in _line charts_ with thin lines (50% of thick lines).

**Value and volume**

_Value_ measures such as “profit” and “capital” have currency units. _Volume_
measures such as “shipment” and “headcount” have physical units.

**Flow and stock**

_Flow_ measures like “net sales” relate to a certain _time period_ such as
months or years. _Stock_ measures like “inventory” relate to a certain _fixed
date_, such as December 31st of 2015 (at midnight).

**Positive, negative, and neutral impact**

An increase of a _positive measure_ such as “profit” or “sales” positively
impacts the organization’s result.

An increase of a _negative measure_ such as “cost” or “waste” negatively impacts
the organization’s result.

An increase of _neutral measures_ such as “market size” or “investment” has no
direct impact to the organization’s result.

## UN 3.2 Unify scenarios

![Figure UN 3.2: Unify scenarios](img/un-3.2.png)

_Scenarios_(also called data categories, data types, or versions) represent
different layers of a business model. Typical scenarios are “Actual”, “Previous
year”, “Plan”, “Budget”, and“Forecast”. In special cases _benchmarks_ such as
competitor data or market averages are also called scenarios.

Often comparisons and variances between different scenarios are presented to
provide business insights.

There are two basic types of scenarios:

-   **Actual scenarios** refer to _measured_ data about things that already
    happened in present or past time periods. These data might not be perfectly
    correct because of difficulties with systems, unclear definitions, and false
    data acquisition – but they are as correct as possible. The terms we use
    most often for scenarios of this type are ‘Actual’ and ‘Previous year’.

-   **Planned scenarios** refer to _fictitious_ (not materialized) data. The
    terms we use most often for scenarios of this type are ‘Plan’ and ‘Budget’.

In-between those two basic scenario types there is a third one:

-   **Forecasted scenarios** refer to _expected_ data which are strictly
    speaking fictitious but already taking into account measured data. A typical
    example forexpected data is the sales forecast based on the measured order
    entry. Forecasted scenarios represent a higher level of certainty than
    scenarios with planned data but are not completely materialized yet. The
    term we use most often for scenarios of this type is ‘Forecast’.

When analyzing charts and tables, it is very important to quickly recognize
whether you look at measured, expected, or fictitious data. Readers can visually
recognize these scenario types by looking at the _area fill_ of a visualization
element without having to read the labels. Typical chart visualization elements
such as bars, columns, line chart markers, scenario triangles, etc. carry the
semantic scenario notation.

In charts presenting variances, their _axes_ carry the semantic scenario
notation in order to show the respective reference scenario (see [UN
4.1](09-unify.md#un-41-unify-scenario-analyses)).

In charts with stacked columns, stacked areas, and charts with multiple lines or
areas, the application of this semantic scenario notation can become a
challenge. In these cases, applying the semantic notation to the axis instead of
the columns etc. is a valid option.

**Actual scenarios: measured data**

![Figure UN 3.2-1: Visualization of measured data](img/un-3.2-1.png)

Scenarios with measured data are identified by a solid dark (e.g. black or dark
gray) fill for the areas of the respective visualization elements.

If measured data of recent periods (“Actual”) are compared with measured data
from earlier periods (e.g. “Previous year”,“Previous month’”, “Month YoY”) the
areas representing the earlier periods are identified by a lighter solid fill
(e.g. light gray).

The suggested two-letter codes for the most important measured data scenarios
are “AC” for “Actual” and “PY” for “Previous Year”.

**Planned scenarios: fictitious data**

![Figure UN 3.2-2: Visualization of fictitious data](img/un-3.2-2.png)

Scenarios with fictitious data are identified by bordered (outlined, framed)
areas of the respective visualization elements. The areas within these borders
literally “fill up when materializing”, e.g. when changing from fictitious data
to measured data.

The suggested two-letter codes for the two most important fictitious data
scenarios are “PL” for “Plan” and “BU” for“Budget”.

**Forecasted scenarios: expected data**

![Figure UN 3.2-3: Visualization of expected data](img/un-3.2-3.png)

Expected data is strictly speaking fictitious, so they are also identified by
bordered (outlined, framed) areas. However, as it is based on measured data, the
area fill of the respective visualization elements becomes hatched. The color of
the dark stripes correspond to the color of measured data (e.g. dark gray).

The suggested two-letter code for the most important expected data scenario is
“FC” for “Forecast”.

## UN 3.3 Unify time periods and points of time

![Figure UN 3.3: Unify time periods and points of time](img/un-3.3.png)

Using standard notations for _time periods_ (for flow measures) and _points of
time_ (for stock measures) is important as they are frequently applied to all
forms of business communication. This requires standard notations for the visual
direction of time, time period and points of time abbreviations and – in charts
with horizontal time axes – category widths, see Figure UN 3.3.

**Visual direction of time periods**

![Figure UN 3.3-1: Visual direction of time periods](img/un-3.3-1.png)

As opposed to structural comparisons, horizontal axes visualize data series over
time. In tables, present data series over time in columns. In both cases time
moves from left to right.

**Time period and points of time abbreviations**

![Figure UN 3.3-2: Time period and points of time
abbreviations](img/un-3.3-2.png)

For a better understanding, use unified _abbreviations for time periods and
points in time_. ISO 8601 recommends the following pattern for time periods:
YYYY-MM-DD (e.g. 2017-05-13) for its unambiguousness and easy sorting. The
_abbreviations_ in the figure.

In some countries or organizations other abbreviations such as Oct 2017, Q2
2017, W07 2017 are common. They can also be used as long as they are used
consistently.

A “.” (full-stop) before the period name indicates the _first day_ of a time
period, e.g. “.2017” for the first day of 2017 or “.Jun” for the first day of
June.

Likewise, append “.” (full-stop) to the period name to visualize the _last day_
of a time period, e.g. “2017.” for the last day of 2017 or “Jun.” for the last
day of June.

The sign “..” (two full-stops) indicates a _time span,_ e.g. “Jan..Mar” (without
blanks) for “from January to March.”N.B.: Use two dots instead of three dots
(“ellipsis”).

**Category widths**

![Figure UN 3.3-3: Category widths](img/un-3.3-3.png)

When helpful, differentiate different types of time periods with different
_category widths_ according to this rule: the longer the period the wider the
category segments on the category axis.

It might be necessary to use rather _wide_ category segments to label stacked
columns or rather _narrow_ category segments due to restricted dashboard space.
In any case, if certain period types have been allocated certain category
widths, this allocation should be the same for the entire report or
presentation.

## UN 3.4 Unify structure dimensions, use vertical direction

![Figure UN 3.4: Unify structure dimensions, use vertical
direction](img/un-3.4.png)

_Structure dimensions_ are all dimensions that are not measures,
scenarios, or time periods. In many cases, the following structure dimensions
are used: regions, organization units, products, customers, channels, and
accounts.

Display structures always in vertical direction. Use custom symbols if it is
helpful to differentiate structure dimensions, see Figure UN 3.4.

## UN 4 Unify analyses

_Analyses_ are carried out in order to understand certain business situations,
e.g. finding the greatest variances from a plan or calculating the monthly
average.

This section comprises analyses regarding different dimensions such as scenario
analyses, time series analyses, and structure analyses. A section covering
different adjustment analyses is added.

## UN 4.1 Unify scenario analyses

![Figure UN 4.1: Unify scenario analyses](img/un-4.1.png)

_Analyze scenarios_ by comparing them and by calculating their absolute and
relative variances. Notation standards for scenario analyses cover the labelling
of variances and the semantic design of chart elements such as columns, bars,
and axes, see Figure UN 4.1.

**Scenario comparisons**

![Figure UN 4.1-1: Scenario comparisons](img/un-4.1-1.png)

_Scenario comparisons_ place the data of different scenarios next to each other,
for example actual data next to previous year or budget data. This is relevant
for both charts and tables. In tables, scenarios usually are shown in columns.

Scenarios can be compared in an absolute or relative way:

Absolute variance = primary scenario – reference scenario

Relative variance = absolute variance / reference scenario

![Figure UN 4.1-2: Column charts with scenario comparisons](img/un-4.1-2.png)

Arrange scenarios of _different time periods_ (mainly years) in temporal
ascending order either from left to right (horizontal axes) or from above to
below (vertical axes), e.g. PY (= AC 2014), FC 2015, PL 2016.

No rule governs the sequence of scenarios referring to the _identical time
period_ – e.g. PL 2015, FC 2015, AC 2015, but the selected sequence should be
kept the same in all charts and tables.

_Scenario comparisons_ are visualized either by grouping columns or bars (e.g.
overlapping columns of PY and AC or overlapping bars of PL and AC), or with
_scenario triangles_ using the respective area coding (e.g. solid light color
for PY) to represent the reference scenario. _Scenario triangles_ can also be
added to overlapped bars or columns in order to show a third scenario.

The scenarios AC and FC stand in the foreground of other scenarios in grouped
columns or bars.

**Absolute variances**

An _absolute variance_ is the difference between two values of one measure from
different scenarios.

The sign “Δ” represents the absolute variance as a prefix to the subtrahend of
the respective difference, i.e. “ΔPL” for the absolute difference “AC minus PL”
(AC-PL) or – if FC is compared to PL – “FC minus PL” (FC-PL).

The most common _absolute variances_ are the following:

-   **Plan variance:** “ΔPL” for AC-PL or FC-PL (when comparing FC to PL)

-   **Previous year variance:** “ΔPY” for AC-PY or FC-PY (when comparing FC to
    PY)

If it is not clear whether AC or FC is compared to plan in ΔPL or ΔPY, use the
following notation:

-   **Plan variance:** “AC-PL” and “FC-PL”
-   **Previous year variance**: “AC-PY” and “FC-PY”

_Positive absolute variances_ (as well as positive percent variances) have a “+”
to emphasis this aspect: “+13” always means a _variance_ of 13, “13” means any
absolute value of 13.

If absolute variances are displayed in columns or bars (“variance columns” or
“variance bars”), these variance columns or bars have the same width and the
same scale as the corresponding base value columns or bars.

![Figure UN 4.1-3: Colors for displaying variances](img/un-4.1-3.png)

Variance bars and columns representing a _positive impact_ on business issues
(mainly result) are colored green, those representing a _negative impact_ red,
see figure on the left. Variance bars and columns representing a _neutral
impact_ are colored medium gray. If no color is available, replace red with dark
gray, green with light gray. For readers with color deficiency, replace green
with blue-green.

If it is helpful, numbers in tables representing variances are colored in the
same way.

**Note**: These colors for positive, negative, or neutral variances must not be
confused with red and green “traffic lights” (see also EX 2.5 “[Replace traffic
lights](04-express.md#ex-25-replace-traffic-lights)”).

![Figure UN 4.1-4: Bar charts with absolute variances](img/un-4.1-4.png)

In order to visualize the _scenario to be analyzed_ (minuend), apply scenario
notation to the fill of the variance columns or bars, e.g. _solid_ green or red
fill for AC and _hatched_ green or red fill for FC. If in special cases the
minuend is PL (e.g. variance of plan versus average) the variance columns and
bars are _outlined_ green or red.

Position data labels for variance columns and bars always _outside_ of these
visualization elements. These labels’ position aligns with the direction of
positive or negative increase, i.e. the label of a positive variance (green) in
a variance column is positioned above the column; the label of a negative
variance (red) on the left hand side outside of the bar.

In order to visualize the _reference scenario_ (subtrahend) of an absolute
variance (in general PY, PL, or BU), apply scenario notation to the axis: For
absolute variances to PY the axis is colored solid light, for absolute variances
to PL or BU the axis takes an outline shape (two parallel lines).

Treat variances of ratios, e.g. percent values (profit on sales) in a special
way: Absolute variances of percent values are called _percent points_, e.g. AC
50% – PL 40% = +10pp.

**Relative variances**

A _relative variance_ is an absolute variance as a percentage of the subtrahend
of the absolute variance.

For the textual notation of relative variances, use the sign “Δ”as a prefix to
the subtrahend and the sign “%” as appendix, e.g. ΔPL% for the relative variance
(AC-PL)/PL\*100.

The most common _relative variances_ are the following:

-   **Plan variance**: “ΔPL%” for (AC-PL)/PL\*100 or (FC-PL)/PL\*100 (when
    comparing FC to PL)

-   **Previous year variance**: “ΔPY%” for (AC-PY)/PY\*100 or (FC-PY)/PY\*100
    (when comparing FC to PY)

Display “n.a.” (not available) if the calculated relative variance cannot be
interpreted, as is often the case when a positive value is compared to a
negative reference value (denominator):

```
Profit AC = 30
Profit PL = -30
ΔPL = +60
ΔPL% = 60 /
-30 = -200% => n.a.
```

Use the following notation, if it is not clear whether AC or FC is compared to
Plan:

-   **Plan variance**: “(AC-PL)%” and “(FC-PL)%”
-   **Previous year variance**: “(AC-PY)%” and “(FC-PY)%”

_Positive relative variances_ (as well as positive absolute variances) have a
“+”-to emphasize this aspect: “+13%”always means a _variance_ of 13%, “13%”
means any kind of percentage such as ratio or a share.

![Figure UN 4.1-5: Columns charts with relative variances](img/un-4.1-5.png)

Relative variances are displayed in thin columns (vertical pins) or thin bars
(horizontal pins), see the two figures on the left.

Pins representing a _positive impact_ on business issues (mainly result) are
colored green, those representing a _negative impact_ red. Pins representing a
_neutral impact_ on business issues are colored medium gray. If no color is
available, replace red with dark gray, green with light gray. For readers with
color deficiency, replace green with blue-green.

![Figure UN 4.1-6: Bar charts with relative variances](img/un-4.1-6.png)

The labels of pins and the numbers representing variances in tables can be
colored in the same way.

**Note**: These colors for positive, negative, or neutral variances must not be
confused with red and green “traffic lights” (see also EX 2.5 “[Replace traffic
lights](04-express.md#ex-25-replace-traffic-lights)”).

Position data labels of pins outside the pin in the direction of the positive or
negative increase, e.g. position the label of a horizontal pin depicting “sales
growth in %” (green) on the right hand side of the pin, position the label of a
vertical pin depicting “cost decrease in %” (green) below the pin.

Add head markers to the pins to visualize the _scenario to be analyzed_
(minuend). Apply the scenario notation to the fill of the heads, e.g. solid dark
fill for AC and hatched fill for FC.

Apply the scenario notation to the axis in order to visualize the _reference
scenario_ for a relative variance (in general PY, PL, or BU): For relative
variances to PY fill the axis solid light, for relative variances to PL or BU
the axis takes an outline shape (two parallel lines).

Treat relative variances of percent values the same way as relative variances of
absolute values, e.g. (AC 50% – PL 40%) / PL 40% \* 100 = +25%.

## UN 4.2 Unify time series analyses

![Figure UN 4.2: Unify time series analyses](img/un-4.2.png)

Notation for _time series analyses_ covers year-to-date analyses, moving
analyses, and temporal indexing, see Figure UN 4.2.

**Year-to-date analyses**

![Figure UN 4.2-1: Year-to-date analyses](img/un-4.2-1.png)

_Year-to-date analyses_ (YTD) refer to the period from the beginning of the year
to the present (_YTD time span_). The beginning of the year is not necessarily
January 1. Some companies have fiscal years beginning at other dates.

Where helpful, visualize analyses showing YTD values by prefixing an underscore
to the _time period name_, e.g. “\_Jun 2015”or “\_Jun∅” respectively.
Optionally, add the first period of the YTD time span, e.g. “January_June 2015”.
In charts, add the underscores as a prefix at the left hand side of the end of
the columns or at the upper side of the end of bars.

Year-to-date operations cover accumulation of values, calculation of averages,
and picking of last date values.

**YTD accumulation**

In this context, _accumulation_ means totaling successive time period values
from the beginning of a calendar year or fiscal year to the present. In this
stricter sense, accumulation applies only to flow measures, such as sales or
costs.

If it is helpful, visualize analyses showing _YTD accumulation_ with the
underscore prefix (without additional notation) e.g. “\_Jun 2015”.

**YTD average**

In this context, the _average_ is calculated by dividing the _YTD accumulation_
by the number of periods in the _YTD time span_. YTD average applies to both
_flow_ and _stock measures_.

If it is helpful, visualize analyses showing _YTD averages_ with the underscore
prefix and an appended “∅”sign, e.g. “\_Jun 2015∅”.

**Last date value**

A special YTD analyses for stock measures is picking the _value of the last
date_ in the _YTD time span_.

If it is helpful, visualize analyses showing _last date values_ with the
underscore prefix and an appended full-stop, e.g. “\_Jun 2015.”.

**Year-to-go analyses**

By analogy to year-to-date analyses, _year-to-go analyses_ (YTG) refer to the
period from the presence (now) to the end of the (fiscal) year.

Where helpful, visualize analyses showing YTG values by appending an underscore
to the _time period name_, e.g.“Jun-2015\_”.

**Moving analyses**

![Figure UN 4.2-2: Moving analysis labeling in a column chart](img/un-4.2-2.png)

In general, _moving analyses_ refer to the period of the previous twelve months.

If it is helpful, visualize moving analyses by prefixing the _time period name_
with a tilde, e.g. “~Jun 2015” or “~Jun∅” respectively. In charts, add the tilde
as a prefix at the left hand side of the end of columns or the upper side of the
end of bars.

Similar to year-to-date operations, moving analyses cover accumulation of values
(_moving annual total_ MAT), calculation of averages (_moving annual average_
MAA), and picking of last date values.

The visualization concept for _accumulation of values_, _calculation of
averages_, and _picking of last date values_ is identical to the visualization
concept of year-to-date analyses – the tilde simply replaces the underscore.

**Temporal indexing**

![Figure UN 4.2-3: Visualizing temporal indexing](img/un-4.2-3.png)

Using _temporal indexing_ (indexing a time series), all period values are
depicted in relation to the value of a chosen reference period (1 or 100%).

To visualize temporal indexing, position a black arrowhead pointing right at the
left of the index point. “100%” or “100”is written left of the arrowhead. If
helpful, add an assisting horizontal line.

## UN 4.3 Unify structure analyses

Notation for _structure analyses_ covers averaging, ranking, selecting,
indexing, and normalizing.

**Structural average**

![Figure UN 4.3-1: Visualizing structural averaging](img/un-4.3-1.png)

The term “_average_” usually refers to the mean of different values. The section
time series analyses described _temporal averages_ (e.g. monthly average of a
year). _Structural averages_ (e.g. average sales of several subsidiaries) are
covered here. Typical structural averages are average by product, average by
country, and average by customer.

Visualize analyses showing structural averages with a “Ø” sign either appended
or as a prefix, e.g. “EuropeØ” or “Ø464”. If needed, add an assisting line.

**Ranking**

_Ranking_ analyses refer to descending or ascending rankings of structure
elements. Words can be ranked in alphabetical order, numbers in numerical order.

If helpful, append an arrow sign to rankings, e.g. “country names↓” or “product
sales↑”.

**Selecting**

The structure analysis _selecting_ is related to the structure analysis
_ranking_, used, in general, to determine either maximal (fastest, most
expensive) elements or the minimal (slowest, cheapest) elements. Top ten, last
ten, first quartile, last percentile, etc., are common forms of selecting.

**Structural indexing**

![Figure UN 4.3-2: Visualizing structural indexing](img/un-4.3-2.png)

_Structural indexing_ depicts all element values in relation to the value of a
chosen reference element (=1 or 100%). Typical reference elements are the mean,
the maximum, or a specific element in a given structure, e.g. “Germany = 100%”.

To visualize _structural indexing_, position a black arrowhead close to the
index point. “100%” or “100”, is written next to the arrowhead. If helpful, add
an assisting line.

**Structural normalizing**

![Figure UN 4.3-3: Visualizing structural normalizing](img/un-4.3-3.png)

_Structural normalizing_ refers to the comparison of several shares of some
whole, e.g. shares of export to different countries. Indexing and normalizing
are similar analyses, indexing refers to one element (e.g. a selected country),
normalizing to the whole of several parts (e.g. country sales in % of Europe
sales).

To visualize _structural normalizing_, add an assisting line representing 100%.
Position a black arrowhead at one end of the assisting line. “100%” or “100”, is
written next to the arrowhead.

## UN 4.4 Unify adjustment analyses

_Adjustment analyses_ can offer insight into root causes as they adjust values
by neutralizing special effects. In general, _adjustment analyses_ are used in
conjunction with scenario analyses. Here the values of one scenario are
recalculated with correction factors from another scenario: e.g., adjust AC
sales for currency effects by re-measuring them with the PY exchange rates.

Typical _adjustment analyses_ deal with currency, inflation, and seasonal
effects.

## UN 5 Unify indicators

_Indicators_ in reports and presentations serve different purposes, e.g.
highlighting and scaling. Using the indicator with the same design for the same
purpose will help to identify the situation much faster.

## UN 5.1 Unify highlighting indicators

![Figure UN 5.1: Unify highlighting indicators](img/un-5.1.png)

The message to be conveyed should be highlighted on the respective page by
appropriate visual means. _Highlighting elements_ enhance the meaning and
importance of other elements. Use highlighting elements for _assisting_
purposes, for visualizing _differences_ and _trends_, for underlining _values_,
for indicating a _reference_, or for linking _comments,_ see Figure UN 5.1.

**Assisting lines and areas**

![Figure UN 5.1-1: Assisting lines](img/un-5.1-1.png)

Use _assisting lines_ for different highlighting purposes, e.g. for showing
differences, for separating, arranging, or grouping data in charts or tables, or
for coordinating visualization elements of different charts, see figure on the
left.

Use _assisting areas_ for different highlighting purposes, e.g. for highlighting
words in a longer text, or for highlighting certain parts of charts or tables.

**Difference markers**

![Figure UN 5.1-2: Difference markers](img/un-5.1-2.png)

Highlight differences in charts by using two parallel assisting lines to project
the respective lengths of two columns or bars to a _difference marker_
highlighting the distance between the two assisting lines.

Position difference markers in a way that they can clearly highlight the
respective difference.

Difference markers representing a positive impact on business issues (e.g.
profit) are colored green; difference markers representing a negative impact on
business issues (e.g. loss) are colored red. Difference markers representing
neutral impacts on business issues are colored gray.

**Trend arrows**

![Figure UN 5.1-3: Trend arrow](img/un-5.1-3.png)

Arrows can highlight trends in charts and (seldom) tables, too.

_Position trend arrows_ in a way that they can clearly highlight the direction
of the trend with the respective slope. The arrow starts at the first period and
ends at the last period included in the calculation of the respective trend. The
arrowhead is pointing in time direction. Adding a number and a designation for
the calculation method (e.g. CAGR: 10.8%) will give additional insight.

Trend arrows representing a positive trend are colored green; trend arrows
representing a negative impact on business issues (e.g. loss) are colored red.
Trend arrows representing neutral impacts on business issues are colored gray.

**Highlighting ellipses**

![Figure UN 5.1-4: Highlighting ellipse](img/un-5.1-4.png)

_Use highlighting ellipses_ to highlight single values. Good reasons for
highlighting single values are e.g.

-   **Highlighting messages**: If the message refers to a specific value in a
    chart, table or graph, highlight this value with a blue ellipse.

-   **Highlighting additional values**: Sometimes it is helpful to add
    additional values (e.g. percent value) in charts or tables. In this case,
    use a black ellipse.

**Reference arrowheads**

![Figure UN 5.1-5: Reference arrowhead](img/un-5.1-5.png)

_Use reference arrowheads_ for highlighting a reference standard. Examples of
reference standards are:

-   **Indices**: Either one value (e.g. the value of the year 2010) is set to
    100%, or the total is set to 100% (see sections about time series analyses
    and Structure analyses).

-   **Benchmarks**: Popular benchmarks are market averages, competitors, or best
    practices.

Position the arrowhead close to the point representing the index or the
benchmark. Write the label for the index (e.g. “100%” or “100”) or for the
benchmark (e.g.“Market avg.”) next to the arrowhead. The arrowhead points in the
direction of an imaginary index or benchmark line. If helpful, add an assisting
line.

**Comment references**

![Figure UN 5.1-6: Comment reference](img/un-5.1-6.png)

Use _comment references_ in pairs to link comments to the corresponding values
or positions in a chart or a table.

**Variance highlighting indicators**

Highlight variances in tables by using visualization elements representing the
magnitude of the variance, such as bars and pins (see also EX 2.5 “[Replace
traffic lights](04-express.md#ex-2—5-replace—traffic-lights)”). “Traffic lights”
might be useful for highlighting _single variances_ related to the message or to
comments in tables without chart elements, though. Another means for
highlighting _single variances_ are “warning dots” positioned next to the value
or text element needing attention.

Indicators highlighting variances representing a _positive impact_ on business
issues are colored light green, those representing a _negative impact_ light
red. If no color is available, replace red with dark gray, green with light
gray. For readers with color deficiency, replace green with blue-green.

Use only few variance highlighting indicators per page.

**Other highlighting**

Add visualization elements for not-valid values, limits, or other relevant
phenomena. Standardize and document these “signals” so that they become an
effective means of communication.

## UN 5.2 Unify scaling indicators

![Figure UN 5.2: Unify scaling indicators](img/un-5.2.png)

Proper _scaling_ is very important for the creation of meaningful charts.
Several semantic _scaling indicators_ exist to deal with in challenging scaling
problems. Use _scaling lines_ and _scaling areas_ (_scaling bars_) if necessary,
see Figure UN 5.2.

**Scaling lines**

![Figure UN 5.2-1: Scaling line](img/un-5.2-1.png)

Use scaling lines when comparing multiple charts (with the same unit) having
different scales. Position a scaling line parallel to the category axis at the
same numerical height in all charts. If one chart among several other charts
uses a different scale, this fact can easily be identified (in general, the
differing scale uses a multiplier of ten).

**Scaling areas**

![Figure UN 5.2-2: Scaling area](img/un-5.2-2.png)

If helpful, fill the areas between the scaling lines and the category axes with
light color. Use different colors for scaling lines and scaling areas used in
order to represent different scales.

## UN 5.3 Unify outlier indicators

![Figure UN 5.3: Unify outlier indicators](img/un-5.3.png)

Sometimes values (mostly relative variances) can be very big in comparison to
other values. If such an _outlier_ is not important for business, e.g. a big
relative variance of a small value, do not scale the whole chart to this outlier
rather visualize unimportant outliers with _outlier indicators_.

Omit the pin head and add _outlier triangles_ pointing in the direction of
growth, see Figure UN 5.3.

[← Ensure visual integrity](07-check.md)