Do you need assistance with continuous business improvement? Don’t hire anyone yet! We know the systematic solution for slow business growth. You can use KPI for continuous business improvement. Moreover, you can calculate employees’ skills faster with automated KPI management systems.
The traditional concept of KPI management has been familiar since the early 20th century. It enhanced productivity in work with data metrics and measurements. Now we are living in an era of technology, so it has become more flexible to play with data and insights.
You just have to understand three certain things—
- Why KPI is important for business improvement
- KPI factors that stop continuity in improvement
- Best ways to use KPIs for continuous improvement
We are going to start with the definition of business improvement and its relation with KPI. Eventually, there will a step-by-step guide for the best use of KPI.
What is Considered a Business Improvement?
In simple terms, business improvement is the position of the business from one state to another state. The main feature of business improvement is increased number of sales, market shares, and return. Companies have to apply sales tactics and KPI management programs for regular and continuous business improvement.
Gartner published a press release of the survey mentioning that 56% of company CEO said they have observed digital improvement. Besides, 89% of businesses have planned to adopt digital strategies for more growth. Here comes the use of KPI in a digital controllable format!
Why KPI is Important for Business Improvement?
Key Performance Indicators (KPIs) are essential tools for tracking and managing performance towards business goals. After utilizing the KPI tracking system perfectly, you will identify strengths, weaknesses, opportunities, and threats to any business.
How KPI Helps?
-
- Objective: The proper plan for the sales at a certain time.
- Metric: The numbers and units you need for your KPI measurement.
- Data Collection: The listed numbers of individual employee goals.
- Visualization: Each member’s work description for a business plan.
- Evaluation: Monitor and verify the contribution of employees.
According to the ZS’s report, 79% of companies are using KPI on an annual basis. In the past, continuous improvement was hampered because the KPI evaluation took a lot of time. But now we have KPI tools that track sales targets in real-time. Therefore, the change in workflow not only boosts productivity but also enhances overall business performance.
Factors that Impact Continuous Improvement in Business
KPI is intended for having clear goals for the clear pathway of your business. The lack of clear goals and your resistance to the changes are bad for business. You must adopt new KPI tracking methods so that you can avoid inconsistent monitoring. The laziness or pause in monitoring is harmful. Similarly, if you prioritize the short-term metrics, it will cause continuous improvement.
Lack of Clear Goals
It is true that without well-defined objectives, KPIs lose their effectiveness. Unclear goals lead to misaligned KPIs. As a result, the business experience missed opportunities for improvement. Using KPIs can solve the problem.
Resistance to Change
Have you seen the stubborn boomers? They think change can be daunting, and some employees or leaders may resist new strategies. But you have to keep up with the flow of current. Most businesses lose their lead conversion because they are stuck with old and time-consuming methods.
Inconsistent Monitoring
Inconsistent monitoring can hamper the continuous improvement. Often the monitoring process is so annoying that management ignores it at the end of the window. We cannot blame them, because most of them do not know how to analyze KPI achievement patterns using the best ways. They just stay behind the line for lack of knowledge.
Overemphasis on Short-Term Metrics
You might know that vanity metrics and short-term KPIs can lead to short-sighted decisions that harm long-term growth. To avoid growth, you must go for an approach that includes both short-term and long-term KPIs.
1 in every 4 businesses in the USA falls within the first year for not having targeted marketing, business plan, and employee dedication. Guess what? These are the things you get from a KPI management system. So you must minimize the factors after learning the best ways for business improvement.
Best Ways to Use KPI for Continuous Business Improvement
Statistics show that setting SMART goals can lead to a 90% improvement in business performance. Imagine achieving a 90% boost in goals every quarter—completing more goals would naturally lead to greater success.
With that in mind, here’s a four-step process for continuous business improvement that also helps you focus on micro goals to keep your progress on track.
Step 1: Set SMART Goals
Conduct meetings and list your KPI goals for the year or months. Ensure that your KPIs are Specific, Measurable, Achievable, Relevant, and Time-bound. SMART goals provide a clear roadmap for success and make it easier to track progress, especially when using KPI in software development to automate and streamline goal-setting.
Step 2: Regular Review and Adjustment
KPI allows you to continuously monitor the progress of each project. You can get regular reviews and bring any changes in plans during the work process.
Step 3: Encourage Employee Engagement
Involve employees in the KPI-setting process and encourage them to take ownership of their performance. Engaged employees are more likely to contribute to continuous improvement efforts.
Step 4: Use a Balanced Scorecard
Do you know a balanced employee scorecard approach involves tracking a mix of financial and non-financial KPIs? The view proves that all aspects of your business are performing well. Now you can contribute to sustainable growth.
ProKPI Features for Non-stop Business Improvement
ProKPI is a one-in-a-million option to set goals aligned with the strategic business objectives. Business developers and programmers designed the user interface and navigation system with collaboration. The features include:
- Super user-friendly interface for general users.
- Metrics and reports system to fulfill specific business needs.
- Instant tracking and feedback system for timely decision.
- Streamlined performance tracking and evaluation.
- Goal alignment features to drive accountability.
- 24×7 ongoing customer support for the active users.
- Low pricing and value for money proposition.
Our main concern focused on three points of business demands for continuous business improvement. They are—
- Track Everything: Track the project names, project duration, divisional members, departmental members, and everything. Set up the team and take over the controls in your own hands. Decide who can change what!
- Getting Holistic Report: Check the KPI summary in the pie chart and get holistic reports. Count how goals are set, period and evaluation are standing side by side. Check the success and failure ratio with easy statistics.
- Take Smart Decisions: You can send toward or back forward the KPI if there are any gaps or mistakes. The supervisors can view the goals and instruct with their decisions. In addition, you can find out the top performers with all the charts and graphs.
According to the research, UX plays a great role in the KPI tracking system. The administrator should find everything instantly to monitor employee activity. Also, the user have to set goals and watch the completion rate regularly to stay motivated. The ProKPI team developed the software keeping that theory in mind. That’s why our users love it. We sold more than 20 units even before the final release!
Conclusion
Our guide cannot help you completely if you do not use the KPI tracker system. Therefore, ProKPI is filled with all the business growth principles. So, the chances of continuous improvement are high and visually detectable. We suggest you try the Demo version and take a decision later.
FAQs
How to learn ProKPI for continuous improvement?
You do not need any course or lesson to use ProKPI. Visit our YouTube channel for video tutorials. If you have planned for clear business goals, you have to list those down in the ProKPI goals window. Contact us for any kind of trouble.
Do I have to pay every month for ProKPI?
No. ProKPI is currently available as a one-time package for $29, $59, $99, and so on. The price depends on the number of members in a company. We have designed the storage for small (20 members), medium (50 members), large (100 members), and custom (+100 members) companies.
What types of agencies use KPIs for continuous improvement?
In the past five industry-based companies can leverage their business development using KPI software. They are the financial, retail, tourism, manufacturing, and shipping industries. But now all types of industry employees use ProKPI. Even you can use it for personal task improvement.