Key performance indicators (KPI)

KPI are indicators of performance management.

KPI are metrics used to measure the success of an organization, department, or specific business process in achieving its goals. KPIs are used to evaluate the performance of various aspects of a company, such as sales, marketing, customer service, and operational efficiency. They help organizations track progress, identify areas for improvement, and make informed decisions to drive growth and success.
R&D costs are increasingly important, and the manufacturers we work with express the need to measure the impact of R&D in terms of results and growth of their business.
Advanced industrialists in terms of performance management use different levels of indicators, in connection with governance.
The first level concerns the CEO or the executive committee. They will examine the relationship between the cost of R&D and the revenues generated.
A second level of indicators will concern the project or program managers, who will look at the variance of their costs, their schedules, and the technical deviations from the initial scope.
And a third level will concern the operational engineering teams who will look at parametric and actionable indicators.