Key Performance Indicators (KPIs)

These flashcards cover essential vocabulary related to Key Performance Indicators (KPIs) as discussed in the lecture notes.

Key Performance Indicators (KPIs)

Quantifiable measures that show how an organization, department, or individual is performing.

Critical Success Factors (CSFs)

Actions or results that need to be achieved for success within an organization.

Goal Congruence

A concept where KPIs support the alignment of individual and organizational objectives.

SMART

A framework for good KPIs meaning they should be Specific, Measurable, Achievable, Relevant, and Time-bound.

Non-financial KPIs

Performance indicators that provide insights about business processes not directly related to financial outcomes.

Benchmarks

Standards or points of reference against which KPIs can be compared to assess performance.

Dashboard

A visual display of key metrics and KPIs that facilitate understanding of performance at a glance.

Performance Appraisals

Evaluations of an employee's job performance often linked to specific KPIs.

Cost Leader

An organization that aims to be the lowest cost producer in its industry.

Cart Abandonment Rate

A KPI reflecting the percentage of customers who load items into a shopping cart but do not complete the purchase.

First Pass Yield

A KPI reflecting the percentage of products manufactured correctly without the need for rework or scrap.

Profit Margin

The difference between revenue and costs, expressed as a percentage of revenue, indicating profitability.

Customer Satisfaction Ratings

A measure of customer enjoyment with a product or service based on their feedback.

Conversion Rate

The percentage of visitors to a website that complete a desired goal, such as making a purchase.