KPIs – basic definition
KPI is a key performance measurement indicator used by companies to determine the extent to which set operational and strategic goals are being met. There is therefore a difference in KPIs with respect to the commodity area within which a company operates, i.e., different performance criteria and/or priorities.
KPIs – characteristics
KPIs can also be established arbitrarily, for them to be useful they must meet the following requirements:
- Quantifiability (KPIs can be presented in the form of numbers);
- Practicality (they integrate well with current business processes);
- Directionality (help determine whether a company is improving);
- Operationality (can be related to the practical context to measure effective change).
In defining a process for securing through a key performance indicator, the same must be based on legitimate data and provide a context that recalls the business objectives set by the client enterprise.
KPIs must therefore be defined in such a way that factors outside a company’s control (external elements such as security incidents) cannot interfere with their achievement. Another key factor is that they have predetermined time frames that divide the analyzed process into several check-points.
The identification of KPIs within a company, consists of an operation aimed at protecting it by anticipating the possible risk factor or obstacle to the achievement of its business objectives, a real guide provided to enable the acquisition of key processes needed by the client company for considerable future growth.
