There are often interesting discussions on KPIs and what to measure, some measuring too much and others not measuring a lot at all.

Just because what works for you now, doesn’t mean there is a better way to do it.

There are of course good ways to measure and bad ways to measure, useful KPIs and not useful KPIs.

EVERY person in your business needs KPIs, or how do you know if they are performing.

Relate the KPIs to the job description – i.e., to the actions you recruited them for.

Only measure meaningful actions that impact on the business.

Don’t over measure – Don’t have a KPI about the amount of toilet rolls you are using – meaningless!

Make sure they impact one of two things – quality OR profit, if it doesn’t affect that, don’t measure it.

There MUST be consequences for not hitting KPIs otherwise what’s the point in having them.

You must be able to improve the business as a result of the KPIs.

You must be consistent with them. They must be here to stay.

KPIs are an essential part of business, it’s not a dark art – Keep it simple and constant.

Thoughts?