In my personal experience across companies, there is this madness to track everything. You will find a dashboard with lots of colours, shapes and trend charts showing slices and dices of data.
Somebody said - " Whatever gets measured, gets done". Very rightly pointed out, given until we measure we wouldn't know how good or bad e are doing. Then only you can apply resources to improve!
But, there is this concept of 'Efficiency' and 'Effectiveness', i think Peter Drucker mentioned this in his milestone book 'The effective Executive'.
#Efficiency is how well a process or task is getting executed. For eg, Making a product in part in a factory is taking XX minutes at YY rupees cost.
#Effectiveness is about assessing whether that part is needed in great supply or at lowest cost at all, given its a part which is not a bottleneck at all to push production!
Having KPIs to just keep tracking efficiency is a drain on resources and direction for entire org. Keeping minimal but effective metrics is essential for entire org to keep thier focus on those few that are effective and matter the most.
Another concept that Amazon prescribes is the #input metrics tracking apart from output metrics. Until we track what all we are putting in (say spends in media, hrs in training, points of distribution..), outcomes of sales wouldn't happen!
Infact, Input metrics tracking is the holy grail of KPIs and Dashboards!
Any other concepts you picked around KPIs?
credits for cartoon - Tom Fishburne
#growth #analytics #data
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