Internal Business KPis
Internal Business KPis
The best KPIs for your organisation starts with defining your business objectives and then designing KPIs that measure them. This list is perfect for those who have already defined their Internal business objectives and are looking for some inspiration around ways to measure these objectives.
Business KPI Examples For IT Teams
Business KPI Examples For Measuring Process and Solutions
IT departments are often measured by the solutions they provide and how effectively they tackle challenges for an organisation, so it makes sense to outline some process and solution driven KPIs.
Project Delivery Time
This is one of the KPIs that IT teams often get measured on by the wider business: Did they deliver what they promised on time? It is relatively easy to measure if you are managing projects with timelines and clear targets(weekly, monthly, quarterly, yearly). Slight delays in any process in the organisation are likely to cost you time in the end.
One thing is to deliver a project on time, but if it is riddled with issues and bugs, this means very little. Therefore, measuring the number of issues per project and as a whole, can help determine where there may be challenges when launching projects, and with time, this will improve the process and reduce friction.
Service Level Agreements (SLAs)
This is quite a specific way to measure and present both performance (time) and quality. The numbers are agreed and measured monthly or quarterly to identify if the agreed level of service is being delivered. Consequently, SLAs often get a bad rap because they often show an IT team is not as good as hoped, but on the flipside, they can present transparency and set realistic expectations if used positively.
This looks at how quickly and effectively your IT team can react to change in the needs of an organisation. This includes the ability to scale processes and being able to pivot on projects without impacting time or budgets significantly. Your IT team can run, as usual, grow, or transform, and measure how adaptable you are will help you to understand how well positioned you are to achieve your potential.
Internal Business KPIs Examples for Measuring Financial Metrics in IT
Measuring monetary metrics in IT can steer technology expenditures and investments in a way that can encourage financial health. This can be done through levers of cost reductions, resource allocation, and increased accountability.
Measuring IT Budgets
This one is a pretty obvious one, but accurately measuring the budget and tracking it as a project progresses. This will put teams in a position to stay on target or address anomalies well ahead of over-spending.
A common approach from IT departments is to provide ‘chargebacks’ to other departments for rendered services. This demonstrates the value IT brings, but it is often met with resentment. By switching to ‘showback’ IT teams
can measure and report the resources allocated to each department, maintaining the awareness. Measuring where resources are allocated can really help IT identify areas of weakness or stress.
Application And Service Of Total Cost
This metric helps to understand what it costs to deliver each IT offering. For example, how much do you spend on storage, networks, security, and which departments use these offerings the most. This can help uncover the ‘long-tail’ application run cost, while also aligning the expenses with business objectives.
Supplemental Financial KPIs
This sounds a little vague, but measuring other less obvious metrics can also become extremely helpful. E.g. moving to cheaper technologies or tracking costs by activity (development vs maintenance vs running systems), highlights areas of improvement.
Measuring People in IT
This area not only focuses on measuring people within IT teams, but also measuring the people the IT team services. Inclusive of other members of the organisation or customers. As such, it is a critical area to measure, as we become increasingly reliant on tech to deliver products and services.
IT Happiness (NPS)
We’ve covered NPS in the customer service KPIs, yet this also applies to IT teams. This helps IT teams measure customer satisfaction from a technological perspective. Certainly, it can help highlight frustrations in user experience or tech issues that may not be obvious internally (speed, lagging, etc.).
KPIs On Service Desk
KPIs for in the service desk include the ticket resolving process, new processing system procedures, point of sale, and queuing procedures among other computerized systems. The effectiveness and accuracy of the service
desk department will determine how much the end users will rely on the company to solve their related concerns.
Employee engagement and satisfaction
Although new and exciting projects are great, IT teams spend most of their day helping other employees and customers in the less sexy tasks (“I forgot my password again”). For that reason, it’s important to measure the level of engagement from employees and maintain focus on the overall strategy. You can measure this through surveys, see: eNPS – HR KPIs.
This is almost a direct result of the level of engagement from the IT team. Highly engaged teams are more likely to come up with new initiatives and/or new ways of solving current challenges. Measuring internal initiatives will not only give you an indication of the level of engagement, but also readiness. As in the readiness to tackle unexpected turns in an agile environment.
KPI Examples For Health & Safety Teams
KPI Examples For Measuring Safety In The Workplace
Number of Reported Accidents & Incidents
This ‘lagging indicator’ is a pretty obvious one, but it really gives a high-level benchmark to the organisation in terms of knowing if safety is improving or worsening. In addition to monitoring the number of accidents/incidents, you’ll probably also want to convert this number to a ratio per employee – i.e. 0.001 accidents per employee. Keep an extra close eye on this Health & Safety KPI during times of change – new processes, new machines, etc.
Lost Time Injury Frequency Rate
This refers to the number of lost time injuries that happen per million hours worked. So a ‘LTIFR’ of 8, would mean that 8 lost time injuries take place every million hours worked. To work out the LTIFR you multiply the number of lost time injuries by 1,000,000 then divide that number by the total number of hours worked in an organisation. So if you have 8 lost time injuries and 3 million hours worked, your LTIFR is 2.6.
Lost Time Injury Incidence Rate
This measures the events that occur over a standard period of time by a standard number of people. So, if we want to calculate the ‘LTIIR’ (Lost Time Injury Incidence Rate) for 1,000 people, we multiply the number of incidents by 100, then divide it by the number of people. So, let’s say we have 3 incidents. 3 x 100 = 300. Divide that by the number of people and we get a LTIIR of 0.3. So for every 100 people, an organisation would have a 0.3 LTIs.
Measuring the number of equipment breakdowns and creating a goal to improve this number, you affect both safety and production. Since often when critical equipment breaks down, there is a loss of activity. Most importantly, this is a strong lead indicator that will play a huge role in the reduction of incidents. This is because a large percentage of incidents happen due to the state of the equipment used.
Internal Business KPIs Examples For Measuring Health In The Workplace
This KPIs for Health and Safety is usually measured through regular surveys. These allow an organisation to understand if employees feel that what they do on a daily basis and the management objectives are on the same path. People tend to follow procedures and instructions better if they see a connection in what they do and ‘the big picture’. It’s a little like running an NPS for employees.
Average Overtime Hours Per Person
This average is a great KPI to help measure the average time worked by someone beyond their normal working hours. The idea is that if you keep this number low, it can mean that an organisation is successfully managing workload and reducing the chance of fatigue in the workplace. You do want to be careful with this KPI, as it is not applicable to all types of organisations and the definition of ‘overtime’ will vary per organisation.
Satisfaction With Environment Score
This is something that would be measured as part of an eNPS survey. It involves obtaining employee feedback on several levels, including how satisfied they are with their physical surroundings (desk, office, noise levels, building, toilets, greenery, etc…), right through to their emotional environment. Low scores might indicate issues with that are adversely affecting the health (physical but more likely mental) of your employees.
Offering free health checks and monitoring the results can have a positive effect on both the individual and the workplace. If an independent assessor is used, staff will benefit from the reviews. However, an organisation can have an overall understanding of the health level as a team, and proactively work to change this. This can be achieved through introducing programs and improving the physical environment. Measure the success of such programs via KPIs that look at take-up and satisfaction levels.
Internal Business KPI Examples For Measuring Efficiency Of Your Health & Safety Processes
Monthly Health and Safety Prevention Costs
This is the expenditure that will be aimed at minimising health and safety hazards within an organisation. It will include training, inspections and audits that will be aimed at offering conducive and safe working conditions.
Productive Days %
This is a nice twist on the more negative approach of measuring sick days and time off due to accidents. It flips those KPIs into a more positive approach of celebrating the number of days of productive work that were successfully delivered. You can do this by using productive days as a percentage of the total available working time. For example, if your organisation had 10 employees and there were only 5 days lost due to health and safety issues, your Productive Days % would be 99.86% ((3645 days / 3650 available days) x 100 = 99.86%).
% of Management Trained in Health & Safety
This simple leading indicator will help you avoid many of the accidents and incidents that might otherwise occur. It also helps you to understand the effectiveness of your training programs. It’s up to you to define what that health and safety looks like. But, once you have, it’s as simple as measuring how many managers have undergone it and expressing as a percentage. You can do the same thing for all employees if you want to.
Average Time To Resolution of Risks & Issues
If you’re using a platform to help you manage risks and issues (which in many cases will be directly linked to health and safety incidents), you’ll be able to measure how long it takes you on average to resolve these issues from the time that they’re first reported. For example, if someone reports loose cabling in a certain part of the office. How long did it take for this to be investigated and resolved? [Hint – Cascade can help you capture risk and issues, give it a try!]
Health & Safety is a serious topic and the single most important thing to get right in your workplace. When it comes to implementing health and safety KPIs at your workplace, you need to get serious and speak to some experts in.
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