Key Indicators

What is Key Indicators or Key performance indicators ?

Key performance indicators are a set of quantifiable measures that an industry or a company refers to for gauging its performance when it comes to accomplishing their operational and strategic goals.
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KPIs tend to vary from company to company and mostly depend on their performance criteria as well as priority. Because of this, key indicators are at times, also called key success indicators.

A company or an organization first requires to enact its operational as well as strategic goals before choosing the KPIs that best reflect these objectives. For example, if the primary goal of a software company is to secure the fastest growth rate in the industry, it will have to pick the volume of revenue growth year-on-year as its key performance indicator. The KPU is mentioned in the company’s annual performance report.

Also, KPIs, more often than not, comply with industry-wide-standards.

Edited and Updated 15th February 2014

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