It can be easy to get lost in the day to day of running a business, pushing yourself and your team to continue to make sales, work with customers, and continue scaling.
An easy trap you can fall into, is not tracking and following up on your most important data points to make sure all your hard work is actually propelling your company in the right direction.
You must be intentional on tracking the most important numbers to your company’s success so you can quickly, and easily, take action to either get your company back on track or understand why you are doing well.
There must be a purpose your collect and track these data points. It will become harmful to your efficiency if you think you need to collect and track too many data points. You are simply wasting time to track numbers for the sake of tracking numbers.
When creating and deciding your KPIs, you need to create them so you can track your organizations pulse as a whole with a single spread sheet. A group of numbers that will allow you to make educated decision relying on data.
And here is the one question you can ask yourself (or your leadership team if you have one):
If you were not able to come to work for a month and unable to communicate with anyone, what essential numbers would you need to look at weekly/monthly to gauge how your company is doing?
When answering this question and determining your KPIs, narrow down the list to only 5-10 data points at most. Keep it simple!
Once you have your most essential KPIs determine and you begin to track them you can more efficiently track and monitor things such as: weekly revenue, cash balances, customer satisfaction, project status, sales activity, accounts receivable and payable, etc.
Now you will know exactly how your business is doing week to week and whether or not you’re on pace to hit your goals. Not only that, but you also now have complete control over your ability to make educated decisions on the spot that will help your company pivot or keep pushing a good thing.
No more wild guesses and using the wait and see approach.