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	<title>Sankey Diagrams &#187; cost</title>
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	<description>A Sankey diagram says more than 1000 pie charts</description>
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		<title>Infographics Experts on Sankey Diagrams (Part 1)</title>
		<link>http://www.sankey-diagrams.com/infographics-experts-on-sankey-diagrams-part-1/</link>
		<comments>http://www.sankey-diagrams.com/infographics-experts-on-sankey-diagrams-part-1/#comments</comments>
		<pubDate>Mon, 17 Aug 2009 15:15:34 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[Methodology]]></category>
		<category><![CDATA[cost]]></category>
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		<guid isPermaLink="false">http://www.sankey-diagrams.com/?p=710</guid>
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			<content:encoded><![CDATA[<p> 	Chiqui Esteban who runs <a href="http://infografistas.blogspot.com">the Spanish blog infografistas.com</a> had two posts back in March/April about a discussion he had with his colleague Xocas on how to name Sankey diagrams. Or, to be more precise: how a certain type of diagram that is more and more used in infographics should be named correctly.</p>
<p>They are absolutely funny, so I am trying to give you a translation of these two blog posts. This is part 1 for <a href="http://infografistas.blogspot.com/2009/03/graficos-de-erogacion.html">a post from March 17 titled &#8220;Gráficos de erogación&#8221;</a>. I left some words in Spanish and my comments in square brackets.</p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_081]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_081/nty-brazos.jpg"  title="Sankey diagram (or distribution diagram) showing distribution of .3 bn federal aid for NYC. From New York Times, shown in infografistas.com blog."><img  width="500" height="144" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_081/tumbs/tmb_nty-brazos.jpg" alt="Sankey diagram (or distribution diagram) showing distribution of .3 bn federal aid for NYC. From New York Times, shown in infografistas.com blog." title="Sankey diagram (or distribution diagram) showing distribution of .3 bn federal aid for NYC. From New York Times, shown in infografistas.com blog." /></a></div>
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<p>&#8211; translation start &#8211;</p>
<blockquote><p>Distribution Graphics</p>
<p>A couple of months ago, Xocas and I discussed via GTalk what the name, or what <em>should</em> be the name of the diagrams with the little arms ['gráficos de bracitos']. As it turned out, the winner name was volume flow graphics ['gráfico de caudales'].</p>
<p>Today, we decided to withdraw our proposal and we are going to call them &#8216;distribution graphics&#8217; instead ['gráficos de erogación'].</p>
<p>This is because of the coffee. The coffee machine of my new employer www.lainformacion.com (click the link, we are already up running), shows the message &#8216;distributing&#8217; ['erogando'] while you wait for your cup to be filled. Looking in the RAE [note: Real Academia Española], the verb &#8216;erogar&#8217; is defined as:</p>
<p>(Del lat. erogāre).</p>
<p>1. tr. Distribuir, repartir bienes o caudales. [distribute, share the goods or funds]<br />
2. tr. Méx. y Ven. Gastar el dinero. [México and Venezuela: spend money]</p>
<p>This definition is spot on. So we shouldn&#8217;t continue to call them &#8216;little arms&#8217; ['de bracitos'], &#8216;tubing&#8217; ['de tubería'], &#8216;squid&#8217; ['de pulpo'], &#8216;tree-roots&#8217; ['raíces'] or whatever diagrams any more. But don&#8217;t say that we didn&#8217;t work hard in finding the correct nomenclature. As we have to do. So Tufte will&#8230; ['A Tuftear'].</p></blockquote>
<p>&#8211; translation end &#8211;</p>
<p>The accompanying Sankey diagram apparently is from the New York Times and shows how 21.4 billion $ in federal aid for NYC after 9/11 were distributed (hey! there you are, a &#8216;distribution diagram&#8217; <img src='http://www.sankey-diagrams.com/wp-includes/images/smilies/icon_wink.gif' alt=';-)' class='wp-smiley' />  ). Funny enough, the caption says: &#8220;The figure above is an attempt to bring sources of funds together and show how they add up (sic!) to $ 21.3 billion&#8221;. </p>
<p>So what is distribution for one, is &#8220;adding up&#8221; from another perspective.</p>
<p><a href="http://www.sankey-diagrams.com/infographics-experts-on-sankey-diagrams-part-2/">Part 2, the translation of &#8220;Caudales, erogación&#8230; ¿flujo?&#8221;</a> and a summary of the comments to follow.</p>
<p><em>Note (Aug 19): A case of DYRF, do your research first! I just detected that Chiqui himself has an <a href="http://infographicsnews.blogspot.com/2009/04/pipes-flow-streams-erogation.html">English version of his article here</a>. So, now you got the choice between two versions!</em></p>
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		<title>Household Energy Costs Sankey</title>
		<link>http://www.sankey-diagrams.com/household-energy-costs-sankey/</link>
		<comments>http://www.sankey-diagrams.com/household-energy-costs-sankey/#comments</comments>
		<pubDate>Mon, 04 May 2009 14:09:58 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[Samples]]></category>
		<category><![CDATA[cost]]></category>
		<category><![CDATA[energy]]></category>
		<category><![CDATA[house]]></category>

		<guid isPermaLink="false">http://www.sankey-diagrams.com/?p=495</guid>
		<description><![CDATA[GWP guy at Green World Pictures blog posted an article on average spendings on energy in an U.S. household. Data is from an Energy Star flyer, that presents the data in a pie chart. The average yearly 1900 US$ for energy are spent as follows: Heating and cooling is almost half of the spendings on [...]]]></description>
			<content:encoded><![CDATA[<p> 	GWP guy at Green World Pictures blog <a href="http://greenworldpics.com/2009/02/18/household-energy-use-where-does-the-money-go/">posted an article on average spendings on energy in an U.S. household</a>.</p>
<p>Data is <a href="http://www.energystar.gov/ia/partners/promotions/cool_change/downloads/CYW_FastFacts.pdf">from an Energy Star flyer</a>, that presents the data in a pie chart. The average yearly 1900 US$ for energy are spent as follows:</p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_060]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_060/home-energy-use-sankey-diagram.png"  title="Household Energy Use data from Energy Star, presented as a Sankey Diagram. Source: Green World Pictures blog."><img  width="500" height="395" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_060/tumbs/tmb_home-energy-use-sankey-diagram.png" alt="Household Energy Use data from Energy Star, presented as a Sankey Diagram. Source: Green World Pictures blog." title="Household Energy Use data from Energy Star, presented as a Sankey Diagram. Source: Green World Pictures blog." /></a></div>
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<p>Heating and cooling is almost half of the spendings on energy, followed by water heating and lighting.</p>
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		<title>Where is the money, honey?</title>
		<link>http://www.sankey-diagrams.com/where-is-the-money-honey/</link>
		<comments>http://www.sankey-diagrams.com/where-is-the-money-honey/#comments</comments>
		<pubDate>Fri, 27 Mar 2009 14:39:15 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[Samples]]></category>
		<category><![CDATA[cost]]></category>
		<category><![CDATA[finance]]></category>
		<category><![CDATA[money]]></category>

		<guid isPermaLink="false">http://www.sankey-diagrams.com/?p=402</guid>
		<description><![CDATA[Nathan at FlowingData &#8211; Strength in Numbers presented a Sankey diagram by AP&#8217;s Nicolas Rapp and Damiko Morris (originally from this post on Nicolas&#8217; blog). It shows where the $173 billion AIG received from government went to. I especially like the inverse waterfall arrow endings and how they intersect with the grid of beneficiaries. Nicolas, [...]]]></description>
			<content:encoded><![CDATA[<p> 	Nathan at <a href="http://flowingdata.com/2009/03/20/aig-bailout-where-173-billion-went/">FlowingData &#8211; Strength in Numbers</a> presented a Sankey diagram by AP&#8217;s Nicolas Rapp and Damiko Morris (originally <a href="http://nicolasrapp.com/?p=347">from this post</a> on Nicolas&#8217; blog). It shows where the $173 billion AIG received from government went to. </p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_052]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_052/aigbailout.jpg"  title="Infographic on AIG bailout by Nicholas Rapp and Damiko Morris, Associated Press. Shown on http://nicolasrapp.com/"><img  width="500" height="273" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_052/tumbs/tmb_aigbailout.jpg" alt="Infographic on AIG bailout by Nicholas Rapp and Damiko Morris, Associated Press. Shown on http://nicolasrapp.com/" title="Infographic on AIG bailout by Nicholas Rapp and Damiko Morris, Associated Press. Shown on http://nicolasrapp.com/" /></a></div>
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<p>I especially like the inverse waterfall arrow endings and how they intersect with the grid of beneficiaries.</p>
<p><a href="http://nicolasrapp.com/">Nicolas</a>, who works in Information Graphics for Associated Press, later presented another Sankey diagramm, displaying how the &#8220;nearly $12 trillion that was allocated in programs affecting the financial services industry&#8221; were used.</p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_053]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_053/govt_3trilliopn spent.jpg"  title="Infographic on  trillio government programs affecting the finacial services indutry. Created by Nicholas Rapp, Associated Press. Shown on http://nicolasrapp.com/"><img  width="500" height="412" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_053/tumbs/tmb_govt_3trilliopn spent.jpg" alt="Infographic on  trillio government programs affecting the finacial services indutry. Created by Nicholas Rapp, Associated Press. Shown on http://nicolasrapp.com/" title="Infographic on  trillio government programs affecting the finacial services indutry. Created by Nicholas Rapp, Associated Press. Shown on http://nicolasrapp.com/" /></a></div>
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<p>The author says &#8220;I spent the day researching and realizing this graphic&#8221; (@Nick: how much time was the research, how much the drawing?)</p>
<p>He adds &#8220;Fun stuff&#8221;, a comment which probably refers to the Sankey graphics part rather than to the content depicted&#8230; <img src='http://www.sankey-diagrams.com/wp-includes/images/smilies/icon_sad.gif' alt=':-(' class='wp-smiley' />  </p>
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		<title>Sam Brenner&#8217;s Sankey Diagram Generator</title>
		<link>http://www.sankey-diagrams.com/sam-brenners-sankey-diagram-generator/</link>
		<comments>http://www.sankey-diagrams.com/sam-brenners-sankey-diagram-generator/#comments</comments>
		<pubDate>Wed, 04 Feb 2009 15:14:29 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[Samples]]></category>
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		<guid isPermaLink="false">http://www.sankey-diagrams.com/?p=318</guid>
		<description><![CDATA[Sam Brenner, interactive design and development student at the Rochester Institute of Technology, has finished version 0.2 of his &#8216;Sankey Generator&#8217; tool. Inspired by state federal budgets Sam pursues to display financial figures in a clear and comprehensible way. Sources of state income are on the left, spendings on the right. As Sam says himself, [...]]]></description>
			<content:encoded><![CDATA[<p> 	<a href="http://sjb0940.cias.rit.edu/wordpress/">Sam Brenner</a>, interactive design and development student at the Rochester Institute of Technology, has finished <a href="http://sjb0940.cias.rit.edu/wordpress/?p=247">version 0.2 of his &#8216;Sankey Generator&#8217; tool</a>.</p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_047]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_047/sankeywithbranches1.jpg"  title="Sample Sankey diagram for a federal state budget. Created with Sankey Generator v0.2 by Sam Brenner. Original source http://sjb0940.cias.rit.edu/wordpress/?p=247"><img  width="500" height="363" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_047/tumbs/tmb_sankeywithbranches1.jpg" alt="Sample Sankey diagram for a federal state budget. Created with Sankey Generator v0.2 by Sam Brenner. Original source http://sjb0940.cias.rit.edu/wordpress/?p=247" title="Sample Sankey diagram for a federal state budget. Created with Sankey Generator v0.2 by Sam Brenner. Original source http://sjb0940.cias.rit.edu/wordpress/?p=247" /></a></div>
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<p>Inspired by state federal budgets Sam pursues to display financial figures in a clear and comprehensible way. Sources of state income are on the left, spendings on the right. As Sam says himself, this is still work in progress. &#8220;I’m trying to make a dynamic Sankey Diagram generator (&#8230;) What I would like to end up with is a program that can take numeric data like a budget and turn it into a diagram&#8230;&#8221;. </p>
<p>See that small step at the bottom of the middle part? Hey, here you have the &#8220;deficit&#8221;&#8230;</p>
<p>Interesting new tool. Not sure if the Sankey Generator tool will reach a status that would allow Sam to release it publicly, but have added it to my <a href="http://www.sankey-diagrams.com/sankey-diagram-software/">Sankey software list</a> anyway. Hope version 0.3 has some fancier colors, though <img src='http://www.sankey-diagrams.com/wp-includes/images/smilies/icon_wink.gif' alt=';)' class='wp-smiley' /> </p>
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		<title>Sources and Beneficiaries of R&amp;D Funding</title>
		<link>http://www.sankey-diagrams.com/sources-and-beneficiaries-of-rd-funding/</link>
		<comments>http://www.sankey-diagrams.com/sources-and-beneficiaries-of-rd-funding/#comments</comments>
		<pubDate>Wed, 10 Dec 2008 14:50:59 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[Samples]]></category>
		<category><![CDATA[Canada]]></category>
		<category><![CDATA[cost]]></category>
		<category><![CDATA[finance]]></category>
		<category><![CDATA[funding]]></category>
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		<guid isPermaLink="false">http://www.sankey-diagrams.com/?p=222</guid>
		<description><![CDATA[In early November I was pointed to an image on the Innovation Strategy Canada website [the website itself is not accessible any more] by a reader of this blog. Peter asked whether I know of any Sankey diagrams for financial flows, like they are shown in the one below. The diagram visualizes the sources of [...]]]></description>
			<content:encoded><![CDATA[<p> 	In early November I was pointed to an image on the Innovation Strategy Canada website [the website itself is not accessible any more] by a reader of this blog. Peter asked whether I know of any Sankey diagrams for financial flows, like they are shown in the one below. </p>
<p>The diagram visualizes the sources of R&#038;D funding, and the institutions receiveing this funds. Data is from Statistics Canada for 2006 and shown in Mio (supposedly) Canadian Dollars. </p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_044]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_044/RandD_funding.gif"  title="Distribution of R&#038;D Funding in Canada for 2006. Taken from http://www.innovationstrategy.gc.ca/gol/innovation/site.nsf/en/in05364.html on November 2008. Website not available any more."><img  width="500" height="363" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_044/tumbs/tmb_RandD_funding.gif" alt="Distribution of R&#038;D Funding in Canada for 2006. Taken from http://www.innovationstrategy.gc.ca/gol/innovation/site.nsf/en/in05364.html on November 2008. Website not available any more." title="Distribution of R&#038;D Funding in Canada for 2006. Taken from http://www.innovationstrategy.gc.ca/gol/innovation/site.nsf/en/in05364.html on November 2008. Website not available any more." /></a></div>
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<p>While there are only four different arrow widths to show the financial flows, the interesting thing is that the sums of funds from each source and received by each beneficiary are shown as cylinders (database symbols, tanks, &#8230;).</p>
<p>I quickly did several versions of the diagram, but was not too  happy with the results. The flow quantities are OK, but as it turns out, it is difficult to see the volume of the cylinder, supposedly to scale with the sums. This information is redundant anyway, since the width of the joined arrows at their base or at their head is exactly the sum that is supposedly to be shown by the cylinder volume.</p>
<p>Here is one version of my Sankey diagram for R&#038;D funding in Canada for 2006 based on the original image. I decided to make the boxes in different sizes (the problem remains the same: can one immediately grasp the area of each box)</p>
<div class="mypicsgallery"><a rel="lightbox[e_sankey_024]" href="http://www.sankey-diagrams.com/wp-content/myfotos/e_sankey_024/canada 2006 rdfunding.png"  title="Major Flows of R&#038;D Funding in Canada. Based on an original chart shown on Distribution of R&#038;D Funding in Canada for 2006. Taken from http://www.innovationstrategy.gc.ca"><img  width="500" height="423" src="http://www.sankey-diagrams.com/wp-content/myfotos/e_sankey_024/tumbs/tmb_canada 2006 rdfunding.png" alt="Major Flows of R&#038;D Funding in Canada. Based on an original chart shown on Distribution of R&#038;D Funding in Canada for 2006. Taken from http://www.innovationstrategy.gc.ca" title="Major Flows of R&#038;D Funding in Canada. Based on an original chart shown on Distribution of R&#038;D Funding in Canada for 2006. Taken from http://www.innovationstrategy.gc.ca" /></a></div>
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<p>Your comments are welcomed. Is there a better way to display the sums?</p>
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		<title>Estimated Budget Chart</title>
		<link>http://www.sankey-diagrams.com/estimated-budget-chart/</link>
		<comments>http://www.sankey-diagrams.com/estimated-budget-chart/#comments</comments>
		<pubDate>Fri, 23 May 2008 08:13:17 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[Samples]]></category>
		<category><![CDATA[cost]]></category>

		<guid isPermaLink="false">http://www.sankey-diagrams.com/?p=87</guid>
		<description><![CDATA[A similar Sankey-style diagram to the one I presented in my last post can be found on the visualcomplexity.com website. It shows the estimated budgeted costs and earnings and was published by IBM back in 1940 (original source: H. Arkin, Graphs: How to make and use them (Harper &#038; Brothers Publishers, New York, ed. Revised, [...]]]></description>
			<content:encoded><![CDATA[<p> 	A similar Sankey-style diagram to the one I presented in <a href="http://www.sankey-diagrams.com/monthly-household-income-and-spendings/">my last post</a> can be found on the <a href="http://www.visualcomplexity.com/vc/">visualcomplexity.com website</a>.</p>
<p>It shows the estimated budgeted costs and earnings and was published by IBM back in 1940 (original source: <em>H. Arkin, Graphs: How to make and use them (Harper &#038; Brothers Publishers, New York, ed. Revised, 1940</em>). </p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_022]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_022/Sankey_Budget_1.jpg"  title="Estimated Budget Sankey Diagram (full view) by IBM, reproduced courtesy of visualcomplexity.com (http://www.visualcomplexity.com/vc/project.cfm?id=72). Original source: H. Arkin, Graphs: How to make and use them (Harper &#038; Brothers Publishers, New York, ed"><img  width="500" height="375" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_022/tumbs/tmb_Sankey_Budget_1.jpg" alt="Estimated Budget Sankey Diagram (full view) by IBM, reproduced courtesy of visualcomplexity.com (http://www.visualcomplexity.com/vc/project.cfm?id=72). Original source: H. Arkin, Graphs: How to make and use them (Harper &#038; Brothers Publishers, New York, ed" title="Estimated Budget Sankey Diagram (full view) by IBM, reproduced courtesy of visualcomplexity.com (http://www.visualcomplexity.com/vc/project.cfm?id=72). Original source: H. Arkin, Graphs: How to make and use them (Harper &#038; Brothers Publishers, New York, ed" /></a></div>
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<p>I am not sure if this fully qualifies as a Sankey diagram, since the flows are not directional. The earnings from sales of different products are broken down into arrows of different magnitude from/to the left. Costs for producing the products and overhead costs are on the right side. This chart thus constitutes a graphical representation of an accounting system, with values given in percent rather than as absolute figures.<br />
<a href="http://www.visualcomplexity.com/vc/"><br />
Manuel Lima&#8217;s visualcomplexity website</a> has more interesting diagrams, and one can spend hours browsing the projects. I will be presenting a few more of them that qualify as Sankey diagrams here on the blog in the future.</p>
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		<title>Monthly Household Income and Spendings</title>
		<link>http://www.sankey-diagrams.com/monthly-household-income-and-spendings/</link>
		<comments>http://www.sankey-diagrams.com/monthly-household-income-and-spendings/#comments</comments>
		<pubDate>Tue, 20 May 2008 10:33:26 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[Publications]]></category>
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		<guid isPermaLink="false">http://www.sankey-diagrams.com/?p=86</guid>
		<description><![CDATA[Christian Behrens from the Department of Design at Potsdam University of Applied Sciences in Germany put up a website on Information Design Patterns. It features &#8220;design patterns that describe the functional aspects of graphical components for the display, behavior and user interaction of complex infographics&#8221;. The website is modestly called an &#8220;application prototype&#8221; of a [...]]]></description>
			<content:encoded><![CDATA[<p> 	<a href="http://niceone.org/">Christian Behrens</a> from the Department of Design at Potsdam University of Applied Sciences in Germany put up <a href="http://niceone.org/infodesign/">a website on Information Design Patterns</a>. It features &#8220;design patterns that describe the functional aspects of graphical components for the display, behavior and user interaction of complex infographics&#8221;. </p>
<p>The website is modestly called an &#8220;application prototype&#8221; of a pattern browser, and is part of his Master Thesis titled &#8220;The Form of Facts and Figures&#8221;.</p>
<p>All patterns are tagged and can be searched. For each type he presents a fact sheet with description, usage, required data, and rationale. Christian provides an own example for each pattern, and a &#8220;real-world example&#8221; from an external source. Additionally, related diagram types are listed.</p>
<div class="mypicsgallery"><a rel="lightbox[o_sankey_021]" href="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_021/Income_Spendings_Sankey.png"  title="Sankey diagram showing the average monthly income and spendings of an average household."><img  width="500" height="386" src="http://www.sankey-diagrams.com/wp-content/myfotos/o_sankey_021/tumbs/tmb_Income_Spendings_Sankey.png" alt="Sankey diagram showing the average monthly income and spendings of an average household." title="Sankey diagram showing the average monthly income and spendings of an average household." /></a></div>
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<p>The Sankey diagram is A 5.1. The example shows the average income and spendings of a Berlin household in 2005. Salary, asset revenues and public subsidies make up for the total income, shown in green. The income is spent on taxes, housing, food, clothing and other, shown as orange arrows. </p>
<p>I do miss a number stating the total (3015 Euro, roughly 4500 US$) as a label for the magnitude in the middle, but nevertheless this is a superb example of information presentation with a Sankey diagram. Just try to imagine the same information shown as two pie charts&#8230;</p>
<p>Enjoy browsing the <a href="http://niceone.org/infodesign/">Information Design Patterns website</a>.</p>
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		<title>Cost Sankey Diagrams show Added Value</title>
		<link>http://www.sankey-diagrams.com/cost-sankey-diagrams-show-added-value/</link>
		<comments>http://www.sankey-diagrams.com/cost-sankey-diagrams-show-added-value/#comments</comments>
		<pubDate>Fri, 19 Oct 2007 14:34:59 +0000</pubDate>
		<dc:creator>phineas</dc:creator>
				<category><![CDATA[General]]></category>
		<category><![CDATA[Methodology]]></category>
		<category><![CDATA[cost]]></category>
		<category><![CDATA[money]]></category>
		<category><![CDATA[software]]></category>
		<category><![CDATA[value-added]]></category>

		<guid isPermaLink="false">http://www.sankey-diagrams.com/cost-sankey-diagrams-show-added-value/</guid>
		<description><![CDATA[While browsing through some of my older bookmarks I discovered this page of what seems to be an information portal of one of a German federal ministry. The Sankey diagram for cost flows they show reminded me of a feature in the Umberto material flow management software, which I always wanted to inspect in more [...]]]></description>
			<content:encoded><![CDATA[<p> 	While browsing through some of my older bookmarks I discovered <a href="http://www.umweltschutz-bw.de/?lvl=752">this page</a> of what seems to be an information portal of one of a German federal ministry. The Sankey diagram for cost flows they show reminded me of a feature in the <a href="http://www.umberto.de/en/">Umberto material flow management software</a>, which I always wanted to inspect in more detail.</p>
<p>Using their <a href="http://www.umberto.de/en/demo/index.htm">30-day trial version</a> I worked with one of the simple demo examples they provide. Basically this software is a modeling tool for process systems and analysis of material flows within any kind of process system (production plant, supply chain, region, &#8230;). Sankey diagrams in Umberto are not the default view for material flows, but one can switch from the normal &#8220;Material Flow Network&#8221; view to the Sankey view.</p>
<p>Even though the Sankey diagram feature of the software would need some retouching, I was surprised and extremely pleased to see a &#8220;Cost Sankey&#8221; feature. </p>
<p>You can enter material direct cost for all materials (in the &#8216;bucket factory&#8217; example of the demo all materials already have a &#8220;market price&#8221; property), as well as fixed and variable process costs. The variable process costs are spread over the process throughput using &#8216;machine hours&#8217; or &#8216;work hours&#8217; as cost drivers (i.e. to link cost creation to the material throughput). Thus, at every process (shown with blue squares in the flow diagram) the costs -or should I say: the value &#8211; increases. Going from left to right along the general flow direction in the Sankey diagram you can see clearly that the growing magnitude of the Sankey cost flows&#8230; a kind of &#8216;Value Added Sankey diagram&#8217;.  </p>
<div class="mypicsgallery"><a rel="lightbox[u_sankey_002]" href="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/Umberto_cost_sankey_2.png"  title="Cost Flow Sankey Diagram 1 - overall cost, increasing line width shows value added (screenshot from from Umberto demo version)"><img  width="500" height="282" src="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/tumbs/tmb_Umberto_cost_sankey_2.png" alt="Cost Flow Sankey Diagram 1 - overall cost, increasing line width shows value added (screenshot from from Umberto demo version)" title="Cost Flow Sankey Diagram 1 - overall cost, increasing line width shows value added (screenshot from from Umberto demo version)" /></a><a rel="lightbox[u_sankey_002]" href="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/Umberto_cost_sankey_3.png"  title="Cost Flow Sankey Diagram 2 - cost per costing unit view, cost per (screenshot from from Umberto demo version)"><img  width="500" height="282" src="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/tumbs/tmb_Umberto_cost_sankey_3.png" alt="Cost Flow Sankey Diagram 2 - cost per costing unit view, cost per (screenshot from from Umberto demo version)" title="Cost Flow Sankey Diagram 2 - cost per costing unit view, cost per (screenshot from from Umberto demo version)" /></a><a rel="lightbox[u_sankey_002]" href="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/Umberto_cost_sankey_4.png"  title="Cost Flow Sankey Diagram 3 - cost for individual product handled only in PE and watering can production (screenshot from from Umberto demo version)"><img  width="500" height="282" src="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/tumbs/tmb_Umberto_cost_sankey_4.png" alt="Cost Flow Sankey Diagram 3 - cost for individual product handled only in PE and watering can production (screenshot from from Umberto demo version)" title="Cost Flow Sankey Diagram 3 - cost for individual product handled only in PE and watering can production (screenshot from from Umberto demo version)" /></a><a rel="lightbox[u_sankey_002]" href="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/Umberto_cost_sankey_5.png"  title="Cost Flow Sankey Diagram 4 - cost for PP based product, the production line PE is not used to create this product, hence not adding to costs (screenshot from Umberto demo version)"><img  width="500" height="282" src="http://www.sankey-diagrams.com/wp-content/myfotos/u_sankey_002/tumbs/tmb_Umberto_cost_sankey_5.png" alt="Cost Flow Sankey Diagram 4 - cost for PP based product, the production line PE is not used to create this product, hence not adding to costs (screenshot from Umberto demo version)" title="Cost Flow Sankey Diagram 4 - cost for PP based product, the production line PE is not used to create this product, hence not adding to costs (screenshot from Umberto demo version)" /></a></div>
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<p>The above screenshots show the overall cost for the three products produced in the bucket factory (Fig.1), the cost per unit for each of the three products of the bucket factory (Fig.2).</p>
<p>The following two cost flow Sankey diagrams are for the individual costing units &#8216;plastic bucket&#8217; and &#8216;watering can&#8217; (Fig.3 and 4). Please note that on theses diagrams a part of the machines is not being used, so they don&#8217;t add any process costs to the costing unit (or don&#8217;t contribute to the value added). Unfortunately you can only display either mass or energy flows in one Sankey diagram, so the energy costs (from the circle labeled &#8216;other materials&#8217;) are not shown as a Sankey flow, even though they add to the price for each product.</p>
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