Target Variance

Target variance refers to the asset's performance relative to its target, usually a reduction. Where no target has been set then the variance will be performance compared with the same period in the prior year.

This enables you to see how the asset is performing compared to its target or the same time period year-on-year. And, to understand the extent that performance has improved or declined over that time period.

• No target set: If the asset has no reduction target then, the percentage variance represents a year-on-year comparison of asset performance comparing the same period from the prior year to the same period in the current year displayed as a percentage change.  
• Target set: If a reduction target has been set, the percentage variance displayed indicates the asset’s performance change relative to the required reduction.

For all utilities except waste, target variance is coloured green when the reduction achieved is 5% or more, and red when there's been an increase 5% or over. As waste relates to recycling, where the more waste recycled the better, the percentage is green when it's a 5% increase or more, and red when it's a 5% decrease or more.

Example

If the asset has an annualised electricity target reduction of 10% and the actual performance reduction achieved was 8% then the target variance would be +2%, to indicate that performance was short of the target. If the actual reduction is 16%, then the variance would be displayed in green as -6% to show that the target was exceeded. A variance of 0% shows that the performance is on target, and coloured black.