Establishing Key Performance Indicators
Like Key Results Areas (KRAs) which were the topic of last week’s Weekly Training Solutions message, Key Performance Indicators (KPIs) help employees understand if they are performing up to your expectations. But KPIs, unlike KRAs, are used to measure the studio’s success. They are quantifiable measurements used to evaluate success (or room for improvement).
Review these examples to choose which measurements are most meaningful for analyzing your studio’s areas of success. Then share those KPIs with the people on your team who contribute to the goal:
- Net profit of a program
- Percent-to-full of a class or program
- Lead conversion percentage
- Total enrollment
- Total units
- Year-over-year (or month-to-month) retention percentage
- Number of parent complaints
- Employee absenteeism
- Customer satisfaction ratings
KPIs can directly coordinate with KRAs. Discuss both with your employees to paint a clear picture of the business health and the ways in which they share responsibility for that “picture of health.” And when goals are met, make sure people are rewarded for their contributions!