As the person who runs the business – whether the business owner, Managing Director or CEO – you are probably familiar with the idea of setting and measuring Key Performance Indicators (KPIs) for your team members. However, when I have sat down to do this with many of my clients the question often comes up, “But how do I set my own KPIs?”
In this video, I explain the 3 key metrics you should be measuring to indicate your own performance. These should also help provide you with a bit of focus as to what you should be paying attention to in your business.
Prefer to read rather than watch and listen? No problem – here’s everything I said in the video as text:
Hi this is Shweta from The London Coaching Group. As a business owner, I’m sure you try your best to extend clarity to your team about their roles and key performance indicators.
Working on Your Key Performance Indicators (KPIs)
Now when I’m working with my clients and we’re working on the KPIs of the team members, invariably the client would turn around and say “So, what should be my KPI Shweta?” “What should be my top key performance indicators or goals?”
Now that’s a very good question to ask, and if you have ever asked yourself this question then this might be useful. There are three KPIs, which a successful MD or a growth-driven business owner needs to have.
The First Key Performance Indicator (KPI) – Common Goal
The first question you need to ask or the KPI that you need to have in place, is that does the company have a common goal? So ask yourself a question; Is there a common goal to which the whole team is aligned?
The Second Key Performance Indicator (KPI) – Right Team
The second KPI is that does your company have the right team members in place, to help you achieve those targets? So again, the question is – if I were to ask you to let go all of your team members, just a clean slate to start all over again. How many of them would you rehire?
So do you have confident people, and maybe it’s a good time for you to answer this question. Or are there some positions which are vacant? Or maybe one or two people are actually extending themselves to multiple roles, and therefore not really doing their job properly because it is just too much.
The Third Key Performance Indicator (KPI) – Right Activities
So that’s the second KPI, the third KPI is; to make sure that these right people are doing the right activities which will help the company move towards that one common goal. Which is what the management is all about. On a day-to-day basis, are you really managing the activities of people to make sure they are moving in the right direction?
How Do You Rate?
So once you have clarity on your KPIs and you are asking yourself these questions saying; “How do I rate on these three KPIs?” “Am I doing a great job?” “Or do I need to become better?” Because I’m sure that we all have our next levels, if that’s the case with you then see below because you can find out more about what we do and how we can help you become a better MD and a better business owner.