Empower your sales evaluation in IS standard documents with airSlate SignNow

How to create outlook signature

Wondering what is a KPI? Well, tune into this  video because I'm going to share with you   what is a KPI, the characteristics of a really  good KPI and some KPI examples. And if you   stick around to the end of this video, I'm  going to share with you how you can get your   free guide on why projects fail, so you can  ensure that your project KPIs are on track.  Hi, if you're new here, welcome. Thank  you so much for clicking on this video.   For the best project management and career  advice, subscribe to this channel. A new video   is coming to you every Wednesday. Now, if you're  excited as I am about KPIs, let's get to it.  What is a KPI? A KPI is an acronym for Key  Performance Indicators. Now it's not a goal,   but it's a measurement of how you achieve your  goal. We use them in business all the time to make   sure that we're on track with our objectives. And  we want to know if we are going to be successful   or reaching our targets of what we were hoping  to achieve. So some examples of business KPIs   could be net sales versus forecast. Could  be your inventory turnover rate. How many   emails were opened in a program that you sent out?  How many clients did you just sign up last month?   So it's the key things that you want to measure. Now when it comes to projects, what are some   project KPIs? Well, let's take a look at schedule.  Are you on track in regards to your milestones?   How many milestones did you achieve versus how  many did you not achieve? as well as what about   labor costs? Are you on track with all of that  labor that you're using in for your project?   Resource allocation is another one too. You may  have predicted what you thought the resource   was going to be and are you on track with it?  Are you over or under? Are you calling on more   people than you expected? That all has impact  and it really allows you to know whether or not   you're on track with your original goals and if  you're successful towards achieving them as well.  Now that you know what a KPI is, it's time to know  what makes them effective. And I'm going to go   through four specific things that you need to be  aware of. Make it simple. A KPI should be simple,   straight forward, easy to measure. You should  be very clear with what the KPI is and what   you're trying to achieve. It should not leave any  room for questions whatsoever. Make it realistic.   A lot of times individuals or organizations  will create KPIs and they're not realistic.   There are these overarching high level values and  numbers that there's no way people can achieve.  So take a step back. Can we achieve this? Is it  a really, am I pushing it out enough where it's   going to be motivating people? And so therefore  we can get to it or am I really stretching it   so much that we're never going to achieve it?  This is a little bit of a fine line. You need   to figure out with what you're trying to measure  if it's realistic. So just always keep in the back   of your mind because the last thing you want to  do with a KPI is have this great KPI, but it's   so out there that there's no way that people can  realistically get to it. And It promised you,   it deflates people and you're going to have the  opposite effect of not people trying to motivate   themselves to get to the KPI. They're actually  going to be trying to get away from the KPI.  Make it measurable. Now you need a KPI and you  need to make sure you can actually measure it. So   if you're like, "We want great customer  satisfaction." Well, how are you going   to measure that customer satisfaction?  Is it in a survey? Is it through people   giving you positive feedback on some sort of  social media site? You have to figure it out   and be very specific that you can measure it. Just  hoping that, "Oh, our sales tells us that people   are satisfied," is not necessarily the right  measurement. So you have to really take a look, is   your measurement aligned with what you're trying  to achieve? And so therefore the KPI makes, sense.  Last but not least, make it visible. There is no  point having KPIs if your organization has no idea   what they are and what they're working towards.  So plaster it in very specific places that people   can see so they can get excited. If you have a  warehouse KPI in regards to let's say, safety or   getting your orders out right the first time, well  then place it in the warehouse where people see it   and they can get excited about it. So really  think clearly about making it visible. Now,   a side note to visibility, please, when you make  it visible, don't have 50 KPIs because even though   you've plastered them and they're all simple and  measurable and all that fun stuff and realistic,   if you have too many, people then don't know  what they're actually trying to achieve because   there's too many directions for them to  go into. So make a visible, but keep it   simple and stick with the ones that are really  going to help you in your business objectives.  Now that you know what a KPI is,  you really now have to understand   for your projects that have KPIs, how do you  ensure that you don't have other things that   come into play that are going to make them fail  or worse yet, not achieve a KPI. So for you,   I have this, all of the things you need to be  aware of on how to ensure your projects don't fail   in this guide. I want you to go to the link below,  under this YouTube, and grab it. It's yours free.  Don't forget to subscribe to the channel, like  this video and please share it with everyone that   you know. It really helps us out. On that note,  if you have KPIs that you've used in the past,   or if you want to throw a KPI at me and see if  it's realistic and simple and all those fun little   things, by all means do so. I'd love to hear  from you. Until the next video, have a great day.