A Key Performance Indicator or KPI is a tool used by organizations to quantify employee performance in relation to the achievement of certain business or company goals. KPIs are set out by managers and the organization itself to track employees and determine points where an improvement is needed. There are different kpis tracking tools that an organization can use but for a more convenient and time-efficient manner of tracking KPIs, look for software that automates your tracking activities. Here are some important reasons for having tracking KPIs.
Effectively measure targets
KPIs do not refer to the company goals. KPIS are the tools used to measure the action or performance of an employee to determine where exactly he is terms of achieving a specific goal. Having a working KPI tracker reveals how close or far the employee is in relation to the goals. When an employee knows where he is, he would know when to put in more effort to bring himself closer to the target or when to slow down and place some of his energy to other tasks.
Having clear targets and a measuring tool that determines where you are provides a clear picture whether you are performing or underperforming. Thus, you will be encouraged to do more and acknowledge your weaknesses. Accountability is acknowledging a person’s responsibility and owning these responsibilities no matter what the results may be.
Boosts employee morale
It is important to for an employee to be satisfied with his performance and one way to do that is to have a tool that would show an employee’s performance through a kpis tracking system. When a person sees his performance, he would be more motivated to deliver more. The employee would also fee more rewarded and will feel better about himself.