CARA MEMBUAT KEY PERFORMANCE INDICATOR (KPI) | STEP BY STEP MEMBUAT KEY PERFORMANCE INDICATOR (KPI)

Summary

In this video, the speaker discusses the importance of creating effective Key Performance Indicators (KPIs) for businesses, emphasizing that KPIs should not be limited to financial metrics like revenue or profit. They should also consider aspects such as customer satisfaction, processes, and employee growth. The speaker explains how to align individual KPIs with company-wide goals using the Balanced Scorecard method and highlights the importance of tailoring KPIs to the company's context and stage of growth. The video encourages viewers to consult experts for personalized KPI creation.

Takeaways

• 😀 KPIs should go beyond financial metrics like revenue or profit and include customer satisfaction, process efficiency, and employee learning & growth.
• 😀 A balanced scorecard approach is recommended for creating KPIs, integrating multiple business aspects for a more holistic view of performance.
• 😀 Individual KPIs should align with the company’s overall goals, ensuring vertical alignment between company-level and employee-level KPIs.
• 😀 It’s essential to create KPIs based on a clear company strategy, as this serves as the foundation for setting relevant and effective KPIs.
• 😀 The approach to KPIs should be adapted based on the company's size, industry, and its stage of development to ensure the strategy is tailored and relevant.
• 😀 Aligning individual KPIs with company goals fosters motivation among employees and ensures they understand how their performance contributes to the business.
• 😀 It’s important to consult experts or specialized consultants when creating KPIs to ensure they are appropriate and effective for your business context.
• 😀 KPIs should be dynamic and flexible, evolving as the company and market conditions change to remain relevant and impactful.
• 😀 The process of defining KPIs should include feedback from all levels of the organization to ensure they reflect both company and employee needs.
• 😀 For businesses seeking assistance, the speaker’s platform, www.project.co.id, offers consulting services to help create effective and motivating KPIs.

Q & A

What are the four key aspects mentioned when discussing KPIs?

The four key aspects are revenue, profit (financial aspects), customer, process, and Learn and Grow.

What is the significance of having a clear strategy when setting KPIs for a company?

A clear strategy is essential because it helps guide the development of relevant KPIs that align with the overall objectives of the company, ensuring that each department or individual contributes effectively to the company’s goals.

What is the balanced scorecard approach to setting KPIs?

The balanced scorecard approach involves creating KPIs not just for financial outcomes (revenue and profit) but also for customer satisfaction, internal processes, and learning and growth, offering a more holistic view of the company's performance.

What does 'vertical alignment' mean in the context of KPIs?

Vertical alignment refers to ensuring that individual KPIs are aligned with company KPIs. This means that each employee’s performance indicators should contribute directly to achieving the broader company objectives.

Why is it important to consider the company's current situation when designing KPIs?

It is important because the company's size, number of employees, and business model influence what kind of KPIs will be most effective and realistic to implement.

What advice does the speaker give for companies looking to create effective KPIs?

The speaker advises companies to consult with experts or directly reach out to their team to design KPIs that are not only effective but also motivating for employees.

How should KPIs be tailored to individual roles in a company?

KPIs should not just be based on job descriptions but should also take into account how the individual’s role supports the broader company goals, contributing to both personal and company success.

What role does feedback and consultation with experts play in setting KPIs?

Feedback and consultation with experts help ensure that the KPIs are relevant to the company’s context and goals. Experts can provide guidance on effective KPI design based on industry standards and their own experience.

Why is it crucial to involve employees in the KPI setting process?

Involving employees in the KPI setting process helps ensure they understand the goals and their role in achieving them, leading to greater motivation and alignment with the company’s objectives.

What is the purpose of the channel mentioned in the transcript?

The channel serves to answer questions and discuss various topics, including KPI setting, with input from the audience. It also offers insights based on the speaker’s and team’s six years of experience.