Use Key Performance Indicators To Improve Your Business
What gets measured and tracked gets managed ...
POSTED BY JONATHAN VOWLES ON 24/12/2019 @ 8:00AM
Getting performance management information and monitoring your Key Performance Indicators is essential in managing any business ...
Using Key Performance Indicators is a great way to improve your business!
copyright: nonwarit / 123rf
So, why does a recent survey show that only 27% of companies make use of Key Performance Indicators (KPIs)? Update your business reporting so that yours is one of those businesses that are succeeding because you are making better use of information in your business.
"It is a truism that what gets measured
and tracked gets managed!"
The act of regularly monitoring your business's key performance indicators is the first step in being able to manage them. Just being more aware of them will help you to improve your business. Moreover, the point of having KPIs is that you only choose the most important ones on which you focus.
So, if you want your business to have a better outcome, get better performance management reports. If you don't have performance management reporting, then get some. You might think that just because your business is stable that there is no need to create plans or to measure and report on your business performance. However, the evidence is incontrovertible ... better reporting leads to a better business.
Choosing things to measure is very important too. There are obvious things to measure, such as revenue, costs & profits, but also, there are less obvious KPIs, like non-financial data, that are important. Things that help you to predict if your business is moving in the right future.
For example, you might want to have:
Customer-focused items such as customer satisfaction, brand loyalty and speed of delivery
Marketing items, like social media engagement or web page views.
Talent management, like training and development, happiness and staff loyalty
Sales pipeline items, like the number of enquiries, speed of response and % conversion
Are you ready to improve your reporting?
Until next time ...
Would you like to know more?
If you'd like to find out more about Key Performance Indicators to help improve your business , then do give me a call on 01234 752 566, leave a comment below or click here to ping over an email and let's see how I can help you.
About Jonathan Vowles ...
I've been an accountant in and for business since 1987 and have a wide experience of consultancy, audit, accounts, taxation and wealth planning work from individuals and small businesses to multinational corporations and charities.
My eclectic interests in growing and developing business span a number of areas, which can be summarised as strategic business advice and tax saving advice.
I have worked with the Chamber of Commerce to deliver courses for people about starting up in business and have lectured about tax for a major accountancy practice and for Milton Keynes College.
I relax by reading fiction and by getting away from the office in a campervan.
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