“Measure—anything that is measured, e.g. number of customers, total revenue, etc. The key thing is that there is nothing inherently good or bad with a measure.
Metric—a value typically derived by a combination of two or more measures, e.g. financial ratios, total revenue over time, etc. Metrics do provide the notion of whether the values are good or bad.
KPI—brings in the business context. Metrics within a particular organizational or industry context are KPIs. However, you need to distinguish between KPIs (key performance indicators) and PIs (performance indicators). Most companies have far too many “KPIs.” KPIs are derived from the strategy and value drivers of the company; they are few in number. The rest might be important, but not strategic and should not be defined as KPIs.”
“Measure—anything that is measured, e.g. number of customers, total revenue, etc. The key thing is that there is nothing inherently good or bad with a measure.Metric—a value typically derived by a combination of two or more measures, e.g. financial ratios, total revenue over time, etc. Metrics do provide the notion of whether the values are good or bad.KPI—brings in the business context. Metrics within a particular organizational or industry context are KPIs. However, you need to distinguish between KPIs (key performance indicators) and PIs (performance indicators). Most companies have far too many “KPIs.” KPIs are derived from the strategy and value drivers of the company; they are few in number. The rest might be important, but not strategic and should not be defined as KPIs.”
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