Business KPIs (Key Performance Indicators) enable a company to measure and monitor its performance on a strategic and operational level. The KPIs are also known as the "lead indicators" as they help indicate the happenings in advance. Based on the strategic goals of a company, target values for KPIs are set. Comparing actual KPI values to these targets identifies shortcomings immediately and shows improvement potentials for business processes at the same time. This is vital for every company.
In today's business world benchmarking has become increasingly important. That means that virtually every company wants to compare its performance to the market leaders. As a result you need a common KPI language.
However, when discussing the benchmarking of business KPIs it is very often the same story. You want to compare your company's performance to your peers, but you just don't know whether your peers are using the same KPIs and the same definitions.
Therefore we launched the "Business KPI Wiki" project to create a unique and consistent set of KPIs that are used and accepted by the market and commonly understood. The goal is to establish a common KPI language spanning all areas of an enterprise.
This community based approach is a unique opportunity to influence the emergence of a business KPI standard. The KPIs will eventually be delivered as preconfigured content of our software in the future, hence, everyone can influence the development.
According to the balanced scorecard the KPIs are divided into the following four perspectives:
For more information on KPIs and the KPI Wiki project have a look at the KPI Blog.
Watch our KPI Video at YouTube.