Why KPIs Are Essential For The Growth Of Your Remote BusinessNov 16, 2022
What is a KPI and why are they important for the growth of your remote business? In today's article, I explain why KPIs are important for the growth of your business.
Learn the benefits of hiring remote teams and how to hire them with ease.
Join our FREE course, The Basics Of Remote Hiring, where I teach a step-by-step process on how to hire remote teams and the benefits thereof.
Now let's jump right in!
If you are anything like me, you may find this element of your business super boring. I prefer to express my creativity through ideas and problem-solving.
However, KPIs are essential for your business growth. These metrics can help you analyze your business performance and find ways to improve and grow it.
- KPIs will help you understand how well your business is performing in relation to your goals and objectives. They are essential for knowing if you are on track, within budget, and how well your operations are running.
- KPIs are the most important performance information that enables you and your managers to understand whether your business is on track toward achieving your company goals.
- Even if you're not a numbers person, all of your employees are going to want to see results. KPIs can help keep everybody on track and give you valuable insights into how your business is performing.
- KPIs are so important. But they can be overwhelming if you try to think of them all at once. Think of KPIs as a way to measure your progress, rather than to lose focus on what really matters (your customers!).
KPIs, or Key Performance Indicators, are essential for tracking every element of your business performance. They are often assumed to be financial or numerical only, but what about the KPIs for customer experience, and deliverability? If a reader can connect with your blog or newsletter and have a positive experience with it, isn't that just as important as tracking sales?
A KPI being met by a customer service team member can help you achieve your financial goals if it affects the retention of your customers within your business.
For example, if you have a customer service team member joining your business, one of their KPIs could be receiving 5* reviews for their customer support because a result of that is the retention of your customer in your business which is fundamentally helping you achieve your financial goals.
The simplest way to develop KPIs is to break up your company goals:
- Once you have created your quarterly goals, break them up into categories for each department, team member, or function in your business and create tasks for each employee to accomplish every week.
- This is how you track KPIs and your remote team's performance.
- Some of the areas where we will use KPIs in our business is to increase sales, and customer retention, decrease costs and avoid mistakes in your business.
- KPIs should be specific and clear to everyone within the company. They should include a goal, one simplified way to measure the goal, and an achievable time frame for each goal and KPI.
- Every role or department must have its own KPIs, for example, you can’t expect your social media manager to have the same goals as your customer support team. They are two entirely different sectors in your business so we must find out what metrics each of them should focus on and for what purpose.
Keep in mind that you don’t want to overthink the process and let it overwhelm you with all the noise out there about what KPIs are. Just think of what needs to be achieved in this quarter and how that can be achieved with a few key performance indicators (KPIs) to track.
For example, the customer support team must respond to your customers within a minute and solve the problem as fast as possible, which will make your customers feel supported and valued so that they are more likely to remain customers in your business and even become raving fans.
KPIs are key to the growth of your business and I hope this list has given you an idea of what they are, what they look like, and their importance in your business.
If you need help with creating, implementing, and using KPIs in the hiring process then sign up for our FREE course The Basics Of Remote Hiring.
Until next time I am wishing you peace, happiness, freedom, and success.
CEO of Scaling Up Simplified.