If implemented correctly with accountability, responsibility and regular monitoring, they’re an important part of a business’ strategy. Measuring the right KPIs and creating actionable items from the data can elevate a business above its competition.
Setting and monitoring KPIs
First and foremost, you must understand where you are, where you want to go, and how you’re going to get there. It‘s only then that you can set KPI strategies to achieve those goals. The best business KPIs specifically relate to broader business objectives such as sales, customer numbers, brand reputation or awareness.
Once you have your KPIs in place, best practice is to review them on a monthly basis via a monthly management report. The reason for your review is to monitor your KPIs. For example, if your goal was to have completed 20 projects but have only delivered on 16, this could affect you achieving your long-term goals as an organisation.
With each review, look at your KPI targets and strategies and identify the gaps that need to be addressed during the remainder of the year.
Above all, your organisation needs to be ready, willing and able to deliver on your KPIs. The real challenge is determining how best to cover any short-term gaps while keeping your team motivated to achieve their goals for the rest of the year.