Glossary
What is KPI (Key Performance Indicator)?
A measurable value that shows whether a team or business is hitting its targets.
A KPI is a metric tied to a strategic goal. Sales KPI: monthly recurring revenue. Marketing KPI: qualified leads per week. Engineering KPI: deployment frequency. KPIs differ from vanity metrics - a KPI must drive a decision; a vanity metric (raw pageviews) doesn't. Good dashboards show 5-9 KPIs together, not 30.
When to use
Pick KPIs that change your behaviour. If the number drops and you wouldn't act on it, it's not a KPI - it's a number.
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