Focus on the BIG Things

Focus on the Important Things

Most clients have no trouble coming up with a list of results they want to achieve. But once high-level business goals have been established, how do you make sure you reach them?

The answer is simple, but not always easy- time to set up your Key Performance Indicators (or KPI’s for short).

KPI’s direct your attention to what matters most by showing how your business performs on your most important goals.

Here’s how it’s done:

Begin by reverse engineering how you will get to your goals with Key Performance Indicators (KPI’s).

Ask yourself, “What’s one measurable thing that we focus on improving, that would have the biggest impact on helping us hit our top priority business goal?”

Why Are KPIs Important

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KPI’s don’t have to be complicated, as too many measures will dilute your efforts’ impact. One or two areas of concentration will help you laser-focus on improving performance.

We generally suggest most businesses focus on a leading indicator (measurements that predictably influence the outcome), affecting lagging indicators (the results you are trying to achieve).

More simply, if we do this (leading), then we likely will get that result (lagging).

For example– If you are trying to increase sales: “If more people visit our website, then we are likely to increase online sales.”

Leading indicator: # people visiting your website (evaluate weekly)

Lagging indicator: online sales profits (evaluate monthly)

3 easy tips for implementing KPI’s in your business:

  1. Pick one (max two) KPI’s for each of the primary focus areas of your business
  2. Help each of your team members choose one or two KPI’s for their area of focus
  3. Make the results visible, so everyone is engaged in the progress

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