Key Performance Indicators (KPI) The 75 measures every manager needs to know

Introduction  

PART ONE    Financial perspective

1          Net profit       

2          Net profit margin      

3          Gross profit margin   

4          Operating profit margin        

5          EBITDA        

6          Revenue growth rate

7          Total shareholder return (TSR)       

8          Economic value added (EVA)           

9          Return on investment (ROI)

10        Return on capital employed (ROCE)           

11        Return on assets (ROA)       

12        Return on equity (ROE)       

13        Debt-to-equity (D/E) ratio    

14        Cash conversion cycle (CCC)          

15        Working capital ratio

16        Operating expense ratio (OER)       

17        CAPEX to sales ratio

18        Price/earnings ratio (P/E ratio)         

PART TWO   Customer perspective

19        Net promoter score (NPS)    

20        Customer retention rate       

21        Customer satisfaction index 

22        Customer profitability score 

23        Customer lifetime value       

24        Customer turnover rate        

25        Customer engagement          

26        Customer complaints

PART THREE           Marketing and sales perspective

27        Market growth rate  

28        Relative market share          

29        Brand equity  

30        Cost per lead 

31        Conversion rate        

32        Search engine rankings (by keyword) and click-through rate        

33        Page views and bounce rates           

34        Customer online engagement level  

35        Online share of voice (OSOV)         

36        Social networking footprint  

37        Klout score    

PART FOUR  Operational processes and supply chain perspective

38        Six Sigma level          

39        Capacity utilisation rate (CUR)       

40        Process waste level   

41        Order fulfilment cycle time (OFCT) 

42        Delivery in full, on time (DIFOT) rate         

43        Inventory shrinkage rate (ISR)       

44        Project schedule variance (PSV)      

45        Project cost variance (PCV) 

46        Earned value (EV) metric     

47        Innovation pipeline strength (IPS)   

48        Return on innovation investment (ROI2)     

49        Time to market         

50        First pass yield (FPY)           

51        Rework level 

52        Quality index 

53        Overall equipment effectiveness (OEE)      

54        Process or machine downtime level 

55        First contact resolution (FCR)         

PART FIVE    Employee perspective          

56        Human capital value added (HCVA)           

57        Revenue per employee (RPE)         

58        Employee satisfaction index 

59        Employee engagement level

60        Staff advocacy score 

61        Employee churn rate 

62        Average employee tenure    

63        Absenteeism Bradford factor           

64        360-degree feedback score  

65        Salary competitiveness ratio (SCR)

66        Time to hire   

67        Training return on investment          

PART SIX      Corporate social responsibility perspective

68        Carbon footprint        

69        Water footprint         

70        Energy consumption 

71        Savings levels due to conservation and improvement efforts        

72        Supply chain miles    

73        Waste reduction rate 

74        Waste recycling rate 

75        Product recycling rate

Bernard Marr is a leading global authority and best-selling author on organisational performance and business success. He regularly advises leading companies, organisations and governments across the globe, making him an acclaimed and award-winning keynote speaker, researcher, consultant and teacher. He is acknowledged by the CEO Journal as one of today’s leading business brains. Bernard  has written a number of seminal books and over 200 high profile reports and articles on managing organisational performance.