Glossary · Customer Satisfaction
Key Performance Indicator
A metric chosen to evaluate progress against a specific goal. Not every number you can measure deserves to be a KPI.
KPIs in Practice
A Good KPI
- Is tied to a specific decision or action
- Has a clear owner
- Has a baseline and a target
- Is measured consistently over time
KPI vs Metric
Every KPI is a metric; not every metric is a KPI. A metric becomes a KPI only when leadership has agreed it matters enough to influence decisions. Treat the distinction seriously - otherwise dashboards fill up with numbers no one acts on.
Frequently Asked Questions
Three to five headline KPIs and a small number of operational ones beneath them. Dashboards with twenty KPIs produce paralysis, not insight. If everything is a KPI, nothing is.
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