the importance of reviewing key performance indicators Flashcards
Reviewing the effectiveness of change
Implementing change is not enough to improve the performance of a business. A business won’t know if the change has been successful if they do not review and evaluate the change. Businesses can use Key Performance Indicators (KPIs) to evaluate the effectiveness of the change.
A business should consider how they will measure the success of the change before implementing the change, this way they can review these measures throughout the implementation process in order to ascertain whether the change is bringing forward the desired result.
Identifying relevant KPIs that will be monitored during the change process will provide valuable information to the business and its stakeholder, this information can be used to make any necessary alterations to improve the results of the change.
what are the key performance indicators
- percentage of market share
- number of workplace accidents
- net profit figures
- rate of productivity growth
- number of sales
- rates of staff absenteeism
- level of staff turnover
- level of wastage
- number of website hits
evaluating transformation
The objectives of the business should be reflected in the key performance indicators that it uses as sources of data to analyse its performance. It follows then, that when a business reviews key performance indicators to evaluate how effective a transformation was, it should consider how the change or changes impact on its objectives
what is key performance indicators
specific criteria used to measure the effectiveness or efficiency of a business
why do we need to review
because it tells us if the change is going to be successful.
use the same KPI’s
