The KPI Institute signed an official partnership with Handover Consulting on February 12, 2025, to expand the availability of key performance indicator (KPI) training and certification programs in Jordan.

Jordan’s Economic Modernization Vision 2033 and National Human Resource Development Strategy emphasize the need for enhanced institutional performance, data-driven decision-making, and workforce development to drive economic growth and competitiveness. Despite these priorities, a 2022 World Economic Forum report ranked Jordan 67th globally in institutional effectiveness which highlights the need for improved performance measurement and strategic execution. 

Furthermore, studies indicate that over 60% of organizations in the Middle East and North Africa (MENA) region struggle with KPI implementation, often due to a lack of structured training and expertise. With this, Handover Consulting joined forces with The KPI Institute to equip professionals and organizations in Jordan with internationally recognized knowledge and tools for implementing and using KPIs effectively. Training will be delivered in alignment with The KPI Institute’s Key Performance Indicators Management Framework, the industry’s most rigorous and comprehensive approach to KPI utilization.

Over the years, The KPI Institute has trained professionals from various organizations in Jordan, empowering them with insights to master KPIs inside out as a tool for performance measurement, strategic alignment, and continuous improvement through the Certified KPI Professional course.

The previous participants from Jordan in this course include representatives from esteemed organizations across the banking, financial services, manufacturing, and public sectors. Their continued trust in The KPI Institute’s training programs reflects the growing demand for more structured KPI implementation and performance-driven business practice in the region.

“At Handover Consulting, we recognize the critical role that performance management plays in driving business success. Our partnership with The KPI Institute marks a significant step in empowering professionals and organizations in Jordan with globally recognized expertise in KPI development and performance optimization,” expressed Ali AlJa’bari, Founder and CEO of Handover Consulting.

Additionally, Cosmin Chindris, Director of Global Partnerships at The KPI Institute, emphasized that “This partnership will enable business leaders from Jordan to adopt international best practices in strategy and performance management and improve performance at all organizational levels.”

Therefore, this collaboration ensures that organizations in Jordan gain direct access to global best practices in performance management, enhancing their ability to improve strategy execution, optimize operations, and leverage data-driven decision-making to achieve business success. Moreover, this partnership aligns with Jordan’s vision for economic growth and capacity building, strengthening Handover Consulting’s dedication to empowering local talent and cultivating a culture of excellence in performance management.

This shared commitment to advancing performance measurement and management standards in Jordan shows The KPI Institute’s dedication to excellence. The KPI Institute carefully selects partners who demonstrate strong regional credibility, a solid client base, and extensive expertise in performance management training and consulting.

The partnership will officially launch with the Certified KPI Professional course, the global standard in working with KPIs, in Amman from April 20 to 22, 2025. This program will provide participants with the essential methodologies and tools to develop and implement high-impact KPIs within their organizations.

Secure your spot as early as today! For more information and registration click here.

About Handover Consulting

Handover Consulting is a dedicated partner for businesses across the Middle East, offering management consulting, recruitment, and training solutions. Its team of seasoned professionals leverages deep industry knowledge and practical experience to address your evolving business needs. Handover Consulting is committed to delivering exceptional service and fostering strong, sustainable partnerships with its clients. Its goal is to be a trusted advisor, guiding clients through complex challenges and helping them achieve lasting success.

For more information, visit their website: http://handover.consulting

About The KPI Institute

The KPI Institute is a leading global research institute specializing in business performance. It operates research programs in 12 practice domains, ranging from strategy and KPIs to employee performance, as well as customer service and innovation performance.

Insights are disseminated through various publications, subscription services, and a knowledge platform accessible to registered members. Support in deploying these insights in practice is offered globally through training and advisory services.

The KPI Institute developed the first KPI Management Framework and operates smartKPIs.com, an online portal resulting from a dedicated research program focused on documenting and cataloging KPI usage in practice. It hosts the largest collection of documented KPI examples.

For more information, please contact Cosmin Chindris, Director of Global Partnerships at The KPI Institute, via email at cosmin.chindris@kpiinstitute.com

With financial markets facing heightened uncertainty, organizations must adopt a more strategic approach to ensure stability and resilience. Adverse macroeconomic conditions—such as inflation, recessions, and stock market fluctuations—continue to challenge financial performance. 

According to the International Monetary Fund (IMF), high economic uncertainty can increase financial market volatility, delay investment decisions, and amplify risks to economic growth, making financial resilience more critical than ever​.

To support finance professionals in navigating these challenges, The KPI Institute’s Top 25 Finance KPIs – 2024 Edition provides a curated selection of key performance indicators (KPIs) designed to foster financial health, optimize resource allocation, and drive organizational growth. 

The Top 25 KPIs 2024 report series is an extensive collection of the 25 most commonly utilized KPIs from various industries and functional areas. The KPIs are compiled based on viewership data from smartKPIs.com between January 2023 and April 2024, this series provides a snapshot of the latest trends in performance measurement.

The report contains a comprehensive analysis of the Performance Measurement Concept Framework, the most recent data on KPI challenges and usage contexts, and 10 strategies for successful KPI implementation. Moreover, each KPI feature has been thoroughly revised through extensive research to ensure that the information accurately captures the latest trends and changes in the evolving business environment. The 2024 edition also offers an enhanced documentation template optimized to present the most pertinent details about each KPI.

Whether you are looking to refine an existing performance measurement system or integrate KPIs into your financial strategy, the Top 25 Finance KPIs – 2024 Edition may serve as a valuable starting point for achieving long-term stability in 2025. As a snapshot, here are five of them.

Highlights

1. % Capital acquisition ratio – measures the ability of a company to finance capital expenditures from internal sources. It indicates the availability of internal funding sources to support capital needs, as these are generally more cost-effective and less risky than external financing.
2. # Basic earning power ratio (BEP) – measures the value of the earnings before interest and taxes as a ratio to the company’s assets. Its purpose is to provide a benchmark for comparing firms with varying tax structures and levels of financial leverage, enabling more accurate financial analysis.
3. # Labor multiplier – measures the revenue earned per each dollar spent on employees. Its objective is to evaluate how effectively a firm generates revenue from its labor costs, providing insight into the return on its workforce investment.
4. % Return on funds employed (ROFE) – measures the company’s ability to generate profits from the funds it invests. Indicates the company’s effectiveness in capital allocation. The % ROFE values can vary significantly across industries and are influenced by management strategies and macroeconomic conditions.
5. # Capital expenditure to sales ratio – measures the level of investments a company is making to generate one dollar in sales. Its purpose is to assess the scale of capital investment within a company. Capital expenditures reflect the funds allocated for acquiring fixed assets, excluding those related to acquisitions.

Dive into the practical applications of these key indicators and explore the remaining finance KPIs by getting your copy of the Top 25 Finance KPIs – 2024 Edition report. Available for digital purchase on the TKI Marketplace and in print on Amazon.

The KPI Institute launched a series of free infographics called KPI of the Month to offer insights into the practical application of KPIs. Each infographic focuses on a particular key performance indicator (KPI) that provides explanations of terminology and addresses key challenges related to its use. The monthly infographics include definition, calculation, balanced scorecard focus, data profile, targets, and practical recommendations. 

Throughout the year, we have diligently tracked performance and growth, culminating in this comprehensive review of Quarterly KPI highlights. As we dive into the 2024 last quarter’s key metrics— % Expansion revenue, # Focus time, and $ Earnings before interest, taxes, depreciation, and amortization (EBITDA)—these insights may offer valuable guidance for shaping strategies, improving productivity, and driving financial success in the year ahead. 

As you set your sights on 2025, these KPIs offer actionable insights for optimizing performance across various business areas. Whether refining customer engagement strategies, enhancing operational efficiency, or boosting financial outcomes, understanding and leveraging these metrics can help start the new year on the right foot and position your organization for continued success. So, let’s take a closer look at each of these metrics.

KPI of October: % Expansion revenue – This indicator measures revenue from upselling and cross-selling to current customers, relative to total revenue for the reporting period. Its purpose is to evaluate the effectiveness of strategies for increasing customer spending. For more details about this indicator, download the free poster via TKI Marketplace. 

KPI of November: # Focus time – This indicator measures the duration employees can maintain focus on critical work tasks without distractions to assess and optimize workflows, ensuring they foster greater efficiency and higher-quality results. How can organizations help employees improve # Focus time? One of the best practices is to encourage designated “no meeting” periods to allow for focused, uninterrupted work. Access more insights into this indicator by getting a free copy of the poster via TKI Marketplace.

KPI of December: $ Earnings before interest, taxes, depreciation and amortization (EBITDA) – This indicator “measures a company’s operational profitability, before accounting for interest, taxes, depreciation, and amortization costs.” Its purpose is to evaluate financial stability and operational effectiveness. To learn more about how to utilize this metric and its practical applications, get a free copy of the poster from TKI Marketplace.

This holiday season, unwrap a wealth of knowledge and expand your understanding of KPIs with a treasure trove of examples from various industries and functions. Explore the world’s largest database of KPIs and customizable dashboards—visit smartKPIs.com today and gift your business the insights it needs for success in the new year!

Utilities such as electricity, natural gas, and water and sewage services are the backbone of modern society, supporting everything from basic daily activities to critical infrastructure. Without these essential services, communities would struggle to function, and economies would come to a halt. 

In the latest release of the Top 25 KPIs report series, The KPI Institute dives into the critical key performance indicators (KPIs) essential for managing vital utility services. As the demand for efficient and sustainable service delivery continues to rise, understanding and leveraging the right KPIs is more important than ever. 

The Top 25 KPIs 2024 report series is an extensive collection of the 25 most commonly utilized KPIs from various industries and functional areas. The KPIs are curated based on viewership data from smartKPIs.com between January 2023 and April 2024, this series provides a snapshot of the latest trends in performance measurement.

Inside the report, readers can find a comprehensive analysis of the Performance Measurement Concept Framework, the most recent data on KPI challenges and usage contexts, and 10 strategies for successful KPI implementation. Moreover, each KPI featured has been thoroughly revised through extensive research to ensure that the information accurately captures the latest trends and changes in the evolving business environment. The 2024 edition also offers an enhanced documentation template that is optimized to present the most pertinent details about each KPI.

Whether readers are looking to enhance operational efficiency, reduce downtime, or deliver superior customer satisfaction, the Top 25 KPIs for utilities provide a comprehensive framework for driving performance improvements in this dynamic industry. In each report, let’s take a quick look at the top five KPIs for water and sewage, electricity, and natural gas.

Top 5 Water and Sewage KPIs 

1. # Wastewater collected and treated –  measures the total volume of wastewater collected and treated in the reporting period
2. # Water Quality Index – measures the quality of water based on five parameters – Temperature, Biological Oxygen Demand, Total Suspended Solids, Dissolved Oxygen, and Conductivity
3. # Days of treatment plant operation below standards – measures the number of days during which the water treatment plant operates below established performance standards
4. # Time to repair hydrants – measures the average time taken to repair a broken or inoperative hydrant
5.  % Non-revenue water (NRW) –  measures the percentage of water that enters the distribution system but is lost before reaching customers and not billed, out of the volume of water supplied

Learn more about the practical applications of the indicators above, as well as the other top 20 KPIs for the water and sewage sector, grab a copy of the Top 25 Water and Sewage KPIs – 2024 Edition report. It is available for digital purchase via the TKI Marketplace and as a physical copy on Amazon.

Top 5 Electricity KPIs

1.  # System Average Interruption Frequency Index (SAIFI) –  measures the average number of electricity system interruptions per customer during the reporting period
2.  # Customer Average Interruption Duration Index (CAIDI) – measures the average duration of electricity supply interruptions experienced by customers during the reporting period
3. # Power plant load factor –  measures the ratio of the average load to the peak load in the reporting period
4. # System Average Interruption Duration Index (SAIDI) – measures the average duration of electricity supply interruptions per customer, during the reporting period
5. $ Transmission line maintenance cost per network length –  measures the average expenditures incurred with the maintenance of transmission lines relative to the length of the network

Explore more insights about the top 5 Electricity KPIs and other 20 indicators by purchasing the digital copy of the Top 25 Electricity KPIs – 2024 Edition, visit TKI Marketplace. Furthermore, a physical copy can be ordered via Amazon.

Top 5 Natural Gas KPIs

1. # Unplanned pipeline unavailability –  measures the duration, in hours, that a pipeline is not operational for transporting gas due to unplanned circumstances
2. # Customers affected by repeated unplanned supply interruption – measures the number of customers impacted by multiple instances of unplanned supply interruption in the reporting
3. # Pipeline subjected to leak surveys (km) – measures the length, in kilometers, of the gas pipeline network that was subjected to leak detection surveys in the reporting period
4. # Gas supply planned interruptions duration – measures the average duration, in minutes, of planned gas supply interruptions experienced by customers in the reporting period
5.  # Gas pipeline temperature excursions – measures the number of gas pipeline temperature excursions recorded during  a specified reporting period

Gain a deeper understanding of the practical use of the top 5 KPIs above and discover the other 20 Natural Gas KPIs. Download a digital copy of the Top 25 Natural Gas KPIs – 2024 Edition via TKI Marketplace or purchase another copy via Amazon.

As the demand for reliable, sustainable services continues to grow, understanding how to optimize utility operations is more critical than ever. Let the Top 25 KPIs 2024 report series from The KPI Institute serve as your guide in selecting the most critical KPIs and tracking your organization’s progress towards its strategic goals.

The KPI Institute launched a series of free infographics called KPI of the Month to offer insights into the practical application of KPIs. Each infographic focuses on a particular key performance indicator (KPI) that provides explanations of terminology and addresses key challenges related to its use. The monthly infographics include definition, calculation, balanced scorecard focus, data profile, targets, and practical recommendations. 

To ensure that you stay informed and updated, we highlight in this article the KPI of the Month from the third quarter of 2024, focusing on three KPIs that can significantly impact any organization in any field or industry: # Inventory turnover ratio # Employment brand strength, and $ Customer acquisition costs.   

By examining these metrics, you can gain insights into operational efficiency, market positioning, and overall profitability. Furthermore, organizations can gain a holistic view of their performance and make informed decisions that can position them for sustainable growth and success when the indicators mentioned are fully grasped. So whether seeking to optimize inventory management, strengthen employer brand, or reduce customer acquisition expenses, you can dive into these indicators and discover how they contribute to a thriving business. 

KPI of July: # Inventory turnover ratio – This indicator “measures the number of times the inventory has been sold and replaced within the reporting period.” Based on its practice recommendation, # Inventory turnover ratio is influenced by various factors such as product characteristics, market demand, and business models. Access more insights into this indicator by getting a free copy of the poster via TKI Marketplace.

KPI of August: # Employment brand strength – This indicator evaluates the attractiveness of an organization as a workplace for employees and job seekers based on an index derived from survey responses and quantitative metrics. # Employment brand strength allows companies to tailor their calculation methods by selecting key themes and incorporating both survey data and KPIs. For more details about this indicator, download the free poster via TKI Marketplace.

KPI of September: $ Customer acquisition cost – This indicator determines the average cost associated with acquiring a new customer. It is crucial for companies aiming to achieve long-term profitability. In connection with $ Customer Lifetime Value, $ Customer acquisition cost assesses the cost efficiency of sales and marketing expenditures. By striving for an optimal ratio between these two indicators, businesses can refine their acquisition strategies, boost profitability, and minimize the payback period. To learn more about practical applications for this indicator, get a free copy of the poster from TKI Marketplace.

Enhance your KPI knowledge with a comprehensive collection of documented KPIs from various industries and functions. Explore the world’s largest database of KPI examples and customizable dashboards— visit smartKPIs.com today!

In today’s competitive business environment, key performance indicators (KPIs) are crucial for guiding organizations toward their goals. KPIs offer clear and measurable insights into performance and help businesses track progress, identify areas for improvement, and make data-driven decisions. By translating complex data into actionable metrics, companies using KPIs can stay on course and achieve sustained growth. Committed to helping organizations achieve such excellence, The KPI Institute (TKI) is pleased to present its Top 25 Key Performance Indicators (KPIs) – 2024 Edition series.

The Top 25 KPIs Reports are designed to share TKI’s expertise on utilizing KPIs for performance measurement. These reports aim to familiarize readers with the most relevant KPIs in their industry or functional area. Additionally, the reports offer a practical, step-by-step guide for improving performance, which highlights how KPIs can bring greater clarity, focus, and enhancement to any performance measurement process.

The 2024 edition of the Top 25 KPIs reports features a two-page KPI Documentation Form Template. The first page includes updated fields based on the latest research and analysis from TKI, and the second page provides essential guidance on KPI reporting. It features practical examples of KPI results and illustrative designs for scorecards and dashboards for each KPI featured in the report.

First in the 2024 series, the “Top 25 Sustainability KPIs – 2024 Edition” provides a meticulously curated list of the most relevant and influential KPIs that can help organizations track their sustainability performance. These KPIs are selected based on extensive real-world data, ensuring they reflect the most pressing and actionable areas relevant to sustainability.

The report gathered the 25 most commonly used KPIs for measuring sustainability efforts from 2023 to 2024. The methodology involved ranking KPI examples listed on smartKPIs.com based on their popularity during the specified period.

To uncover the top 25 sustainability KPIs, download the digital copy today via the TKI Marketplace or order a printed copy from Amazon. 

Key performance indicators (KPIs) serve as essential navigational tools, guiding organizations toward success in both strategic planning and operational execution. 

According to the State of Strategy Management Practice Global Report – 2023, “KPIs are extensively employed in two main areas: employee performance evaluations and corporate performance assessments.” Using KPIs in employee evaluations establishes clear expectations, tracks progress, and offers feedback. Similarly, KPIs employed in corporate performance assessments track progress toward strategic goals.

The KPI Institute launched a series of free infographics called KPI of the Month to offer insights into the practical application of KPIs. Each infographic focuses on a particular KPI that provides explanations of terminology and addresses key challenges related to its use. The monthly infographics include profile, calculation, balanced scorecard focus, data profile, targets, and practical recommendations.

To ensure that you stay informed and updated, we’ve compiled the KPI of the Month from the second quarter of 2024: $ Customer Lifetime value, # Cycle time in Agile, and % Projects with benefits realized. These KPIs not only highlight essential aspects of customer engagement, operational efficiency, and project management, but also play crucial roles in promoting sustainable growth and enhancing organizational agility. Let’s take a look at each KPI and its function:

KPI of April:  $ Customer Lifetime value – This indicator “measures the monetary value a company anticipates earning from a customer throughout their lifetime as a paying client.” Its purpose is to determine the value of customers based on their unique characteristics. Moreover, utilizing this indicator can assist organizations in refining marketing strategies, improving customer retention, and maximizing long-term profitability. To learn more about the $ Customer Lifetime value, download the poster on TKI Marketplace.

KPI of May:  # Cycle time in Agile – The purpose of this indicator is to assess the effectiveness of the development process of a team. It determines the average amount of time needed to accomplish a task from the time it starts the development process until it is finished and delivered. The # Cycle time in Agile helps find areas where processes can be streamlined by measuring output and delivery speed across several iterations. Download the free digital poster via TKI Marketplace.  

KPI of June: % Projects with benefits realized – This indicator measures the proportion of projects in the portfolio that have achieved or realized the expected benefits in relation to the total number of projects in the portfolio. Projects that use the benefits realization method seek to offer particular outputs in addition to strategic aims. To learn more about practical applications for this indicator, get a free copy of the poster from TKI Marketplace.

To widen your KPI expertise with an extensive collection of documented KPIs across diverse industries and functions, visit smartKPIs.com— a leading online platform dedicated to performance measurement and KPI management. It hosts the world’s largest database of documented KPI examples, offering resources such as KPIs by industry and department, and dashboards. Check it out now!

Thirty-seven percent of ecommerce marketers worldwide use artificial intelligence (AI) for customer service and assistance, according to Qualtrics and Klaviyo’s February 2024 data. Meanwhile, Fortune reported that Amazon has recently laid off 100 customer service agents. In the US, a new Forrester study revealed that customer service performance declined across all three dimensions of customer service quality–effectiveness, ease, and emotion, and only 3% of companies are currently categorized as customer-obsessed, defined as prioritizing customers’ needs.

Collectively, these narratives suggest that there is a pressing need to reevaluate the customer service sector. However, customer service excellence requires more than simply embracing cutting-edge technologies and trends. Businesses must methodically examine and optimize their customer service operations and performance in order to identify and address true areas of need. This is where The KPI Institute (TKI) can help. 

Providing leaders, professionals, and the broader business community with essential knowledge and resources, TKI curates a collection of diverse learning materials and opportunities in strategy and performance management and adjacent fields every month. Some of these resources, while released years ago, remain highly relevant due to their timeless principles and adaptability to changing business dynamics as well as their enduring value and insights for today’s challenges.

This month, TKI is pleased to present comprehensive, research-based resources focusing on customer service.

Top 10 Customer Service 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 customer service. Some of the KPIs profiled in this poster are # Frequency of customer complaints, # Speed of answer, and % First contact resolution rate.

KPI of April: $ Customer Lifetime Value (FREE): Each KPI of the Month Infographic sheds light on a specific KPI by clarifying its terminology and addressing the most challenging aspects of using it in terms of profile, calculation, balanced scorecard focus, data profile, targets, and in-practice recommendations.

Webinar: “Tools and techniques for measuring customer satisfaction:” In order to discover what customers think about your company and what can be improved, you can now deploy a series of tools and techniques for measuring customer satisfaction. This webinar presents key techniques and guidelines to support you in assessing your customers’ satisfaction.

The Top 25 Customer Service KPIs – 2020 Extended Edition: The Top 25 Customer Service KPIs – 2020 Extended Edition report compiles the most popular 25 KPIs used by Customer Service divisions throughout 2016 and 2020. This report 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.

The Sales and Customer Service KPI Dictionary: This dictionary enlists the names and arithmetic rules for more than 220 KPIs and covers all major components of the sales and customer service departments. This material can be used in the early stages of implementing a performance management framework, in selecting and documenting KPIs, and improving an existing performance measurement system.

Customer Service Call Center Dashboard: This is a ready-to-use instrument for managing and measuring the performance of inbound call centers. It also contains a repository of the most relevant and widely spread KPIs in the call center industry.

Customer Service Performance Consulting Services: If your organization needs support in the implementation phase– for either a performance management system in customer service or other customer service processes or instruments– TKI’s specialists can provide you with consultation and references. We will make sure that the framework, which proves its efficiency in multiple organizations, is adjusted to the specific needs of your industry or area of expertise and will overcome the expected change rejection reactions of employees that are commonly experienced by most organizations.

The KPI Institute (TKI) released the Government Services Index (GSI) 2023, a comprehensive compilation of indicators designed to evaluate government service performance based on five key dimensions: Future Readiness, Digitalization, Governance, Society Welfare, and Citizen Experience, which are aligned with the collected data from 30 indicators.

The GSI 2023 report is the result of extensive research and analysis, drawing upon a diverse array of sources. Over 100 scholarly articles and 40 global indexes were reviewed to identify pertinent areas for assessing government service quality and the availability of global data. This rigorous process ensured that the report reflects the most relevant and up-to-date insights into the state of government services across different regions and sectors.

The GSI 2023 report has major implications for governance stakeholders worldwide. Policymakers can get insights into service delivery strengths and weaknesses, guiding them to better decision-making, while researchers may benefit from comprehensive data for further studies. Moreover, citizens might gain a better understanding of government service quality, empowering advocacy for positive change.

By examining data from 107 countries and five world regions, this report has identified the top performers in each dimension, shedding light on best practices and areas for improvement. In the GSI 2022, the United Arab Emirates (UAE) dominated the overall GSI ranking. The country placed first in Adaptability and Talent, third in Impact, and fourth in Governance and Digitalization. 

Has the UAE been able to maintain its position in 2023? Which countries are currently leading in each dimension?  Grab a copy now of the Government Services Index 2023 report and find out. For more information, visit https://kpiinstitute.org/government-services-index-2023/

Key performance indicators (KPIs) are used to understand and improve performance across a diverse range of industries, departments, and teams. For companies that produce goods and commodities, KPIs are absolutely essential as they offer a detailed view of their performance—for both individual employees and the organization as a whole. Production capacity and adherence to production schedules are just a few examples of areas in such an industry where KPIs can be used.

The importance of KPIs is even more prominent nowadays, as production has slowed considerably across the globe, caused by various compounding issues such as semiconductor, iron ore, and chemical shortages just to name a few. Such problems must be dealt with, and a reliable way to determine if the implemented solutions are working is through the use of KPIs. 

On top of the production slowdown, many companies that produce goods and commodities are also dealing with the changes brought about by Industry 4.0 —chief of which is the issue of proper integration. New technology and old processes typically don’t mix, a maladjustment that is exacerbated by skills gaps. Fortunately, there are ways to close these gaps, namely through reskilling and upskilling. Reskilling and upskilling are both training-centric methodologies, requiring employees to learn new skills or update their existing skill sets to match the new technology they will be using. This is not enough, however, as the effectiveness of training must be measured, which is where the use of KPIs comes into play. 

Due to the importance of KPIs in production, The KPI Institute (TKI) has diligently collated the 10 most widely used production KPIs. This information comes from smartkpis.com, TKI’s comprehensive database comprising 21,334 KPIs, covering 16 functional areas and 25 industries. The top 10 production KPIs are as follows:

1. % Production schedule attainment – Measures the rate at which the production target for a given time period has been attained.
2. # Units per man-hour – Measures the number of completed units of a product realized per man-hour of work.
3. % Production schedule adherence – Measures the deviation between the actual production units and the planned production units for the same period.
4. % Production uptime – Measures the percentage of utilized operation time from the planned available production time.
5. # Production plants – Measures the number of manufacturing plants (e.g. assemble lines) available and functional for the production process.
6. % Recovery yield rate of returned products – Measures the percentage of product returns that were valued again from overall returned products.
7. % Production capacity utilization – Measures the percentage of the production volume actually realized from the total production capacity.
8. # Ideal run rate – Measures the theoretical ideal production rate expected to be achieved in optimal circumstances.
9. # Production capacity – Measures the volume of products that one plant or company can produce with its actual resources in a specific timeframe.
10. $ Penalties cost due to unsatisfied demand – Measures the penalty values generated by the inability to satisfy demand.

Keeping track of these metrics can prove pivotal to the survival and success of any production business. For a detailed breakdown of these KPIs, including how to calculate them and when to measure them, download the free poster on the TKI marketplace.