key performance indicators - analysis of business performance

Question 1

what is key performance indicators (KPI)?

Answer 1

specific criteria used to measure the efficiency and effectiveness of a business’ performance

Question 2

what is percentage of marketshare?

Answer 2

• the business’ share of the total industry sales for a particular good or service, expressed as a percentage

Question 3

what is net profit figures?

Answer 3

• the measurement of the companies profit once operating costs, taxes, interests and depreciation have all been subtracted from its total revenue.

Question 4

what is rate of productivity growth?

Answer 4

• the change in productivity in 1yr compared to the previous year

productivity: indicates how many inputs (resources) it takes to produce an output (goods/services)

Question 5

why is number of sales a KPI?

Answer 5

• because it measures the amount of goods/services sold

Question 6

what is level of staff turnover?

Answer 6

• the number, or the rate, of employees who are leaving the business over a specific period of time, and need to be replaced by new employees

Question 6

what is rate of staff absenteeism?

Answer 6

• the number of workers who do not turn up for work when they are supposed to.

Question 7

what is number of customer complaints?

Answer 7

• the number of cusdtomers expressing their dissatisfication with the business, in either spoken or written form

Question 7

what is level of wastage?

Answer 7

• the amount of unwanted or unusable material created by the production process of a business. it can be measured through the number of defects, total amount of waste and wast per unit of output

Question 7

what is number of workplace accidents?

Answer 7

• indicates how safe the workplace is for employees

Question 8

what is website hits?

Answer 8

refers to how many customers or potential customers visit a webpage