KPI articles

With crucial KPIs buried deep in every business, finance professionals speak to Lauren Razavi about how they harness their company’s hidden depths for success.

Data and key performance indicators (KPIs) are essential business tools. KPIs help organisations understand how well they are performing in relation to their strategic goals and objectives. Data is the ‘raw material’ that feeds KPIs as well as any business intelligence project or data analysis.

Service Hotel is a small family-owned hotel group that focuses on personalised service in the middle-class market.

This case study is based on the work with one of the world’s biggest telecom companies. The company wanted to identify its most important performance measures and create simple performance dashboards that would provide a simple overview of company performance to the board and senior management team.

Key Performance Indicators (KPIs) help organisations understand how well they are performing in relation to their strategic goals and objectives.

It is important that organisations link incentives and rewards to performance. If we fail to reward and recognize what we see as important then we quickly create a disconnect between company objectives and behaviours, as people focus on what is rewarded. However, if companies have created sound BPM systems, linked to their strategy and measured through meaningful KPIs, then they can use those to reward and recognize performance.

Very few organisations really monitor their true key performance indicators (KPIs), because very few have explored what a KPI actually is,says performance consultant David Parmenter.