KSI's - Key Success Indicators by Mark Dickinson
Updated: May 12, 2020
We have long been dragged along the road of Key Performance Indicators, or KPI's. You either love them or hate them, but rarely are indifferent about them.
Should you search on Google for KSI's you get a whole lot of information about an internet star, but not much about working towards success. Search for KPI's and you are home: close to 100 million responses. So who are you going to go with? The old way of doing things? Or try something new?
Key Success Indicators are more powerful, they push you forwards and get you focused on what you really need to be focused on, success.
There is no point in working on those old KPI's that produce no real change or growth. They are hopeless. They are a tired way of measuring performance.
Do you want to have your performance measured once per year? Hmm. No. I didn't think so. Sitting down to a formal performance review is a bunch of nonsense. If every anything was fake and all cooked up, this is it. Performance reviews are quite frequently more about negotiating over how much more money you should be receiving than they are about what you actually did.
Very few of the people delivering performance appraisals are competent to actually do so in the first case. They are professionals doing their jobs and they have this drudge to do to measure how you are doing.
Now about we just get on with figuring out some exciting objectives that the business needs to attain that everyone can get on board with. A one year goal is good for some things, but not for performance. We need to create constant feedback and keep our people continually updated about what they are doing and how they are doing it.
I for one do not want my people going off track for more than a moment. I want to talk to them and get them back up and running.
KSI's focus on profitability and customer experiences, these are directly reflective of employee happiness, which is driven by the education that an employee is receiving and the balance of benefits and demand on him or her in his or her job.
1. Profit to be equal to or better than last time
2. My customers to be happier than they have ever been
3. My employees to be happier than they have ever been
4. My entire team to be engaged in some form of learning
5. An ongoing open discussion with team members about how things are going
6. Elimination of nonsense
If a manager is firing on all six of these KPI's we are on a winning ticket.
Profit equal to or better than last time allows for the measures to be selected by the person. We are looking to maintain and grow, maintain and grow.
Measuring customer happiness in one way or another is essential. It must be impartial, it must be non-leveraged, and it must be the top true priority for every manager. Expect that customers are happy and accept nothing less.
Happy employees is a no-brainer. You must have happy employees to make customers happy. Measure their happiness in simple ways. You devise the way that fits your organization. Just by measuring it you will create great awareness and happiness will rise. Let everyone know where our employee happiness rating lies.
The entire team to be engaged in learning. If you are not learning you are dead, either physically or intellectually. No matter what, you are dead. If we have dead bodies in the organization they are going to stink. Step 1, get them learning. Concentrate on getting everyone to learn. The best way to learn is to teach. The highest qualified people to teach are those with the greatest experience. So get managers with high levels of experience to teach the front liners. Get everyone engaged in giving and learning and you will generate success
An ongoing open discussion with employees is critical. Make yourself available Mr. Number One. You are after all are either an employee too (even if you are CEO), or an owner. No matter what you are dependent upon your team members. If they are not happy you are going to waste a lot of time fixing stuff that probably never needed to be fixed anyway. Open up your door and your office and get your team to come to your office and meet with you. Understand what they are thinking about and what they are doing. They will help you to grow your business and they will lead you to know and understand where your strong people are and where you need to grow.
Elimination of nonsense. This is the best KSI ever. You tell people that you are going to reward them for eliminating nonsense and you will have lots of help. Employees hate c.r.a.p. (completely redundant ancient practices) and they will delight in assisting you to get rid of it. The beauty of this KSI is that you are recognizing and rewarding people for improving the way things are done and you are keeping a record of the progress.
These are my KSI's. Try them out. If you would like me and my team to help you figure it out then just give us a call. We will be happy to consult.