Project PerformanceThe following are important KPIs for measuring how well a project meets its commitments independently of business outcomes.
The difference between scheduled and actual progress.
The difference between budgeted and actual cost.
The budgeted value of work completed at a point in time.
The value of work that was scheduled to be complete at a point in time.
Cost Performance Index
Compares earned value to actual cost.
Schedule Performance Index
Compares earned value to planned value.
Return on Investment
The estimated net profit created by a project divided by its cost. Note here that net profit is influenced by both cost and revenue.
Time to Market
The time the project took from concept to launch or from approval to launch.
The total defects divided by the amount of work delivered such as lines of code.
Stakeholder satisfaction with the project.
Project OutcomesA business views a project in terms of business outcomes as opposed to internal metrics of how well the project delivered. This is beyond the control of project managers and is more the responsibility of those who sponsor the project and set its requirements. The following are the basic types of project outcome KPI.
Next read: Project Outcomes
Revenue produced by a product, service, feature or function created or updated by the project.
The market share of a product after launch.
If a project is intended to improve customer satisfaction, this is an important project outcome metric.
How much a project reduced risk exposure for a business.
The percentage of users or customers that use a new product, service, feature or function.
An estimate of the total cost reduced by implementing the project. This may be projected out for several years and discounted to a present value.
The amount of output produced by a business process in an hour or month.
Improving the time required to fulfill a request.
The percentage of your business that has some business capability.
Increasing the amount of value an employee produces in an hour or month of work.
The value created by a unit of a resource such as the revenue produced per square foot of data center space.
The percentage uptime of a resource such as an IT service.
Reductions in error such as the percentage of bills with a calculation error.
Reductions in the number of incidents that occur such as outages of a service.
Reducing workplace related injuries and illness.
The percentage of your business that is in compliance with a regulation or standard.
Corporate Social Responsibility
Measuring a positive impact on people and planet such as a reduction in packaging waste that’s not reused or recycled.