Key Performance Indicators (KPIs) are quantifiable measurements used to gauge a company's overall long-term performance, specifically focusing on strategic, financial, and operational achievements. They help determine a company's success compared to other businesses within the same sector and provide targets, milestones, and insights for better decision-making across various business areas.
Selecting the right KPIs involves:
To create meaningful KPI goals:
While KPIs and performance metrics are related, they serve different purposes in measuring a company's success. KPIs are strategic, high-level indicators used to measure how well a company achieves key business objectives.
Performance metrics, on the other hand, are more specific, operational measures used to assess the performance of different departments, projects, or processes within the company.
Leveraging KPIs effectively involves:
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