What is the role of performance indicators in quality management?

Performance indicators are critical for a company to achieve good results. It is the indicators, or KPIs, that tell us what state the business is in and whether we are actually meeting the previously established goals. Based on company performance indicators, managers can make more assertive and informed decisions. BAM tools such as Multipeers allow you to keep track of KPIs continuously and in real time, allowing you to gain insight into the achievement of goals. We will understand in today’s article the role of performance indicators in quality management!

They give us a global understanding of company strategy

It is very important for companies to know where they are going and for each employee to know the work they have to do, otherwise they will not be able to achieve their goals. If we are unaware of the results we must achieve with our work, we can do anything, and this is possibly not in line with the overall goals of the organization. Defining the indicators of each employee and linking them to the monitoring system is essential in order to obtain a global and integrated view of the company’s state and performance. In the end, the quality of each employee will be much higher, so the company will benefit greatly.

They show us reliable information about the current state of business

Indicators allow for measurable results. And this is very important in a company because the numbers don’t lie and help us understand where we go wrong and where we got it right and which way we should go from time to time. Subjective knowledge of company results is not enough; One must know objectively the true values ​​of the organization.

They allow us to make better business decisions

The indicators give us a lot of information about the company and to that extent make decision making much more efficient. There is a lack of information available about the company to make a conscious decision and these performance indicators play a prominent role when making decisions about the future of the company. Managers can only make assertive and correct decisions if they have a complete knowledge of the business reality. And nothing better than updated management indicators that are appropriate to the reality of the company.

 

Having a broader view is key to being able to keep up with the business and make the right decisions. In today’s hectic business day-to-day and with the ever-increasing demands of consumers, knowing the market is a must-have weapon to win. Download our business monitoring e-book and learn how a BAM system can help your business grow steadily!

Get to know the importance of indicators management

Indicators are fundamental to the good performance of a company. It is the indicators, or KPIs, that tell us what state the business is in and whether we are actually meeting the previously established goals. Based on company performance indicators, managers can make more assertive and informed decisions. BAM tools like Multipeers allow you to keep track of KPIs continuously and in real time, allowing you to pay greater attention to meeting your goals, effectively increasing the company’s degree of success. Let’s understand in today’s article how important is the management of corporate indicators!

Company strategy known by everyone

“If we don’t know where we are going, any path is good,” so it is very important for companies to know where they are going and for each employee to know the work they are supposed to do. If we are unaware of the results we must achieve with our work, we can do anything, and this is possibly not in line with the overall goals of the organization. Defining the indicators of each employee and linking to the monitoring system is essential for obtaining a global and integrated view of the company’s state and performance.

Making the right decision

The indicators give us a lot of information about the company and to that extent make decision making much more efficient. Managers often complain about the lack of information about the company to make a conscious decision and these performance indicators play a prominent role when making decisions about the future of the company. Managers can only make assertive and correct decisions if they have a complete knowledge of the business reality. And nothing better than updated management indicators that are appropriate to the reality of the company.

Give us real numbers about the state of the company

Indicators allow for measurable results. And this is very important in a company, because numbers don’t lie and help us understand where we go wrong and where we get it right. It is not enough to have a subjective knowledge about the company’s results: it is necessary to know objectively the true values ​​of the organization. By analyzing the KPIs it is possible to redefine strategies and change what is not giving positive results.

Increase sales and improve overall business performance.

When well defined and implemented, management indicators help drive sales. When there are definite goals and rewards associated with achieving them, the tendency is for employees to strive even harder to achieve their goals. This creates healthy competition between the different salespeople and in the end the company gains from increasing sales.

7 Financial Mistakes That Harm Your Business

To err is human and it is very likely that a manager, throughout his career, make some mistakes. However, there are financial mistakes that can be very detrimental to running a business and can even lead a business to failure. In today’s article we address the 7 financial mistakes that hurt your business!

Lack of constant analysis

It is essential these days to continuously analyze your business, because only then can you find problems before they materialize. Managers can no longer survive just with Excel sheets and reports with a few days. It is essential that the business is analyzed at the minute, because only in this way will be able to be always ahead of the competition. Business monitoring software like Multipeers is a growing need in today’s business because it allows you to analyze in a simple way everything that is happening now with your business.

Spend what you (still) don’t have

Hiring a debt with money that has not yet gone into the box is a very common mistake and should be avoided to the fullest. There is no guarantee that the customer will not be late in paying or if an unforeseen event will happen and you will need to invest in something more urgent.

Do not make a balance sheet

As companies grow, various investments are made and the company’s assets are growing over time. However, there is often no concern about knowing what one possesses at a given moment, eventually continuing to invest in disorderly ways. Having knowledge of the balance sheet helps the company whether it needs to continue to invest or whether, on the contrary, it should reduce its investments.

Lack of automation

Performing tasks manually that could be automated is a very common mistake. Using an ERP helps you optimize all processes, reducing costs and increasing productivity by reducing human error. The information of a company must be integrated, so that all the data is updated so that it is easier to make decisions.

Do not have KPIs

The financial area is one of the most relevant in any business and the use of indicators becomes essential. Using business metrics enables you to measure the outcome and verify that the stated goals are being met. Working without indicators is like being lost in a complex labyrinth without a map to guide you.

Mixing personal expenses with company expenses

It is a very common mistake among business owners, who usually use the company account to pay for personal expenses. This mistake is very detrimental to business as it completely changes the fixed costs of the organization and distorts its financial reality.

Focus only on sales

Sales are the ultimate goal of every business, but if you don’t pay attention to the other areas of the business, you may compromise your entire business. Administrative and human resource management are examples of areas that deserve to be treated with care. Good management of all departments of a company will reflect the financial results in the medium and long term.