A Prelude to KPI

September 21, 2017
Performance Management System: Part-2
March 4, 2019
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A Prelude to KPI

A Prelude to PMS: Part-1 (Understanding KPIs)

I would like to share some of my experience on PMS. Due to huge curiosity and interest, the write up has been made.

What is KPI? Before answering this question, I think, we need to know, what is Metric?

Metric: Measureable expression is called “Metric”. This has been rooted from the word “Metron”, ancient Greek measurement system. So, “Metric” means any “measureable expression”. Like, Blood pressure, blood sugar, height, weight, air temperature, air humidity, air purity etc. These all can be measured.

KPI: Any metric that reflect performance is called KPI.

So all KPIs are Metric but all Metric can’t be KPIs.

For further understanding:

1.      “Weight” is a measureable expression, so it is a “Metric”. We can increase and decrease our weight which reflect performance. So it can be KPI for someone who wants to increase or decrease weight.

2.      “Height” is a measureable expression, so it is “Metric”. Can we increase or decrease our height? I think it’s not possible, so it will never be KPI. Because we can’t influence it. No performance is reflected. (Physical Height).

3.      “Blood sugar”- is it a measureable expression? Yes, it is. So it is a “Metric”. Can we increase or decrease our blood sugar? Yes, we can. So it reflects performance, so it is KPI.

There are trillions of “Metric” in this universe. All we can’t measure but any “Metric” that reflect performance of someone/group of people that Metric is called KPIs.

Now the question is there are thousands of KPIs in google, which one is for me?

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