Key Performance Indicators (KPI)

The set of quantifiable metrics that an organization uses to measure any performance over a certain period of time are called its Key performance indicators (KPI).

These metrics are used by an organization to measure its progress in achieving its goals, and also in comparing the organization’s performance against the competitors. These success indicators vary across organizations and industries depending on the performance criteria.

For example, if a FMCG company’s goal is to have the maximum sales growth in its industry, its key performance indicator might be the sales growth on a year-to-year basis.

Or for a brand, the KPI might be Top of Mind Brand Awareness (TOMA), or for advertisements, it would be Top of Mind Advert Awareness.

KPIs are applicable anywhere one wants to measure performances. Even for employees, KPIs are usually set at the beginning of the year.