Posts in Research

Resource roundup: insights and tools for human resource and employee performance management

February 28th, 2024 Posted by Courses, KPIs, Publications, Research 0 thoughts on “Resource roundup: insights and tools for human resource and employee performance management”

Success in today’s ever-evolving world hinges upon the commitment to ongoing learning. The KPI Institute (TKI) is dedicated to ensuring that leaders, professionals, and the rest of the business community are equipped with the right knowledge and tools.

Every month, TKI curates a collection of diverse learning materials and opportunities in strategy and performance management. Some of these resources, while released years ago, remain highly relevant due to their timeless principles and adaptability to changing business dynamics, providing enduring value and insights for today’s challenges.

This month, TKI is pleased to present comprehensive, research-based resources focusing on human resources (HR).

Top 10 Human Resources Key Performance Indicators (FREE): Part of the Top 10 KPIs Series, this collection of posters provides an overview of how key performance indicators (KPIs) are measured in practice today, specifically in HR. It combines insights from the smartKPIs.com community with research and analysis from TKI’s Publications team.

Articles (FREE): Find practical insights related to HR and employee performance management from a variety of articles published on Performance Magazine, written by subject matter experts and research analysts.

The Human Resources KPI Dictionary: Get access to valuable information on over 370 KPIs with calculation formulas for every one of them. It is an innovative tool, essential for assessing and optimizing your performance in eight main functions of the Human Resources division within an organization, including compensation and benefits, talent development, and working environment.

The Top 25 Human Resources KPIs – 2020 Extended Edition: Browse the most popular 25 KPIs used by Human Resources divisions throughout 2016 and 2020. It provides a complete hands-on experience in working with KPIs as it contains not only two pages of detailed documentation for each KPI, but also interesting articles on best practices in terms of KPI selection and documentation.

HR Performance Management System Toolkit: Explore a ready-to-use collection of pre-populated templates for managing the performance of the HR department and monitoring its contribution to the overall organizational performance. Customers can customize the templates in the toolkit for internal use within their organization.

HR Scorecard: Monitor the alignment of departmental objectives with KPIs and the application of the Balanced Scorecard concept at the operational level with this ready-to-use tool. This is pre-populated with KPIs grouped by objectives and Balanced Scorecard perspectives and developed through the review of hundreds of best practice performance reports and the documentation of thousands of KPIs.

HR Dashboard: Manage and measure the contribution of the Human Resources function to the overall organizational performance by using this tool. Discover a repository of the most relevant and widely spread HR KPIs used to track the HR services’ effectiveness and performance at the organizational level.

Certified Employee Performance Professional – Online Course: Grab this opportunity to access the best practices in the field of employees’ performance. Gain the knowledge, skills, and confidence to create an environment where employees can thrive and successfully contribute to organizational performance by linking their activities to strategic objectives and reflecting their contribution against the company’s strategy.

Employee Performance Management System Implementation – Consulting: Find and build the essential bridge to link performance efforts across all organizational levels. By adopting a structured and robust employee performance framework, we emphasize on objectivity in measuring the results against expectations with the help of individual KPIs. This intervention relies on the analysis of key internal documents, delivery of awareness sessions with primary stakeholders, KPIs selection workshops, and post-implementation support.

Global insights: The KPI Institute unveils the current landscape of strategy management

November 7th, 2023 Posted by Press release, Publications, Research 0 thoughts on “Global insights: The KPI Institute unveils the current landscape of strategy management”

The KPI Institute (TKI) has released the “STATE OF STRATEGY MANAGEMENT PRACTICE – 2023 GLOBAL REPORT”, which offers an analysis of the factors influencing strategy planning and provides recommendations on how companies can effectively address gaps in the process. 

TKI, a leading global research institute specializing in business performance, conducted the study with 346 respondents representing 69 countries from April to June 2023. This extensive report encompasses key subjects in strategy and performance management, organized into three sections: planning, measurement, and execution. The report also presents suggestions for optimizing strategic approaches and achieving organizational excellence.

One notable finding from the study indicates that gathering insights on value drivers for customers serves as the foremost enabler of strategic planning in organizations. According to the report, “[The result] underscores how respondents perceive the impact of understanding and meeting client needs on driving successful strategies and highlights the importance of customer centricity.”  

The strategy measurement section revealed that key performance indicators are employed equally in corporate performance evaluations and employee performance reviews. The results also show that the Balanced Scorecard and Objectives and Key Results are respondents’ most frequently utilized performance management frameworks.

In the execution section, it is emphasized that enhancing the frequency of performance reporting enables professionals to take proactive measures in response to emerging trends and issues. The majority of the respondents preferred monthly evaluations, followed by quarterly and annual reviews. 

For more insights, visit the TKI Marketplace and download the “STATE OF STRATEGY MANAGEMENT PRACTICE GLOBAL REPORT – 2023.”

Groundwork for success: new report shows how to overcome KPI selection challenges

October 12th, 2023 Posted by Publications, Research 0 thoughts on “Groundwork for success: new report shows how to overcome KPI selection challenges”

Key performance indicator (KPI) selection is similar to laying the groundwork for a strong structure. KPIs are the building blocks of performance measurement, enabling informed decision-making for organizations.

In the same way that building foundations are tailored to the terrain, KPIs ensure companies stay on track toward their goals. It is possible to develop misguided strategies if KPIs are selected incorrectly. However, KPI selection is not easy. In fact, one of the top three issues in strategic planning is identifying the appropriate KPIs, as indicated by the State of Strategy Management Practice in 2022, an international research study by The KPI Institute (TKI).

According to Aurel Brudan, CEO of TKI, choosing the right KPIs is a multifaceted undertaking due to the interdependencies inherent in the process. He explains that the process requires, among other things, extensive research for internal and external documents, the participation of internal stakeholders, and the adaptability to shifting environments or business priorities.

On top of those challenges is the need to determine the quality and attributes of KPIs a company should select. Mihai Toma, TKI’s Managing Director of Consulting Services, recommends that organizations choose KPIs that are useful, reflecting quantitative expressions for achieving key goals. KPIs should also be specified properly, with no jargon or complex concepts. Furthermore, balance is critical, with two KPIs for each target preferably monitored to avoid potential imbalances and enable a full performance review.

Given these challenging requisites, how should organizations approach KPI selection? Similar to how engineers analyze the structural requirements and complexities of a building, organizations must meticulously evaluate their unique needs and objectives when selecting KPIs. The whitepaper titled “TOP 10 KEY PERFORMANCE INDICATORS 2023: Expert Tips for Choosing the Right Metrics” details the structured method designed by TKI for choosing KPIs and provides strategies for overcoming the most common obstacles in the process. Moreover, the report highlights the most popular KPIs in 2023 on smartKPIs.com, the largest repository of documented KPIs.

Download the free whitepaper now, and do not miss the upcoming “Top 10 KPIs – 2023 Extended Edition” for deeper industry insights. Follow the  TKI’s LinkedIn page to stay updated!

TKI uncovers 2023 global trends impacting strategy, performance management

September 20th, 2023 Posted by Research, Webinar 0 thoughts on “TKI uncovers 2023 global trends impacting strategy, performance management”

Editor’s Note: This article is written by Paolo Orduña, a Senior Editor at The KPI Institute, and originally published in the PERFORMANCE Magazine Issue No. 26, 2023 – Data Analytics Edition.

The KPI Institute successfully hosted a forum on global trends that will impact strategy and performance management practices in 2023. Dubbed “2023 Business Pulse: 5 Trends Impacting Strategy and Performance Management,” the event was hosted by the TKI Research Division’s business unit manager, Cristina Mihailoaie, and data expert, Islam Salahuddin.

The webinar covered trends in the realms of geopolitics, economics, society and culture, technology, and sustainability. Through careful analysis of these trends, our experts identified the most possible trajectories that will shape the future of strategy and performance management:

  • There will be a greater need for more resilient strategies and agile performance management.
  • More companies will realize the need for a data strategy that allows for robust data governance.
  • Automation will produce better performance results.
  • Performance improvement will be achieved through upskilling and reskilling.
  • Performance improvement hinges on continuous learning.
  • Employee performance management will be reshaped in an employee-centric approach.

“As Peter Drucker said, ‘The best way to predict the future is to create it,’ and this seminar has equipped our participants with the knowledge and understanding to do just that,” said Cristina.

If you have a yearning for learning strategy and performance management skills, you may want to check out our courses. Arm yourselves with the knowledge that you need to successfully ride the business world’s ever-changing trends here.

 

KPI of the Month: monitoring revenue growth rate for business success

June 14th, 2023 Posted by KPIs, Research 0 thoughts on “KPI of the Month: monitoring revenue growth rate for business success”

Measuring financial performance in today’s dynamic and competitive business landscape goes far beyond traditional metrics. Aside from profitability and cash flow, the revenue growth rate is a vital indicator for companies striving for success. 

Monitoring revenue growth rates help the business make strategic decisions, attract investors, and maintain market competitiveness by comprehensively understanding their financial performance, whether it decreased or increased. It is also important to identify the factors influencing the revenue growth rate, such as choosing the right market, product and services pricing strategy, and customer retention rates.

Choosing the right market focus can help businesses narrow their target market and identify high-quality leads in their chosen segment, pursuing the most profitable customers. Moreover, narrowing market focus can effectively customize products or services to match the market segment’s unique demands and preferences. 

However, even the most profitable segments can lead to lower revenue rates because of the product and service prices as more business competitors enter the market. Hence, the right products and services pricing strategy is essential. According to research, “accurate and effective pricing” is vital for a company to become profitable. All products and services should have pricing plans based mainly on the knowledge of the demands and values of the target market. Based on the same study, value-based pricing is the best method to assess an item’s right price based on the value it generates for clients and their perceived worth. 

With reasonable products and service prices and the best quality value, satisfied customers are more likely to become repeat customers, refer the business to others, and drive long-term revenue growth. A study conducted on businesses in Kurdistan suggests that pricing strategies have a strong and significant impact on customer retention. Based on the study’s results, customers prioritize product pricing over product quality. It was also discovered that implementing an aggressive pricing strategy is more effective in customer retention.

A thorough comprehension of these elements equips organizations to adjust to shifting market conditions, streamline processes, and promote long-term revenue development. But what are the ways in which businesses can monitor their revenue growth rate? There are a few of them such as analyzing revenue trends by regularly reviewing financial statements like income statements, balance sheets and cash flow statements, tracking sales quantity and value over time by monitoring sales reports, and using key performance indicators (KPIs) related to revenue.

The KPI Institute’s infographic titled “KPI of the month: % Revenue growth rate” is an easy guide for businesses to determine whether their revenue has grown or dropped over time and measure the level of its change. Specifically, the % Revenue growth rate calculates the revenue variance percentage over a designated time frame. This can be calculated on a quarterly or annual basis. 

To get a picture of the overall revenue performance, it is essential to monitor the % Revenue growth rate alongside other KPIs, such as $ Net income and $ Financial expenses. Moreover, organizations should take competitive aims and industry standards into account when defining targets as part of the annual budgeting process to make sure their goals are realistic and achievable.

Download the free infographic on the slot thailand TKI Marketplace today and unlock the power of KPI in monitoring your business revenue growth rate.

 

Highlights of government performance around the world

April 14th, 2023 Posted by Research 0 thoughts on “Highlights of government performance around the world”

Explore how governments tackle new trends, models, actions, initiatives, and strategies.

New Zealand’s latest workforce data underscores diversity, fair pay

New Zealand’s “Public Service Workforce Data” for 2022, released by Public Service Commissioner Peter Hughes, gives an overview of employment trends in the public sector. The report covers workforce numbers, ages, genders, ethnicities, occupations, incomes, and gender pay gaps. The data is collected from staff payroll records of all 37 Public Service departments. 

One of the report’s highlights is the increasing diversity in public service. There are now 13.4% of public servants who identify as Asian, up from 9.4% in 2017 and 3.3% in 2000. Another area examined by the report is generational shift. It is estimated that the average age of employees in the public sector is declining. After peaking at 44.8 years in 2015/16, it has dropped to 44.0 years.

Data shows there are now 55.8% of women in senior management roles, up from 53.5% last year and 39.8% in 2010. Meanwhile, the public service gender pay gap decreased to 7.7% from 8.6% in 2021. | Source: https://www.scoop.co.nz

UAE to enhance AI utilization in government services

The UAE government launched the UAE Digital Economy Strategy, with a goal to increase the digital economy’s contribution to the GDP from 9.7% to 19.4%. Over 30 initiatives and programs are included in the strategy, which targets six sectors as well as five new growth areas.

During a meeting in Dubai, Omar Sultan Al Olama, Minister of State for Artificial Intelligence, Digital Economy and Remote Work Applications, said that the UAE Council for AI and Blockchain aims to create opportunities and foster collaboration between different departments. He also said that by adopting new technology and digitization solutions, the country would enhance its competitiveness and global leadership.

The AI Council discussed the implementation of artificial intelligence in critical sectors and ignited competitiveness among government entities. They also support the use of artificial intelligence as a working model and crucial tool in digital transactions in the fields of healthcare, energy, natural resources, blockchain, industry, transportation and logistics, and tourism. | Source: https://www.khaleejtimes.com

Survey reveals what citizens look for in digital public services

In a 2022 survey conducted by Accenture, citizens from North America, Europe, and Asia-Pacific cited “ease of use” and “confidence in data security and privacy” as the top factors when asked what would make them more likely to utilize digital services. The survey also found that those who depended more on public services were the largest segment supporting accelerated digital interactions.

“The best step forward to improve customer experiences is to establish simple and secure processes so people can get what they need on the first try,” said Eyal Darmon, Accenture’s global public sector customer engagement lead. 

In the same context, public servants surveyed said that their cyber-security training was insufficient. Only one-third of them claimed to be receiving regular training on cyber and data security. | Source: https://newsroom.accenture.com

Australia plans to reduce emissions by 81%

According to a report issued by Beyond Zero Emissions (BZE) in 2022, clean technologies that are already in use in Australia, such as wind turbines and solar panels, batteries, heat pumps, electrolyzers, and electric cars with chargers, were determined to have the potential to reduce Australia’s greenhouse gas emissions by 81% by 2030. The plan relies on increasing rollout rates of these six key technologies over the coming years.

“Our research shows Australians that emissions-cutting technologies are here, we’re using them and there’s no reason why they can’t be scaled up to help us cut emissions, create jobs, and lay the economic foundations for modern and competitive export industries,” said BZE chief executive, Heidi Lee. | Source: https://www.energymagazine.com.au

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To learn more about government performance, download The KPI Institute’s The Government Services Index 2022 for free here. For inquiries regarding the Index, contact Marcela Presecan, Head of Research:  [email protected], or +61 (390) 282 223.

The KPI Institute examines government performance worldwide in latest publication

February 23rd, 2023 Posted by Publications, Research 0 thoughts on “The KPI Institute examines government performance worldwide in latest publication”

Government performance looks different today due to the changes that took place in the world in the past two years. The 24th edition of Performance Magazine offers deep dives and practical insights into new developments, strategies, trends, and transformations in the public sector.

The issue highlights findings from The KPI Institute’s Government Service Index Report 2022, a pragmatic review of public service performance in the post-pandemic era that covers seven world regions, 66 countries, five dimensions, and 32 indicators.  The data were analyzed according to five dimensions: adaptability, talent, digitalization, governance, and impact.

In the cover story, “The future of public service: key trends in strategy and performance management,” Dr. Hisham Ahmad Kayali, a strategic and performance management specialist in the UAE, wrote about what the future of public services should look like. The other articles readers can find are:

  • “How the COVID-19 pandemic shaped political governance”
  • “Strategic approaches on the use of digital tools and data to improve the delivery of public value”
  • “Web 3.0: the next frontier for e-government services”
  • “The United Arab Emirates: the world’s leader in government services”
  • “Making an impact: how the Netherlands promotes the general welfare”

The latest Performance Magazine also addresses today’s most pressing questions related to government performance: How can a motivational culture impact the performance of public servants? What is important in measuring the performance of public services? How can public entities better communicate strategies to citizens?

By drawing on The KPI Institute’s 19 years of experience in performance management, Performance Magazine provides its readers with prime resources, industry updates, interviews, case studies, expert recommendations, and global perspectives on strategy and performance management. The magazine covers strategy planning, strategy execution, employee performance, benchmarking, data analysis, and data visualization.

Readers can access industry updates and exclusive insights into becoming state-of-the-art professionals and high-performance organizations from subject matter experts, seasoned consultants, practitioners, business leaders, academicians, and research analysts.

To learn more about government performance, download the latest Performance Magazine for free via TKI Marketplace or order the print version from Amazon.

New TKI index reveals government digitalization rankings

February 23rd, 2023 Posted by Research 0 thoughts on “New TKI index reveals government digitalization rankings”

The United States ranks first worldwide in embracing digitalization to improve the growth and well-being of society, according to The KPI Institute’s Government Services Index 2022.

With a pillar score of 0.9059, the US emerged as the top performer in four out of five indicators:  government procurement of advanced technology products, availability of latest technologies, cost of redundancy dismissal, online e-participation, and e-government development.

Norway topped the list in terms of fixed broadband subscriptions and came second overall in the digitalization dimension. The other three frontrunners in digitalization are the Netherlands, the United Arab Emirates, and the United Kingdom.

“The pandemic has prompted a quantum leap into online and digital environments that governments worldwide need to adapt to. A ‘digital access for all landscape’ has become the new normal in the post-pandemic world. As part of this landscape digitally empowered governments need to secure broader access to digital connectivity, apply human centric design approaches in both digital and physical environments, develop robust digital data infrastructures to ensure smoother operations,” the report states.

The Government Services Index 2022, a pragmatic review of public service performance in the post-pandemic era, covers seven world regions, 66 countries, five dimensions, and 32 indicators. Apart from digitalization, the four other dimensions in which countries are assessed are adaptability, talent, governance, and impact.

Adaptability refers to “the ability to adapt to changes to develop a flexible public service apparatus” while governance “reflects on the public services as an enabler of the government to implement its policies and provide key services for the population.” Talent examines “how learning and knowledge are built inside the public services environment, as well as to the quality of talent available on the national labor market.” Governance examines “the public services as an enabler of the government to implement its policies and provide key services for the population.”

“With the advent of smart devices, sensors and drones the number of ‘machines,’ or otherwise ‘computers’ has exploded. It thus becomes a mission of the highly digitized government to increasingly look into encouraging human interactions with such physical technology so as to reduce redundancy and foster new labor opportunities. The latter would have to be tied into growing IT talent, moving towards having human resources managing code environments and systems, technological robots and devices, setting standards, providing security and supporting implementation.”

Download The Government Services Index 2022 for free here. For inquiries regarding the Index, contact Marcela Presecan, Head of Research:  [email protected], or +61 (390) 282 223.

Implementing the balanced scorecard system: expert insights, resources, and advisory

February 15th, 2023 Posted by Courses, Research, Webinar 0 thoughts on “Implementing the balanced scorecard system: expert insights, resources, and advisory”

In 1992, Robert S. Kaplan and David P. Norton introduced the balanced scorecard (BSC) to the private sector as a method for measuring performance beyond financial outcomes. This tool reflects the four major dimensions of an organization: financial, customer, internal processes, learning, and growth.

According to Kaplan and Norton, BSC translates a company’s strategic objectives into coherent performance measures using a comprehensive framework. Moreover, they believe that BSCs can lead to “breakthrough improvements” in the areas of product, process, customer, and market development.

In her article titled “The Balanced Scorecard: Outsmarting design and implementation traps,” Marcela Presecan, head of research, explained the 10 areas that must be examined before using BSC in an organization: strategy drafting, management identity, bureaucracy, employee perception, communication without understanding, lack of common vocabulary, getting over the experimental scorecard, standardizing balanced scorecard design, adapting to the business environment, and commitment of the organization. “When implemented with its full potential in mind, the balanced scorecard is one of the best reflections of an organization’s contribution to the real operating environment,” she wrote.

Meanwhile, Manoj Dubey, a consultant at TKI, argued in an article that the concept of BSC must be revisited. “The perspectives of BSC, especially internal processes and learning and growth, should evaluate the quality aspects of an organization in Industry 4.0. It should ensure that strategy formulation, strategy execution, and performance measurement system are aligned to new technologies,” he wrote. “A traditional approach of BSC leads to fixed or orthodox KPIs which are not relevant in today’s technological scenario. The concept should revolve around improving processes using the latest IT; this includes having new KPIs.”

To get more perspectives and information on BSC, check out this specially curated resources.

Articles

Webinar

Understanding the components of the Balanced Scorecard System – Following a performance management process, the final step regarding a company’s key performance indicators (KPIs) after data gathering is reporting and decision-making. It is crucial that this step is done correctly, as it has an important impact on how organizations utilize KPIs to inform decisions. The focus will be on understanding proper reporting guidelines, along with using business analysis techniques for better decision-making and improved initiatives for performance enhancement.

Certification

The KPI Institute’s Certified Balanced Scorecard Management System Professional provides participants with relevant knowledge on how to develop and implement a balanced scorecard system. It also offers a comprehensive overview on the many benefits any organization can extract from the BSC system implementation. Sign up here.

Advisory Services

Through The KPI Institute’s advisory team, organizations and professionals have access to a diverse range of services from KPI advisory calls to complex performance management systems implementation spread over 12 different practice areas, including BSC. If you want to improve your current level of performance using a clear and concise toolset, the BSC is the answer. TKI’s experts and consultants are here to support you in this performance management journey by developing and implementing the BSC system down to the employee level. Learn more here.

KPI news: The KPI Institute’s research shows today’s most popular KPIs

January 25th, 2023 Posted by KPIs, Research 0 thoughts on “KPI news: The KPI Institute’s research shows today’s most popular KPIs”

Reports featuring the most popular KPIs of 2022 are now all available at The KPI Institute’s Marketplace platform. This series covers different contexts in which KPIs can be used by professionals and offers up-to-date information and resources on selecting and using KPIs.

The most popular KPIs were processed based on the data from smartKPIs.com, the world’s largest database of documented KPIs. In every report, users will find a KPI profile, analysis, notes on KPI reporting, and other details pertaining to performance measurement.

Explore the most popular KPIs in their respective industries or areas through the KPI of the Month poster collection, which can be downloaded for free:

KPI of January: # Days on market – measures the number of days a property stays on the market on average, between the listing for sale and the contract signing

KPI of February: # Berry ratio – measures the ratio of an organization’s gross profits to operating expenses

KPI of March: % Production First Time Yield (FTY) – measures the percentage of good units produced as per specifications from the first run of the process, out of the units going into the process

KPI of April: % Hospital bed occupancy rate – measures the percentage of beds in the hospital that are occupied by patients on a daily basis, out of the overall number of hospital beds

KPI of May: # Pick-to-ship cycle time for customer orders – measures the average time (in hours or days) from the moment of picking the order to the moment of shipping the product to the client

KPI of June: # Liquidity ratio – measures the available cash or other assets easily convertible into cash that could cover short term payables

KPI of July: % On time departures – measures the percentage of flights that are departing within 15 minutes from the initially scheduled take-off time out of the total number of flights scheduled for departing

KPI of August: % Project schedule variance – measures the variance in terms of schedule, revealing the alteration between the planned project timeframe and the actual project phase

KPI of September: % Production uptime – measures the percentage of the utilized operation time, from the planned available production time

KPI of October: % Employee turnover – measures the rate at which employees leave the organization in a given period

KPI of November: # Lost Time Injury Frequency Rate (LTIFR) – measures the number of work-related incidents generating time loss that are occurring per one million hours worked

KPI of December: $ Revenue Per Available Seat Hour (RevPASH) – measures the restaurant’s revenue on a per available seat hour basis.

For more information on the research reports, get in touch with Cristina Mihăiloaie, Business Unit Manager – Research Division: [email protected] | +61 (390) 282 223 | +40 (749) 424 517

 

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