1. All relevant key stakeholders, such as employees, managers, directors, CEO etc., are involved in the KPI selection process, following a collaborative approach.
2. The KPI set balances the focus between financial and non-financial KPIs.
3. KPIs are selected following a structured and well prepared approach based on a combination of tools and methods such as surveys, interviews, focus group discussions and workshops.
4. The KPIs are relevant for the objectives or areas/processes they were selected to measure.
1. The entity uses a standardized KPI Documentation Form.
2. An internal repository or database is used for the centralization of all KPI Documentation Forms.
3. The KPI documentation template provides all relevant details required for an informed measurement and decision making process.
4. The benefits of documenting KPIs are understood among key stakeholders such as KPI Owners and Data Custodians.
1. The KPI Target Setting process is based on thorough consultations of internal and external sources of data.
2. All active KPIs have targets established.
3. Existing targets are adjusted, whenever it is required, based on clear data that indicates the need to recalibrate.
4. The targets established for the KPIs are generating a strong sense of accountability and engagement towards their achievement.
1. All selected KPIs have data collection systems in place.
2. All monitored KPIs have a Data Custodian allocated to be responsible for and facilitate the data gathering process.
3. The KPI data collection is completed on time according to the pre-established schedule.
4. The cost for measuring selected KPIs does not exceed the benefits of having the data.
1. Scorecards, dashboards and performance reports are easy to read, analyze and understand results.
2. KPI data is monitored, displayed and reported through graphical representations.
3. There are visual elements for all performance management tools used like Scorecards, Dashboards and Performance Reports.
4. Graphical representations of KPIs are informative and well designed.
1. The Performance Measurement system has clear assigned KPI Owners, Data Custodians and a Performance Manager in charge to overview the entire measurement process.
2. There is a comprehensive manual or chapter of a manual reflecting all the key organizational performance measurement procedures and tools.
3. Dedicated training and / or coaching programs on performance measurement are available for all key employees.
4. All stakeholders involved in the governance of the performance measurement system are fully accountable and motivated towards continuous performance improvement.