KPI – should be Key Process Indicator
Why performance indicator?
Every day the most of us are looking at tons of KPIs, which we expect to indicate the current performance of the companies we work with. Of course, we need to analyze our business and to attain an idea of the current and future development of the company. The Question, which I would like to bring up here, is simply: are we all analyzing our business with the good perspective?
Theoretically it is easy and clear. KPIs reflecting our business and following the main process of added value in our company. As a lighthouse they should guide us the way. There it makes no difference whether we are producing something, trading or consulting as the core of our business we all have a bunch of indicators. But why are this performance indicators? The base on our effort should be the process and its flow itself should be clear to every stakeholder within it.
The world in flow
We live in a connected world, where data and information will cross the ocean in a second. This network of people, companies and countries is new and probably it will grow stronger in the future. Anyway, this can only work if we know what the process behind is. Over the last years I recognize two trends:
- Finances are focused on the bottom line or balance sheet indicators
- Based on all the lovely apps we all turned more and more into user. We forgot the background behind the swipe and wave on the touch screen.
Remember the aim of KPI
Let us have a quick look in the definition of KPIs and how to create them. KPI should reflected the main processes of a business and should be install the process chain along in cooperation with the controllers and operating departments. They should support the steering process and make risks and chances easily observable. This seems a bit backwards oriented and not encourage in a world of change and development.
Just think about the following situation, have you ever asked somebody to draw the process on a piece of paper to get clarity in to actual discussing situation? Have you never seen the astonished reaction of this person? I have done it and saw this exact reaction. Most of the colleagues, employees and supplier are not familiar to draw their processes themselves. So, the process remained an only spoken one in a foggy air.
Let us start drawing
If we would however create a culture which is built to work, to create, and to develop our companies on processes, we would be faster, increase the engagement with our jobs and become better as companies. Based on my experience the best way is to start drawing the processes and then to link our indicators to the processes. Even in our language, therefore they should be our key process indicators.
Culture will be created by good and encouraging experiences, these experiences will raise a new attitude of cooperation.


