Key performance indicators and the use of KPI bonus

12:44 PM
Key performance indicators and the use of KPI bonus

key performance indicators (KPI) has been used increasingly by many companies and organizations to keep the various aspects of organizational performance path. It includes one particular KPI bonus application, which is the key performance indicators that determine whether or not the individual employee eligible for a grant.

Although First, what exactly are these so-called key performance indicators? From the term itself alone, these KPI measurements are selected which serve to indicate levels of performance. To be more precise, and key performance indicators are financial metrics and non-financial, which are used to both identify and measure progress towards the achievement of organizational goals. By their nature, these key performance indicators may vary widely in different organizations and disciplines, but there are also many that are suitable for a wide range of organizations.

key performance indicators and make up one part of the goal is measurable and clearly defined, which consists of a trend, an index, a benchmark, a target, and the time frame. As such, they are vital parts of any strategic management approach, because a concrete idea of ​​what you need pointers to stay the course becomes necessary. Not pulled

This KPI from the ground up by managers. For these indicators to be of any use, it must be based on pre-defined business process. That is, you must be a clear organization for the way they operate internally and externally. Not only that, but the organization must have also set goals and objectives, or at least have an idea of ​​what these goals. Finally, you should be aware and able to carry out these measurements required by KPI organization. These three criteria that the selection and effective implementation of key performance indicators for the overall control, for any organization.

To give a concrete example, consider in the selection of key performance indicators upon which the reward technical support worker is to be based. First, a business process or a set of interrelated tasks that performs such a factor must be determined. This may consist of answering customer queries through various media, doing research work, and create documents. Once have been clarified, the organization must goals and objectives set, for example efficient and less treatment or processing times. Finally, the organization should put in place different measurement processes that require KPI, such as the timing or logging.

In light of these considerations, the key performance indicators are good to reward artistic agent and has successfully query proportion replied, average handling time, or customer satisfaction Rate. In this example it can be seen flexibility in the KPI approach. These indicators can be used to measure individual employee performance "only effectively, it is also used to measure the institutional performance as a whole.

bonus KPI such form just one application form of performance indicator model key. Different organizations may be with different strategic objectives business processes use different types of key performance indicators. The proper selection and monitoring of these KPI will definitely help managers continuously align the regulatory processes with organizational goals.

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