what is really behind it?
We encounter the abbreviation KPI all the time.
But what does it actually mean in everyday working life?
KPI stands for Key Performance Indicator.
But that alone doesn't tell us much. The crucial question is what I want to measure and why.
A KPI helps to evaluate performance objectively and make informed decisions:
Was the result good or bad?
Do I need to react or not?
Are measures, adjustments or even incentives necessary?
As Benjamin Wessling, expert at ttv technische teile vertrieb GmbH, sums it up:
The first step is always to set a clear goal.
A simple example:
Goal: Reduce the number of repairs.
Challenge: minus 5% per year.
Starting point: 100 repairs per year.
Target: 95 repairs per year.
This defines the KPI – measurable, understandable and verifiable.
Only then does a number become a real management tool.
How clearly are your KPIs defined – and do these key figures really measure what is crucial to your success?