Guide

KPI explained

What a Key Performance Indicator is, how it differs from a measure, and how it sits in the results chain.

FAQ

Frequently asked questions

A Key Performance Indicator is a quantifiable measure used to evaluate whether a unit, project, or organisation is meeting a defined output, outcome, or impact. A good KPI is specific, measurable, attributable, relevant, and time-bound (SMART).

A measure is what you count (e.g. "number of households served"). A KPI is the specific reportable indicator chosen to track progress against a planned output (e.g. "% of households served against quarterly target"). A target is the value the KPI should reach by a given date.

Most planning frameworks recommend 3–7 indicators per output. Fewer KPIs makes attention focussed; more dilutes reporting effort. Indicators must roll up cleanly to outcome indicators.

Leading KPIs measure activity drivers (e.g. inspections performed); lagging KPIs measure result outcomes (e.g. compliance rate). A balanced indicator set uses both.