Key Performance Indicators

Critical (key) indicators of progress towards an expected outcome. KPIs provide a focus for strategic and operational improvements, create an analytical basis for decision-making and help to focus attention on the essentials. Management with the use of KPIs involves setting goals and tracking progress against that goal.

Managing with KPIs often means working on improving leading metrics that will later lead to backward profits. Leading indicators are harbingers of future success and trailing indicators show the organization’s success in achieving results in the past.

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