A key performance indicator (KPI) is a quantifiable statistic that shows how well a firm is meeting important business objectives. KPIs are used by organizations to assess their progress in meeting objectives.
High-level KPIs may focus on overall business performance, whereas low-level KPIs may focus on processes across departments such as sales, marketing, HR, or support.
They are also used to compare the company’s overall performance to that of other comparable companies in the industry.
Internal or external Key Performance Indicators can be used. Internal KPIs are used to assess internal goals in departments or divisions, but they can have an influence on accomplishing the company’s fundamental goals. KPIs aid in mobilizing staff to strive toward achieving fundamental objectives.