Key Performance Indicators, or KPIs, are SMART goals with measurable progress and results. They’re like successful New Year’s resolutions that actually work. The reason they work is because KPIs are not just wishful statements; they also carry with them progress accountability and measurable results within a specified timeframe.
Here’s a simple example that anyone can quickly grasp:
SMART Goal: “I will lose 20 pounds in 4 months.”
The method to achieving that will be: 5 lbs. per month, reduce sugar intake by drinking only 1 soda per day, and take 30-minute walks, three times a week.
It’s Specific, Measurable, Achievable, Relevant and Timely (has an accountability time frame).
KPIs are the most commonly used goals within businesses worldwide. They are critical for long-term business growth and success.
What are the benefits of KPIs?
- KPIs indicate how your company is performing and what areas need improvement.
- KPIs analyze patterns and trends.
- They become a scorecard for company health as they measure progress over time.
- They help business owners make informed decisions based on data-driven insights.
Even simple KPIs can make a measurable difference at every level of your business. Company-wide KPIs should be crafted by company executives, and if necessary, distributed to managers and supervisors with training as to the value and expectation of KPI implementation, and the data can be input into Smartsheet by the employees themselves (eg. job start and stop times), assistants, or managers, depending on the data’s security level.
Using KPI data to inform your decisions can help you make smarter choices, reduce risk, and ultimately drive greater success for your organization.
Regularly scheduled department meetings should be held to celebrate progress mile markers, for all employees to share in the successes, building morale and enthusiasm for a better future.
Build KPIs into your Customer Relationship Management software so that the software reports for you.
