Most of us have heard some version of the standard performance measurement cliches: “what gets measured gets done,” “ if you don’t measure results, you can’t tell success from failure and thus you can’t claim or reward success or avoid unintentionally rewarding failure,” “ if you can’t recognize success, you can’t learn from it; if you can’t recognize failure, you can’t correct it,” “if you can’t measure it, you can neither manage it nor improve it," but what eludes many of us is the easy path to identifying truly strategic measurements without falling back on things that are easier to measure such as input, project or operational process measurements.
What is a KPI?
KPI’s are performance measures that indicate progress toward a desirable outcome. Strategic KPIs monitor the implementation and effectiveness of an organization's strategies, determine the gap between actual and targeted performance and determine organization effectiveness and operational efficiency.
- Provide an objective way to see if our strategy is working
- Offer a comparison that gauges the degree of performance change over time
- Focus employees' attention on what matters most to success
- Allow measurement of accomplishments, not just of the work that is performed
- Provide a common language for communication
- Help reduce intangible uncertainty
- Are valid, to ensure measurement of the right things
- Are verifiable, to ensure data collection accuracy
BSI consultants and trainers are experts at advanced KPI development and analysis. If you would like to learn more about how BSI can help your organization develop strategic performance measures contact us electronically, or visit our KPI Certification Program or PuMP Certification pages.