Abstract
AbstractThis article focuses on ways to identify key performance drivers (KPDs) and key performance indicators (KPIs). Unfortunately, lists of KPIs published in the past often focus on one industry and assume a generic business strategy. In addition, an overemphasis on financial measures will mean that KPIs will reflect past activities rather than signaling future performance. Managers need to develop meaningful metrics for their own businesses, not use generic KPIs. This is particularly important in small and medium‐sized enterprises. How adept are you at this task? Do you know what drives net income for your organization? © 2009 Wiley Periodicals, Inc.
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