Tracking external metrics such as leads, traffic, and conversion rates are pretty much a given. But what about internal metrics? There are many types of internal metrics with specific measurements you should be tracking to help ensure greater effectiveness, efficiency, and predictability for your team. The following are a few tips to optimize your internal metric reporting processes.
- Choosing the right metrics is critical to success. Identify metrics that the team can implement today, but which, ultimately, will affect the firm’s long-term goals.
- Most managers and employees work hard. The goal of a metrics system should be to make them work smarter.
- Involve the managers and employees. Those who are subject to the metrics systems should be part of the team that is responsible for developing them. Any metrics system which is simply imposed from above without participation from those it impacts is likely to encounter resistance.
- Metrics enable you to get the most out of your managers, employees, and current work processes, but they should not limit you. By considering your goals creatively you can develop new processes. Metrics alone are not enough. Insights are critical and necessary to drive action and shape strategy.
- Data and insights need to be democratized and shared company-wide, allowing for full transparency and a common language for the company to engage in.
Common Mistakes
- Too much data - The metrics you choose to focus on should be relevant, actionable, timely, and measurable. Determine and define the metrics that are related to your particular needs and goals.
- Lack of reliable data - You should never obsess over numbers. Instead you should look at the big picture and how the whole system works. Nevertheless, metrics must reflect the purpose of the business.
Measuring and collecting data, which is often part of process improvement initiatives, brings to light what is happening in all processes within your organization. Many organizations struggle with setting benchmarks, measuring progress toward goals and evaluating past performance. But by keeping the above tips in mind, internal metric reporting doesn't have to be difficult.
To learn more about Internal Metrics That Matter for your MSP download our whitepaper.