The Art and Science of defining KPIs

How do you measure success?

Key performance indicators (KPIs) are the best tools used to measure and monitor whether your business or department is on course for success or whether you’ll come short of reaching your monthly quarterly, or annual goals. The problem is that many managers don’t understand how to identify the most vital metrics and instead collect and report on anything that is easy to measure.

But that strategy doesn’t usually do anyone any good. Misleading or irrelevant reports can result in mixed messages, confusion and employees focusing on the wrong thing. Resources can be severely wasted and results fall short of expectations.