Key Performance Indicators (KPI) have become a popular item in the CEO’s toolbox. With the advent of more sophisticated accounting software and database applications, a plethora of financial and operational performance indicators are at the executive’s fingertips. In fact, so much information is available that it can be overwhelming and leave the user in a position where they “can’t see the forest for the trees.” It can result in a poor use of your valuable time that doesn’t result in anything actionable. I suggest that you take a step back and first identify your organization’s critical success factors (CSF) - those key elements that drive success in your business. Once identified, choose the best KPI to help you track your progress around your CSF. You’ll most likely end up with not more than 5 to 8 KPI that will actually impact your decision-making. The best part is that you will be a more efficient and effective leader. If you would like to further discuss how you can use business metrics to improve your decision making, contact me for a FREE consultation at (712) 540-6096.
Executives reviewing data to make a decision.