Is your business on track? How can you be sure?
If you don't use key performance indicators (KPIs) for your business maybe it's time you started looking at how they can help quickly snapshot business health.
KPI are metrics used to benchmark against a business' objective. Some misconceptions of KPIs are that they are just for large organisations with big teams. In reality, they are useful for smaller organisations too and some of the most common KPIs you may already use in your business - think Gross Profit percentage if you're in retail.
Picking the right KPIs for your business and creating a scorecard to review regularly lets you see the trends at a glance and allows you to look at what parts of your business you may need to review or change. I
For the financial KPIs below you will need to have your financial statements handy.