City Gloss

The good achieved figures of KPI must ensure the long-term increase of the value of the company. In the development and the implementation of KPI for the balanced scorecard or device panels, one must understand that KPIs should correspond to the ten basic parameters and, although the code can demonstrate some of these characteristics, good KPIs have all of them. The KPIs reflect and measure the key levers of the business value. Such lever of the value present the acts which are implemented, guarantee future success. Valued for satisfying this demand explanations or existing KPIs (how successfully enable them the Organization towards achieving the stated financial and planned objectives. The examples of lever of the value can be “the full satisfaction of the customers” or “the excellent quality of the product”. Usually, the KPIs are not a financial measure. The KPIs initialize the corporate considerations of how successful does the Organization on the functional areas that affect the vast financial results, which are important for the shareholders.

It follows that no leading lever are indicators of the financial projection. However, the most important financial indicators depend on typically the financial indicators of the implementation of the strategy not affecting them. The Executive Directorate to determine the most important levers of the value in the course of the formulation of the Organization’s short-term and long-term strategy. To get the result of the use of this particular lever, the Executive Directorate will decide how she will measure the key figures, influencing the State of this lever. Unfortunately, too many Executive directorates meet the strategic planning, the agreement and the claim without regard, in what way are the measurements of the influencing indicators are met, which are known as the KPIs. The results are predictable and sad. A rule: There are no way to manage what it is not appropriate. Each group at any level is headed by the Director in any organization.