This document discusses key performance indicator (KPI) design. It provides information on steps to create KPIs, common mistakes in KPI creation, how to design effective KPIs, and different types of KPIs such as process, input, output, leading, lagging, outcome, qualitative, and quantitative KPIs. The document recommends defining objectives, key result areas, tasks, and methods to measure results when building a KPI system. It also advises creating KPIs linked to strategy and that empower employees.

1. kpi design
In this ppt file, you can ref materials for kpi design such as list of KPIs, performance
appraisal metrics, job skills, KRAs, BSC…
For more kpi design materials such as free 4 ebooks below,
please visit: kpi123.com
• List of free 2436 KPIs
• Top 28 performance appraisal forms
• 11 performance appraisal methods
• 1125 performance review phrases
Top materials: List of free 2436 KPIs, Top 28 performance appraisal forms, 11 performance appraisal methods
Interview questions and answers – free download/ pdf and ppt file

2. Steps to create KPIs
1. To build KPI system for this position, you can
follow the steps below:
2. Define operational objectives for Construction
technician monthly, quarterly, 6 months, yearly.
3. Identify Key Result Areas for the Construction
technician.
4. Identify tasks list.
5. Determine work procedure for each KRA, each
task.
6. Identify methods to measure the results of each
KRA, task, procedure.
7. Create Construction technician KPIs
Top materials: List of free 2436 KPIs, Top 28 performance appraisal forms, 11 performance appraisal methods
Interview questions and answers – free download/ pdf and ppt file

3. Mistakes in creating KPIs
Building KPI system plays an important role in
evaluating job performance of individual parts,
divisions and the company’s objectives and
performance management system in general. The
development of KPI metrics help to create
measurement systems, information systems
throughout the organization.
1. When building KPI system, you should note the
following factors:
2. Do not create too many KPI, KPI be built around
3-5 KRAs.
3. KPI should change to suit each stage (depending
on your goals).
Top materials: List of free 2436 KPIs, Top 28 performance appraisal forms, 11 performance appraisal methods
Interview questions and answers – free download/ pdf and ppt file

4. How to design KPIs
1. KPIs should be clearly linked to the
strategy, i.e. the things that matter the
most.
2. KPIs have to provide the answers to
our most important questions.
3. KPIs should be primarily designed to
empower employees and provide them
with the relevant information to learn.
Top materials: List of free 2436 KPIs, Top 28 performance appraisal forms, 11 performance appraisal methods
Interview questions and answers – free download/ pdf and ppt file

5. Interview questions and answers – free download/ pdf and ppt file
Types of KPIs:
1. Process KPIs - measure the efficiency or
productivity of a business process. Examples -
Days to deliver an order.
2. Input KPIs - measure assets and resources
invested in or used to generate business results.
Examples - Dollars spent on research and
development, Funding for employee training,
Quality of raw materials.
3. Output KPIs - measure the financial and
nonfinancial results of business activities.
Examples - Revenues, Number of new
customers acquired.
4. Leading KPI - measure activities that have a
significant effect on future performance. Drive
the performance of the outcome measure, being
predictor of success or failure.
Top materials: List of free 2436 KPIs, Top 28 performance appraisal forms, 11 performance appraisal methods

6. Types of KPIs (continue…):
5. Lagging KPI - is a type of indicator that reflect
the success or failure after an event has been
consumed. Such as most financial KPIs, measure
the output of past activity.
6. Outcome KPI - Reflects overall results or
impact of the business activity in terms of
generated benefits, as a quantification of
performance. Examples are customer retention,
brand awareness.
7. Qualitative KPI - A descriptive characteristic,
an opinion, a property or a trait. Examples are
employee satisfaction through surveys which
gives a qualitative report.
8. Quantitative KPI - A measurable characteristic,
resulted by counting, adding, or averaging
numbers. Quantitative data is most common in
measurement and therefore forms the backbone
of most KPIs.
Top materials: List of free 2436 KPIs, Top 28 performance appraisal forms, 11 performance appraisal methods
Interview questions and answers – free download/ pdf and ppt file

7. Types of KPIs (continue…):
5. Lagging KPI - is a type of indicator that reflect
the success or failure after an event has been
consumed. Such as most financial KPIs, measure
the output of past activity.
6. Outcome KPI - Reflects overall results or
impact of the business activity in terms of
generated benefits, as a quantification of
performance. Examples are customer retention,
brand awareness.
7. Qualitative KPI - A descriptive characteristic,
an opinion, a property or a trait. Examples are
employee satisfaction through surveys which
gives a qualitative report.
8. Quantitative KPI - A measurable characteristic,
resulted by counting, adding, or averaging
numbers. Quantitative data is most common in
measurement and therefore forms the backbone
of most KPIs.
Top materials: List of free 2436 KPIs, Top 28 performance appraisal forms, 11 performance appraisal methods
Interview questions and answers – free download/ pdf and ppt file