KPIs are more about the How, not just the What.

Most KPI dashboards focus heavily on the "what"—like revenue or customer growth. But what’s often missing is the "how." Without tracking the processes driving these outcomes, KPIs become surface-level metrics that don’t offer actionable insights.

Is This Hypothesis True? (It’s About Reproducing Strategies, Not Just Outcomes) Businesses often prioritize outcome-based KPIs, ignoring the process and input metrics that actually fuel long-term success. This leaves a critical gap in understanding how strategies impact performance. Without this insight, it’s tough to identify inefficiencies or replicate success.

End Results Don’t Explain Themselves. KPI dashboards should do more than reflect goals; they should align teams, motivate action, and measure the effectiveness of strategies. Often, process metrics are missing because teams lack the infrastructure to capture them or they’re too focused on the end results.

The "How" Is Key to Continuous Improvement. Knowing what to aim for is just half the battle; understanding how to achieve it is the rest. Process-based KPIs allow teams to adjust strategies on the fly and avoid repeating mistakes. Sharing these KPIs fosters transparency and helps everyone learn from both successes and failures.

Previous
Previous

Rewriting KPIs: The Path to Strategic Alignment

Next
Next

The 4 Pillars of Effective KPI Models: Streamlined Attributes for Success