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APPLICATION OF KEY PERFORMANCE INDICATORS TO IMPROVE THE EFFICIENCY OF MONITORING OF THE ORGANISATION'S ACTIVITIES: THEORETICAL APPROACH.
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- Author(s): Klimaitienė, Rūta; Derengovska, Eva; Rudžionienė, Kristina
- Source:
Public Security & Public Order / Visuomenes Saugumas ir Viesoji Tvarka; 2020, Issue 25, p218-233, 16p- Subject Terms:
- Source:
- Additional Information
- Abstract: Key performance indicators (KPI), if properly used at an enterprise, can demonstrate the progress achieved by the enterprise in its pursuit of strategic objectives. The main goal of this research was to develop a model for the application of KPI process with the objective to improve the efficiency of monitoring of the organisation's activities. Literature review, systematic and comparative analysis of literature, academic literature synthesis, content analysis, monitoring and modelling were carried out. KPI are these particular indicators which best reflect the key/fundamental processes of the enterprise activity. In order to draw maximum benefits from the selected KPI, they have to conform to certain characteristics: achievable, owned, timely, relevant and measurable. The authors suggest a model of the process of KPI application which would help to improve the efficiency of monitoring of the organization's activities. When the strategy of an organization has been established and the key objectives have been outlined, four stages of KPI application are enumerated: 1) identification of the function of an indicator; 2) data mining; 3) use of data; 4) indicator relevance validation. The model recommends selecting the optimal number of indicators and checking whether the costs of tracking a single indicator do not exceed the benefits of the monitoring process. [ABSTRACT FROM AUTHOR]
- Abstract: Copyright of Public Security & Public Order / Visuomenes Saugumas ir Viesoji Tvarka is the property of Mykolas Romeris University and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)
- Abstract:
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