7 Lessons on Building Your Business with Improved Metrics

 

7 Lessons on Building Your Business with Improved MetricsKeeping a business on target requires proper managing and measuring with metrics. A business will be required to choose the correct parameters for success and learn how to use them effectively. The goal is to avoid using the wrong metrics as this can lead to poor results. Businesses need to actively measure a set of metrics at least once a week to determine if performance goals are being met. This can be done if a series of tips are followed.

 

Measuring is Needed Before Managing

 

The performance of each department of a business needs to be evaluated by comparing progress with a set of objectives and goals. All significant areas of a business need to be measured. This will need to be done by using the right type of metrics.

 

The Right Metrics are Required

 

This needs to be done by first defining the core values, vision and mission of the business. Once this is done, then certain information needs to be discovered. A business owner will need to know at least two to five things that will affect a business during the next 12 months. Revenue objectives for the next one to two years will also need to be known.

 

Common Pitfalls Need to Be Avoided

 

Metrics must be clean in order to be understood. If the goal is open-ended then conflicts to the success or failure of meeting a goal can occur. Another pitfall to avoid is the use of metrics without a complete data set. A set of metrics should also be detailed, but not too complex or not easily explainable.

 

Invest in Tools for Reliable Feedback

 

One type of tool to use for reliable feedback are online Software-as-Service applications. This gives the business owner access to data that can easily be compared to set goals and objectives.

 

Let Employees See Results

 

Employees and other stakeholders of a business need to know if their efforts are meeting set expectations. Keeping information from employees does not provide them with any type of reliable performance information. Transparency is a main factor that creates a culture of success.

 

Accountability from the Top Down

 

The failure to share performance objectives with employees is not an example of good management. If a business wants employees to be on the same page with management, then they management needs to lead by example.

 

Continually Assess Results

 

Metrics need to be updated are reevaluated as the priorities of a business change. This may mean that a review of metrics is needed once a month.

 

Author

 

Hayley is a business consultant, author and blogger residing in Portland Oregon. She recommends using VoC Text Analytics Suite from Mindare, giving you the ability to analyze customer sentiment with software.

 

Keeping a business on target requires proper managing and measuring with metrics. A business will be required to choose the correct parameters for success and learn how to use them effectively. The goal is to avoid using the wrong metrics as this can lead to poor results. Businesses need to actively measure a set of metrics at least once a week to determine if performance goals are being met. This can be done if a series of tips are followed.

Measuring is Needed Before Managing

The performance of each department of a business needs to be evaluated by comparing progress with a set of objectives and goals. All significant areas of a business need to be measured. This will need to be done by using the right type of metrics.

The Right Metrics are Required

This needs to be done by first defining the core values, vision and mission of the business. Once this is done, then certain information needs to be discovered. A business owner will need to know at least two to five things that will affect a business during the next 12 months. Revenue objectives for the next one to two years will also need to be known.

Common Pitfalls Need to Be Avoided

Metrics must be clean in order to be understood. If the goal is open-ended then conflicts to the success or failure of meeting a goal can occur. Another pitfall to avoid is the use of metrics without a complete data set. A set of metrics should also be detailed, but not too complex or not easily explainable.

Invest in Tools for Reliable Feedback

One type of tool to use for reliable feedback are online Software-as-Service applications. This gives the business owner access to data that can easily be compared to set goals and objectives.

Let Employees See Results

Employees and other stakeholders of a business need to know if their efforts are meeting set expectations. Keeping information from employees does not provide them with any type of reliable performance information. Transparency is a main factor that creates a culture of success.

Accountability from the Top Down

The failure to share performance objectives with employees is not an example of good management. If a business wants employees to be on the same page with management, then they management needs to lead by example.

Continually Assess Results

Metrics need to be updated are reevaluated as the priorities of a business change. This may mean that a review of metrics is needed once a month.

Author

Hayley is a business consultant, author and blogger residing in Portland Oregon. She recommends using VoC Text Analytics Suite from Mindare, giving you the ability to analyze customer sentiment with software.

 

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