Business Analysis Key Performance Indicators (KPIs)
To gain and maintain global success, enterprise business organizations must keep a scorecard of their activities, no one is immune executives, managers, team leaders, and individual employees cannot make effective decisions if they don’t have a scorecard of key performance indicators or KPI’s. Remember what good is trying to run a successful business if "You can't manage what you can't measure".
Global business has a hard time identifying and defining KPIs because being a “global business” poses global challenges to the business analyst. Analysts sometimes are confused thinking that KPI’s are just gathering data on a daily, weekly, monthly, quarterly, and annually basis or the organization.
It is important to that these units must be measured by:
1. Key to the operational and financial success of the company.
How many units are sold each week by each sales agent is a KPI. This is a measurable indicator because they are key to the financial and operational success.
A company can influence the indicator for example by the performance of its employees, how many units did this employee from this team sell. (Weekly goals)
3. An Indicator of future performance.
You cannot use last year’s sales figures as your KPI, the keys to KPI’s are that they must be flexible, comprehensive, goal-oriented, and they must be quantifiable. Regardless of what business your organization is in you use your KPIs to assess their performance and set goals.
Global Companies use three different types of KPIs to assess their performance and set frequent goals: process, input, and output.