Part 18: Departmental KPIs

by | Sep 13, 2021

By: Christi Johnson, Strategic Management Consulting Services

The following is part 18 of a multi-part series on The KHA Way, KHA Management Consulting’s Integrated Service Offering. This blog series includes the benefits of using KHA Management Consulting Services and the components included.

The following is part two of a six-part series on the 4th phase of KHA Accountant’s PLLC ‘KHA Way’: Process Alignment. As indicated in our last post, the monitoring of the clearly defined, documented, and communicated critical business processes is essential to ensuring those processes are followed as management intends. This monitoring is also essential to highlight areas of concern in a timely manner so that they are addressed and corrected before irreversible negative consequences occur. We know why monitoring is important but how should the monitoring of your processes be accomplished by the management or leadership team?

Ideally, the management team should identify the departmental key performance indicators (KPIs) that are closely tied to those critical business processes. These KPIs will serve as measurement tools that will provide clarity and direction to everyone in the organization especially the employees directly affected by the new process. Many times, KPIs are difficult for organization management and leadership teams to agree upon. As a result, KHA Management Consultants is available to facilitate an interactive management discussion to help narrow down and pinpoint the relative KPIs and goals that will provide the foundation for an effective monitoring system.

Once KPIs are identified and communicated so that everyone knows what will be measured, a dashboard should be setup that will track the performance of the process against the goal. KHA Management Consultants can customize this performance dashboard to your business needs as well as provide periodic updates to ensure the data remains relative to your organization’s strategy and targets. The intent is that everyone in your organization is aware of actual results and focused on their necessary contribution for achieving success. In future posts, we will discuss how individual components of the departmental KPIs help align employee incentives with organization success.

At KHA Management Consultants, we work with mid-market industry leaders to identify what makes the organization, its stakeholders, and its’ employees tick. We facilitate Process Alignment with your organization’s key constituents to ensure buy-in, ownership, and a new way of thinking about the organization and its stakeholders amongst all levels. From a resource perspective, we primarily use our unmatched experience but also tap into the top-level resources such as those made available by Harvard Business Review, relevant strategic management authors, and MentorPlus. Some of those materials, frameworks, and lessons have been used in authoring this series.

KHA Management Consultants, the consulting department of KHA Accountants, PLLC, based in Flower Mound, Texas, is always looking for opportunities to work with key clients ready to take their organization to the next level. If you have a desire to improve, take the first step toward success with the strategic management experts, and contact us at 972-221-2500.

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