I briefly introduced the concept and the importance of Key Performance Indicators in a recent blog post, but it’s such a wide and complex subject it certainly warrants future articles as there’s just so much to cover. As I’ve mentioned previously, Key Performance Indicators are a really important part of the work that I do to help both individuals and teams achieve their business goals.
As a recap, a KPI is commonly referred to as a quantifiable metric that shows how well a business is achieving its objectives and goals. KPIs link your business vision to individual action and should cascade down from your strategic vision at the very top, to the specific actions that are taken to achieve this vision.
What does Effective KPI Management Look Like?
It’s not just a case of choosing the right KPIs for your business, it’s making sure they are fully embedded in the processes and procedures that make up the running of your business. These processes must support the achievement of your chosen KPIs so that you can effectively steer the business in the direction you want it to go. Engaging your team in a way that will fully support your KPIs is key; staff will need to maximise both their productivity and their output, working together to ensure the success of the team.
KPI Management is Constantly Evolving
One of the most important points to remember with KPI management is that it is a process that is constantly evolving. The KPIs you’ve chosen to track now may be spot on, but in three months’ time, may be completely different. A KPI that has served its purpose is one that you have used to help you grow, and at some point, this may no longer serve you and your business. Letting go and creating and managing new KPIs will ensure success in future actions.
And remember, KPI management doesn’t just mean fully understanding your KPIs. It’s also choosing the right ones, effectively managing your progress toward achieving them, and above all, managing your team so that the monitoring of KPIs is an integral part of your company’s culture.
If you would like some guidance on successful KPI management, I can help. Book your free 30-minute 1-2-1 coaching session, or join me for a free half day group session where you’ll get a head start in everything you need to know about setting, managing and achieving your KPIs. Book your session online today, call 07388 019 663 or email firstname.lastname@example.org.