Waterfall charts, also referred to as flying brick charts, bridge charts, and Mario charts due to their appearance, are popular tools for data visualization, but they have several disadvantages that can make them less than ideal for certain projects. Keep reading to learn more about the disadvantages of waterfall charts.

Waterfall Charts

A waterfall chart is a graphical tool that helps visualize the cumulative effect of sequentially introduced negative or positive values. In other words, it helps you track how an initial value changes as a result of subsequent changes. The waterfall chart gets its name because the line on the graph looks like a waterfall.

Waterfall charts can be used to show how different parts of a business contribute to its overall profit or loss. They can also be used to show the individual impact of positive and negative values on a final total. For example, you could use a waterfall chart to show how revenue, costs, and profits are affected by sales volume.

Inaccurate Reporting With Waterfall Charts

Waterfall charts are frequently used to track the cumulative flow of money or other measurable values over time. They can be helpful for visualizing how a particular value changes over the course of a project. However, waterfall charts are often inaccurate because they do not take into account the fact that money or other values can be reinvested in a project. This means that the total value shown on a bridge chart may be misleading because it does not reflect the true progress of a project.

Managing the Scope Creep With Waterfall Charts

Waterfall charts are used to track the progress of a project and to identify potential problems. They can be used in both waterfall and agile projects, but they have some disadvantages in agile projects. In waterfall projects, waterfall charts are very helpful for managing scope creep. As features are added to the project, they are tracked on the waterfall chart, and it is easy to see how the project is progressing and whether or not new features are causing delays.

However, in agile projects, waterfall charts can be used to track stories and tasks, but they don’t work as well for tracking changes in scope. The main disadvantage of waterfall charts in agile projects is that they can’t show the relationship between stories or tasks. This can make it difficult to determine which stories or tasks need to be completed in order to meet the deadline for a particular sprint.

Difficulty Adapting to Changes With Waterfall Charts

Waterfall charts are typically built to track data over time, so changes in the data can be difficult to track and adapt to. They can also be difficult to update and change if the data is not in a consistent format. For example, if you want to add new data to an existing waterfall chart, you may need to create a new chart and merge the old data with the new data. This can be time-consuming and complicated.

Waterfall Charts Can Be Challenging To Read

Waterfall charts can be difficult to read because they can be crowded and cluttered if there are too many lines on the graph. This can make it hard to see the overall trend in the data, and it can be difficult to determine which line corresponds with which data point. This means you may have to refer back to the legend frequently in order to understand what you’re looking at.

Using Waterfall Charts

Waterfall charts are important because they provide an overall view of a project’s progress. They can help identify potential problems and allow for corrective action to be taken before the project is completed. However, they come with their own set of challenges. So, be aware of the challenges before you adopt this chart into your data visualization strategy.