Define KPIs and record their values

A KPI is a measurable indicator with a target for a period: sales closed per month, days to close the books, error rate. The screen keeps each KPI's current reading next to its target and works out the achievement for you. KPIs are also what you score inside an appraisal cycle.

Create a KPI

1. Open People › Talent › KPIs and select New KPI.

2. Enter the name in KPI and choose the Measurement Type: quantitative or qualitative.

3. Choose the Frequency: daily, weekly, monthly, quarterly or annual.

4. Enter the Target Value and the Unit, for example orders, days or %.

5. Set Period Start and Period End. The end must be on or after the start.

6. Optionally enter a Category and the KPI's Weight (%), from 0 to 100.

7. Choose the Calculation method (see below).

8. Choose the Scope: Company-wide, Specific employee (then pick the Employee) or Specific department (then enter the Department ID).

9. Add a Description and select Save.

Choose how the value is calculated

• Manual: you record each reading yourself with Record Value.

• Automatic (from linked goals): the value is calculated from the goals linked to this KPI. Record Value is unavailable, and the achievement column shows that the figure comes from linked goals. See goals.

• Formula: behaves like Manual on this screen; you record the readings with Record Value.

For an automatic KPI, the current value is the weighted average of the current values of its linked goals, using each goal's weight. Goals without a current value are left out, and a goal without a weight counts with a weight of 1.

Record a reading

1. Open the KPI's Actions menu and select Record Value.

2. Enter the Current Value in the KPI's unit.

3. Select Save. The achievement percentage is recalculated from this reading against the target.

How achievement and status are worked out

• Achievement = current value ÷ target value × 100, rounded to two decimals. A KPI with a target of 0 shows 0%.

• The status shows Above target once the current value reaches the target, and Below target while it is under it.

• A new KPI starts as Below target until its first reading.

Where KPIs are used

• In an appraisal cycle, the scoring sheet lists the employee's active KPIs, and the company-wide and department KPIs, whose period overlaps the cycle, with the current value against the target for each.

• A goal can be linked only to a KPI of the same employee or to a company-wide KPI.

Common questions

Why is Record Value greyed out? The KPI's calculation method is automatic. Its value follows the linked goals; update the goals instead, or change the method to Manual.

Does deleting a KPI delete its goals? No. Goals stay, and they simply no longer feed that KPI.