SmartERP Documentation An Ashewa Technology Solutions Platform

Gap Analysis & Corrective Remediation Plans

Step 6 of the BSC framework β€” variance diagnostics, 5-Whys root cause analysis, automated red-KPI containment, and corrective action workflows.

1. Overview & Business Value#

This comprehensive operational guide details the architecture, business workflows, configuration parameters, and execution steps for Gap Analysis & Corrective Remediation Plans within SmartERP.

Gap Analysis & Corrective Remediation Plans#

A balanced scorecard that only reports red numbers without an automated mechanism to fix them is merely an autopsy report. In SmartERP 19 BSC, Gap Analysis (bsc.gap.analysis) represents Step 6 of the Norton-Kaplan framework: transforming operational performance deficits into structured, audited remediation plans.

Gap Analysis and Corrective Actions

Figure 6.2: Gap Remediation Form View showing automated red-KPI trigger, 5-Whys root cause analysis, and linked corrective initiatives.


{screenshot:gap-analysis-and-corrective-actions-overview-dashboard}

2. Prerequisites & Security Access Groups#

  • Required Modules: smarterp_balanced_scorecard, smarterp_strategy
  • Security Groups:
    • Strategy Officer (Technical ID: smarterp_balanced_scorecard.group_bsc_user)
    • Strategy Director (Technical ID: smarterp_balanced_scorecard.group_bsc_manager)
    • Executive Committee Member (Technical ID: smarterp_balanced_scorecard.group_bsc_executive)
  • Master Data Dependencies: Strategic themes, 4 BSC perspectives (Financial, Customer, Internal Process, Learning & Growth), corporate KPIs, and quarterly appraisal periods.

3. Step-by-Step Configuration & Execution#

Step 1: Navigating to the Module Interface#

  1. Log into your SmartERP instance at https://smarterp.et/odoo.
  2. Open the main App Switcher (grid icon in the top-left corner).
  3. Select the Strategic Execution app icon.
  4. From the top navigation bar, open Strategic Execution β†’ Perspectives β†’ Strategic Objectives / KPIs / Action Plans.

{screenshot:gap-analysis-and-corrective-actions-app-switcher-navigation}

Step 2: Creating and Parameterizing Records#

  1. Click the New button in the top-left control panel.
  2. Complete the mandatory fields in the record form:
    • Objective / KPI Name (Mandatory): Precise strategic outcome statement
    • Perspective (Mandatory): One of the 4 balanced perspectives with mandated weighting
    • Weight (%) (Mandatory): Percentage allocation contributing to overall perspective score
    • Target Value & Baseline (Mandatory): Quantifiable numerical goal and historical starting point
  3. Configure optional operational parameters and localized tags as required:
    • Calculation Formula (Optional): Automated SQL query or module model metric extraction
    • Initiative Champion (Optional): Department head or senior manager accountable for result
    • Review Frequency (Optional): Monthly, quarterly, or annual appraisal cadence
  4. Click the Save icon in the control bar to commit the record.

{screenshot:gap-analysis-and-corrective-actions-record-creation-form}

Step 3: Validating and Processing Transactions#

  • State Transitions: Execute operational state progression (Draft β†’ Active Target β†’ Mid-Term Review β†’ Final Appraisal β†’ Locked).
  • Ledger & System Impact: Financial perspective KPIs dynamically read General Ledger balances, revenue growth metrics, and cost ratios directly from the accounting engine.
  • Audit Verification: Automated recording of author ID, timestamp, and immutable revision history.

{screenshot:gap-analysis-and-corrective-actions-transaction-processing-state}

1. How Gaps are Identified & Triggered#

Gaps can be opened through two complementary channels:

  1. Automated Red-KPI Escalation Cron (ir_cron_bsc_escalate_red_kpis):
    • The nightly escalation engine evaluates all active period readings (bsc.kpi.period).
    • When a period registers a critical achievement deficit ($< 70\%$ or below the custom red threshold), the system automatically creates a bsc.gap.analysis record linked to the specific period and creates a high-priority mail.activity for the accountable executive.
  2. Manual Manager Initiation:
    • Department heads reviewing monthly progress can click Initiate Gap Analysis directly from any KPI or Period form view to flag emerging risks before a full quarter closes.

2. The 5-Whys Root Cause Diagnostic Framework#

Every gap record enforces structured operational inquiry rather than superficial excuses:

Diagnostic StageOperational RequirementExample from Live Practice
Direct SymptomQuantified variance between target and actual.Developer Retention Rate is 67.0% against a target of 95.0% (-28% deficit).
Category ClassificationIdentifies the operational failure domain.Compensation & Market Wage Inflation (or Process, Tooling, Staffing).
5-Whys Root CauseIn-depth technical/operational drill-down.Senior engineers left for remote foreign contracts paying USD-indexed rates due to recent ETB forex liberalization.
Containment ActionImmediate stop-gap measure to halt bleeding.Approved immediate temporary retention grants for remaining 12 tier-1 software architects.
Corrective Action PlanPermanent systemic solution.Formulate USD-indexed performance bonuses and long-term equity vestings.

3. Gap Analysis State Workflow#

[ Draft ] ──> [ Under Analysis ] ──> [ Remediation Plan Approved ] ──> [ Executing ] ──> [ Closed / Resolved ]
  • Draft: The gap has been flagged by the escalation cron or manager.
  • Under Analysis: The responsible owner investigates root causes using the 5-Whys methodology.
  • Remediation Plan Approved: The executive sponsor approves the proposed corrective initiatives and budget envelopes.
  • Executing: Linked corrective initiatives are actively delivering results.
  • Closed / Resolved: The subsequent monthly KPI reading confirms performance has returned to the Green zone ($\ge 90\%$).

4. Advanced Configuration Points#

  • Automated Actions & Scheduled Tasks (Crons):
    • BSC: Calculate quarterly KPI achievements (smarterp_bsc.ir_cron_compute_kpi): Runs quarterly on the 5th to compute composite achievement scores
    • BSC: Issue appraisal cascade reminders (smarterp_bsc.ir_cron_appraisal_alert): Runs monthly to remind objective champions to update progress
  • Custom Print Templates & Reports:
    • Institutional Balanced Scorecard Executive Dashboard
    • Departmental Strategic Cascade Matrix
    • KPI Performance Variance & Trend Analysis
    • Corporate Strategy Execution Summary
  • Multi-Company Rules: Record-level security isolation under Company 1 (Ashewa Technology Solutions S.C.), preventing cross-company ledger leakage across parent and subsidiary legal entities.

5. Comprehensive Troubleshooting Matrix#

Error Symptom / ExceptionProbable Root CauseCorrective Action / Resolution
Weighting Error: Perspective weights do not equal 100%Total weights assigned to objectives within perspective fail to sum to 100.00%.Adjust individual objective weightings so the perspective total equals exactly 100%.
Data Feed Error: Automated KPI metric returned nullUnderlying model query failed or target database view has no records.Verify connected model name and filter domain in the KPI automated calculation parameters.
Lockout Error: Period results locked for executive reviewCurrent appraisal quarter has been locked by the Strategy Director.Obtain written authorization and request temporary unlock from the Strategy Director.
Last updated: 2026-10-30