How to improve on your 2021 KPIs for 2022
It’s that time of year when companies review their progress for the past year and plan for the upcoming one. If you were able to achieve all your goals this year – congratulations! You are in the minority of businesses and your focus and execution should be commended. Research says you had quantifiable Key Performance Indicators (KPIs) and tracked progress while adapting your approach along the way. Well done! You are likely also in the process of identifying new KPIs for the upcoming year to drive further growth and success.
For those who may not have achieved all their goals, you are not alone! It’s not as easy as it sounds to identify, monitor and achieve effective KPIs. While many executives understand setting KPIs is important and measurement/reporting leads to effective improvement and goal attainment, it can be challenging to identify the appropriate indicators along with defining quantifiable actions that lead to optimal results. Specific departmental KPIs within the company are interrelated and must also be aligned to achieve the best results.
Best practices include aligning KPIs for specific business goals which are the most important to track. Make sure they are achievable with a plan of action that can be quantified and regularly monitored. Test your process, adapt and improve. Incentivize the team for meeting KPIs, and lead by example and commitment.
You can find many examples by doing an internet search identifying KPIs for various organizations, and industries, including white papers and dashboards. Most all have merit and usefulness, however your company, situation, goals and abilities are unique – and your KPIs should be unique to you and what are the most important outcomes you want to achieve. What’s important to measure for you may be very different and frankly more strategic in order to achieve your goals.
As you prepare your 2022 budget, set up your company and organizations for success by identifying the most important measurable objectives along with an operational plan to achieve those objectives for 2022. At Newport Partners, LLC, we’ve found that having this foundation in place early leads to much better and more predictable success – and often times achieving greater strategic results and outcomes that may have seemed unattainable before. We want you to have your best year in 2022!
If you’d like to learn more how we can help, please contact me at: Tom.Racca@NewportLLC.com.