MentisCell – KPI (Key Performance Indicator)
Summary
KPI (Key Performance Indicator) is a measurable value that indicates how effectively an individual, team, or organization is achieving a specific objective. KPIs provide quantifiable evidence of performance and progress, supporting decision-making and accountability.
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Content
Key Performance Indicators (KPIs) are metrics used to evaluate success in reaching targets.
They differ from frameworks like OKRs, which define ambitious goals and measurable outcomes, by focusing on ongoing performance measurement.
Main functions
- Measurement: provide objective data on performance.
- Monitoring: track progress toward operational or strategic goals.
- Decision support: inform resource allocation and corrective actions.
- Accountability: establish clear expectations and benchmarks.
- Communication: make performance visible and understandable across stakeholders.
Characteristics of effective KPIs
- Specific: clearly defined and focused on a particular objective.
- Measurable: based on quantifiable data.
- Achievable: realistic within available resources.
- Relevant: aligned with organizational priorities.
- Time-bound: tracked within a defined period.
Examples
- Customer satisfaction score (CSAT).
- Average resolution time for incidents.
- Revenue growth percentage.
- Employee turnover rate.
- System uptime percentage.
Essence
- Quantifiable measure of performance.
- Supports monitoring, accountability, and decision-making.
- Must be specific, relevant, and time-bound.
- Complements frameworks like OKRs by providing ongoing metrics.
Interconnections
- OKR — KPIs complement OKRs by tracking continuous performance against defined objectives.
- ITSM — KPIs measure service performance and SLA compliance.
- COBIT — KPIs support governance by providing measurable indicators of process maturity.
Tags
#kpi #performance #measurement #accountability #strategy #governance
Contributors
Created with the support of Microsoft Copilot on 2025-11-10.
Validation and editorial direction by Jorge Godoy.