Good KPIs are few, clear, and tied to results. Pick one or two per role, measure them simply, and review them often.
A KPI, or key performance indicator, is a simple number that shows if your business is doing well. Good KPIs keep everyone focused on what matters. Here is how to set them without overcomplicating things.
Start with your goal
Decide what you want more of — sales, happy customers, faster delivery. Your KPI should measure progress toward that goal.
Pick a few, not many
One or two KPIs per role is enough. Too many numbers confuse the team and get ignored.
- Sales: monthly revenue or number of orders
- Service: response time or customer satisfaction
- Operations: delivery time or error rate
Make them simple to measure
If a KPI is hard to track, it will not last. Use numbers you can easily pull from your records or a simple sheet.
Review together, regularly
Look at KPIs weekly or monthly with your team. Celebrate wins and fix problems early. A management consultant can help you choose the right KPIs and set up simple reporting.
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