Do KPIs Matter?

You may be thinking, Do KPIs mater? Absolutely, they are a big deal. If you are in business, you need to understand what is going on.This week's episode is about measuring your performance, making judgements, and getting opinions. From the cradle to the grave we make judgements, we express opinions, we tell people what we think, we act, we behave from the cradle to the grave.That does not stop when you run your business, does it matter what people say? Does it matter what their opinions are, how they behave, what their actions are. Should we care? Absolutely yes you should care. If you're in your business, whatever that business is, whatever shape or size your business is, to survive, thrive, and prosper, then it's absolutely critical that you get a gauge that you measure all those interactions with your suppliers, your employees, and more particularly your customers.Why KPIs matterWell, they matter for several reasons.They are a framework to measure your businesses performanceYou become more accountableThe truth is revealed about how your business performanceKPIs help give you actionable ways to achieve your business goalsMaking judgments, adjustments and staying on track.What KPIs?It is said that you cannot manage what you cannot measure. You measure what is important for your business. Do not use measures for somebody else's business, but important for you.Remember that every business is different, with a different shape and goal. Consider what is important for your business to succeed.Typically, this could be gross margins by product or overall, cash flows, and efficiencies. However, do not just measure financial stuff. Take a balanced approach in your business and look at the entire ecosystem.Customer and employee satisfaction are critical. Customer feedback and staff retention are 2 useful KPIs.Pick four to six KPIs that matter help you reach your Northern star, your end goals.How to use KPIsThe managing is just as important as the measuring. If you don’t do anything with the data, there’s no point having it. Once you have the information, you can act on it. Having the information enables you to drill down and learn more. Ask questions of the numbers, and decide based on it.There are lots of different types of software out there to help you manage KPIs, but you might do just as well with a spreadsheet or your own Google dashboard.Whatever kind of business you have – service, manufacturing, sales, solopreneur – KPIs matter.What NextGrab a coffee, make yourself comfortable, sit back and listen. If you want to join out business growth club then click the link to find out more.I love doing this podcast and sharing my love of Numbers with you. Check out the link to subscribe and do not miss an episode. Help me spread that Number Love by downloading it, listening, and acting!In This EpisodeUnderstanding what Key Performance Indicators, KPIs areKnowing what KPIs to use for your businessLooking at how to use KPIsDeveloping your own Numbers confidence and decisionsTake more control of your numbers to help make you money, survive and thrive Linkshttps://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbershttps://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zinshttps://www.stitcher.com/podcast/proactiveresolutionss-podcasthttps://tunein.com/podcasts/Business–Economics-Podcasts/I-Hate-Numbers-p1298505/Get in touch with us to find out more about the Business Growth Club.  For more business and finance, news, advice and tips, don’t forget to watch our weekly broadcasts.