Making your organizational metrics worth the cost, and your KPI’s truly KEY.
Executive Summary: First, it’s easy to resort to the obligatory metrics. Don’t waste money reporting metrics just because the company down the street uses it, even if it sounds good in a conference room. Next, we all too often waste time and money collecting data that is too untimely or inaccurate to improve decision-making. Lastly, we often track metrics that do not provide clear interpretation.Here are 3 ways to measure the effectiveness of your metrics, and ensure the ones you end up with help you run your business better: (1) You can list one or more decision that you will make, based on the value or direction of the metric. (2) You won’t make a related decision without reviewing it first. (3) The value of improved decision-making outweighs the costs of reporting the metric.