The number of KPI:s are constantly increasing and you can easily end up tracking 7-10 different ones. But if you stop for a second and analyse your metrics. Are you really sure you can answer the question why? Do you remember why you measure what you are measuring? It’s so easy to get lost in the jungle of KPI and metrics. Sometimes even tracking the metrics becomes a sport in itself. This blog post will discuss the purpose of metrics and divide different types of metrics into two bigger categories. Later this week you can expect a blog post for each category where I dig deeper into both behavioural and opinion-based metrics.
I love data because the information that you can find in data can connect what you are doing to the reality. The chances of success increase if you base your decisions on data. But the problem with data is that the increase of the amount is probably exponential. With all this data how are you supposed to know which is useful and which is just a waste of space?
In earlier blog posts I have discussed the importance of having clear objectives in your organisation. How are you supposed to know how to track your progress if you don’t know what is expected? What are the objectives for the marketing department? Don’t forget to align the objectives of the marketing department with the objectives of the customer service department. This is especially important if the two departments don’t work close together.
Different types of KPI
KPI:s have been split up into different categories before. The fact that I’m also doing it is nothing new. But the way I look at KPI:s I see two very clear categories that one needs to be aware of. I’m talking about KPI:s for behavior tracking and for opinion tracking. The classic KPI:s in a customer service might be mostly for behavior tracking. To me it feels like a lot of organisations are today trying to use opinion tracking as a way to predict how customers will act. The problem with this is that there is not always a correlation between opinion and action. There are a lot of opinionated people who never act. In the next two blog posts I will dig deeper into each of these categories. I will tell you the pros and cons with both of them and why I favor behavior tracking before opinion tracking.
Don’t forget to read the previous weeks blog posts! If you found this blog post interesting then I think you will like my posts about business analytics (introduction, the value and the future) and workforce management (introduction, multi-skilled and customer success).