Operational indicator, KPIs and metrics
Watch the video and then summarise what you have learned.
Performance measurement is a fundamental principle of management.
The measurement of performance is important because it identifies current performance gaps between current and desired performance and provides indication of progress toward closing the gaps. Carefully-selected key performance indicators identify precisely where to take action to improve performance.
What is an indicator?
An indicator is a quantitative measure designed to monitor performance on an ongoing basis. An indicator acts as a flag to alert staff to occurrences or events that warrant further review. Input indicators are quantified and time-bound statements of resources to be provided. Information on these indicators comes largely from accounting and management records. Process indicators measure what happens during implementation.
Enterprise Resource Planning in Operations Management
Enterprise Resource Planning in Operations Management
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