Skip to main content

Project KPIs

Understanding Project KPIs in Project Management


KPIs in project management are several particular measurement methods that indicate how effectively teams are reaching specified targets. KPIs for project management are typically established during the project's early stages. They reflect the organization's primary project concept and establish project commitment across administrative divisions.

Why use KPIs?

  • For the performance effectiveness
  • For the efficiency in delivering the outcome
  • Monitor and Control the change

How to identify the KPIs?

  • Based on business strategy
  • Based on shot term and long term goals
  • Based on stakeholder needs 
  • Based on what makes the organization success or failure 
KPIs are usually developed following the well-known S.M.A.R.T. criteria:

  • Specific
  • Measurable
  • Achievable
  • Result-oriented or Relevant
  • Time-bound

The levels of KPIs are given below:



Few important KPIs needs to be measured in project for the success.

1) Cost Performance Index

2) Budget Variance

3) Billable Utilization

4)  Employee Churn Rate

5) Resource Capacity

6) On-Time Completion Percentage


Labels:

Comments

Post a Comment

Popular posts from this blog

Delivering a project within budget

 Here are some tips for delivering a project within budget: Set a realistic budget Define the project's scope and necessary resources, and create a budget that's realistic. Cost estimate Segment the project into smaller tasks and milestones to plan how to use resources and provide clarity. Divide the project plan Break down the project into tasks to avoid late deliverables and over-budget projects. Monitor progress Regularly track the project's progress to identify and prevent cost overruns. Use progress reports to compare actual costs to the budget. Anticipate and revise changes Communicate with stakeholders to identify and assess risks, and assign owners to each risk. Consider different scenarios Estimation can be difficult for complex projects with many potential outcomes. Tracking: Tracking time spent on tasks, Tracking expenses per project, and Using project management software. Use Historical Data Your project is likely not the first to try and accomplish a specific o...
Post a Comment
Read more

Empiricism (Scrum)

Empiricism asserts that knowledge comes from experience and making decisions based on what is observed. Pillars of  Empiricism . Various practices exist to forecast progress, like burn-downs, burn-ups, or cumulative flows. While proven useful, these do not replace the importance of empiricism . In complex environments, what will happen is unknown. Only what has already happened may be used for forward-looking decision making. Each artifact contains a commitment to ensure it provides information that enhances transparency and focus against which progress can be measured: ● For the Product Backlog it is the Product Goal. ● For the Sprint Backlog it is the Sprint Goal. ● For the Increment it is the Definition of Done. These commitments exist to reinforce empiricism . The sum of the Increments is presented at the Sprint Review thus supporting empiricism .
Post a Comment
Read more

New way of product development

Today is the era of fast-paced world and competitive world. Companies are realizing that the old sequential approach to developing new products won’t get the job done and product can’t be reached to market when compared to competitors. The 4 stages of product development are as follows – R&D, Growth, Maturation, and Decline. Instead of sequential approach, companies are using holistic approach – as in rugby game, the ball gets passed within the team as it moves as a unit up the field. This holistic approach has six characteristics: 1)     Build-in-instability 2)   Self-organizing project teams 3)   Overlapping development phases 4)   Multi-learning 5)   Subtle (very clear and strong) control 6)   Organizational change to explore and learning The above six characteristics forming a fast and flexible process for new product development with advantage of act as a change agent, creative, market driven ideas, flexi...
Post a Comment
Read more