Seven Characteristics of Key Performance Indicators

1. Nonfinancial measures (not expressed in dollars, yen, pounds, euros, etc.)
2. Measured frequently (e.g., daily or 24/7)
3. Acted on by the CEO and senior management team
4. Understanding of the measure and the corrective action required by all staff
5. Ties responsibility to the individual or team
6. Significant impact (e.g., affects most of the core critical success factors [CSFs] and more than one BSC perspective)
7. Positive impact (e.g., affects all other performance measures in a positive way)