Why This Matters
KPIs are the primary mechanism through which organisations monitor whether they are on track to achieve their objectives. When KPIs are well-selected and clearly defined, they focus management attention on what matters most and provide the basis for performance conversations grounded in evidence. Poorly chosen KPIs — measuring the wrong outcomes, defined inconsistently, or without clear targets — generate reporting activity without decision-making value.
Where This Fits
This term sits within the Reporting area of Performance & Control.