Know Your Numbers

One of the biggest shortcomings of business owners is they don’t measure the proper Key Performance Indicators (KPIs) for their business. KPIs are absolutely essential for success because they provide daily, objective feedback on your performance. Do you know your numbers every day?

What are your most impactful and important key performance indicators?
What does it take EVERY DAY for your business to be profitable?
What does it take to hit your desired goals?

Think of it this way, knowing your numbers is like knowing the scoreboard in sports. How do we know who wins if there isn’t a score? There really is no excitement, no urgency and no competition if you’re not keeping score. The second you begin keeping score, the intensity is significantly higher.

Why KPIs Matter

In the game of business, how do you know if you’re going to “win” if you’re not keeping score? You need to determine the KPIs to be measured to help you achieve your goals. And then, share those goals with every member of your team. On a daily basis you and your team should be able to recite your current performance levels and know exactly how your business is measuring up. When you establish KPIs for your business you enable your team to work in a synchronous flow toward achieving your set goals.

A word of caution: Most business owners measure too few KPIs, or they measure everything under the sun and completely overwhelm as well as confuse their team.

Action Step

Understand the key indicators that make you successful and use those EVERY DAY to prioritize workflow and measure progress. What specific KPIs does your team measure every day and what should they be measuring?