Post by asadul4986 on Feb 20, 2024 4:58:19 GMT -5
KPI indicators – Key Performance Indicators – are essential for managers who want to measure a company's performance and the effectiveness and progression of the business based on its strategic actions. Defining them and knowing how to use them will bring more professionalism to your organization and more assertiveness in your decisions, in addition to allowing you to measure and monitor results in a more efficient and structured way. Read this article until the end to understand exactly how to act – and cross the finish line ahead of the competition with great success! What are KPIs? The famous Key Performance Indicators! Key performance indicators, known as KPIs to many people, are quantitative metrics that organizations use to evaluate their performance against strategic goals and objectives. Basically, they are indicators that can be measured and that accompany a company's current growth planning. Just like financial indicators , KPIs can be used in different sectors to measure their progress. How important are KPIs? More than being important for measuring the performance of companies as a whole, their teams and each employee individually, KPIs help maintain strategic focus and communicate business performance efficiently to stakeholders – customers, shareholders, employees, etc.
They also serve to evaluate the progress of actions taken over certain periods. Indicators like these also help with decision-making because they allow them to be based on updated numbers. This way, all the choices made by an entrepreneur end up being better guided and have an impact on overcoming the competition . And there are different types of them! What are the types of KPIs? Write down the 10 most common There are different categories of performance indicators, but a dozen of them are on the list Costa Rica Mobile Number List of the main and frequently used ones. See below! Total revenue: income generated by the company in a given period Conversion rate: how many visitors to a website or how many potential customers turn into actual customers (to evaluate the effectiveness of marketing campaigns, for example, or the work of the sales team) Customer retention: the percentage of customers who continue to do business after a first purchase and over time Customer satisfaction index: a KPI that can be collected through surveys or direct feedback Cost per Customer Acquisition (CAC): calculation of the.
Company's average cost to acquire a new customer Gross profit: total revenue minus the labor costs incurred to obtain the products or services sold Problem resolution time: how long it takes the company to resolve problems or respond to customer requests Absenteeism rate: number of employee absences in relation to the total hours scheduled for them to work, which includes absences or delays Churn rate: how many customers or users were lost by the company in a specific period Environmental performance index: KPI that evaluates a company's performance in terms of sustainability and environmental practices You don't need to use them all – at least, not at once – because the need to apply KPIs may vary according to the nature of each business and its specific objectives.
They also serve to evaluate the progress of actions taken over certain periods. Indicators like these also help with decision-making because they allow them to be based on updated numbers. This way, all the choices made by an entrepreneur end up being better guided and have an impact on overcoming the competition . And there are different types of them! What are the types of KPIs? Write down the 10 most common There are different categories of performance indicators, but a dozen of them are on the list Costa Rica Mobile Number List of the main and frequently used ones. See below! Total revenue: income generated by the company in a given period Conversion rate: how many visitors to a website or how many potential customers turn into actual customers (to evaluate the effectiveness of marketing campaigns, for example, or the work of the sales team) Customer retention: the percentage of customers who continue to do business after a first purchase and over time Customer satisfaction index: a KPI that can be collected through surveys or direct feedback Cost per Customer Acquisition (CAC): calculation of the.
Company's average cost to acquire a new customer Gross profit: total revenue minus the labor costs incurred to obtain the products or services sold Problem resolution time: how long it takes the company to resolve problems or respond to customer requests Absenteeism rate: number of employee absences in relation to the total hours scheduled for them to work, which includes absences or delays Churn rate: how many customers or users were lost by the company in a specific period Environmental performance index: KPI that evaluates a company's performance in terms of sustainability and environmental practices You don't need to use them all – at least, not at once – because the need to apply KPIs may vary according to the nature of each business and its specific objectives.