Advanced National Diploma in Human Resource Management PDF

Advanced National Diploma in Human Resource
Management
National Institute of Business Management – Galle
“Key Performance Indicators
Implemented in Organization
performance”
GAANHRM192F-004 E.G.Maleesha Sherandhi

18/07/2020
Date of Submission
ABSTRACT
Key Performance Indicator (KPI) are financial and non-financial indicators that
organizations use in order to estimate and fortify how successful they are, aiming previously
established long lasting goals. Appropriate selection of indicators that will be used for measuring
is of a greatest importance. Process organization of business is necessary to be constitutes in
order to realize each efficient and effective system or performance measuring via KPI. Process
organization also implies customer orientation and necessary flexibility in nowadays condition of
global competition.
Performance Indicators or KPI’s are important in estimating the performance of
the organization as well as the individuals. This assignment estimates KPI performance in 3
different organizations, using suitable examples.

TABLE OF CONTENT
1.0 Introduction to KPI..............................................................04
1.1 Importance of KPI to organization........................................04
2.0 DSI company (PVT)............................................................05
2.1 Introduction to the company...............................................05
2.2 KPI for Marketing & Sales Department..................................05
2.3 Goal identified for Strategic Employees.................................05
3.0 MAS company (PVT)..........................................................08
3.1 Introduction to company...................................................08
3.2 KPI for Production Department..........................................08
3.3 Goals identified for Managerial Employees.............................08
4.0 Sri Lanka Telecom (PLC).....................................................11
4.1 Introduction to company...................................................11
4.2 KPI for Service Department ...............................................11
4.3 Goals identified for Operational Employees.............................11
5.0 References.......................................................................12

1.0 Introduction to KPI
Organizations perform all activities and operations within a framework, which are built
on its vision and mission. The performance of each activity and operation can be measured
using Key Performance Indicators (KPI), which indicate the organization’s success in
achieving is strategic objectives. KPI is widely used not only by profit-oriented
organizations but also by non-profit organizations such as government agencies.
Each organization should measure its performance in terms of achieving its goals. This
measurement is intended to access both qualitatively and quantitatively, all the activities
have been performed. Framework for the assessment includes effectiveness and efficiency in
optimizing the use of available resources. Using the framework the organization can strive to
improve the performance.
An indicator or more precisely a Key Performance Indicators (KPI) is an industry term
for a measure or metric that evaluates performance with respect to some objectives.
Indicators are used routinely by organizations to measure both success and quality in
fulfilling strategic goals, enacting process or delivering products or services.
1.1 Importance of KPI for Organization
A Key Performance Indicators (KPI) is a measurable value that illustrates how
effectively an organizations use KPI to monitor their success at reaching targets. KPI help
evaluate an organization’s process in accomplishing key objectives, these metrics are used at
all levels, helping executives, managers and employees identify where improvements can be
made. KPI leads to better decisions and more effective goal execution. The most essential
KPI is revenue, but many others can be used based on an organization’s primary goals.
KPI are important to business objectives because they keep objectives at the forefront
of decision making. It’s essential that business objects are well communicated across an
organization, so when employees know and are responsible for their own KPIs, it ensures
that the business’s overarching goals are top of mind.
A KPI measures the goals of the business against the actual, quantifiable data over a
specified period. Performance Indicators form an importance part of the information
required to determine and explain how an organization will progress to meet its business