kpi-checklists

name: kpi-checklists description: This skill should be used when the user asks to "design KPIs", "create a KPI system", "build a measurement framework", "develop a balanced scorecard", "define metrics", "prototype a dashboard", "shortlist measures", "build a KPI Tree", "set up management reporting", or mentions ROKS methodology, KPI definition sheets, stakeholder engagement for measurement, or sustaining KPI systems.

KPI Checklists Skill

Source: Distilled from KPI Checklists by Bernie Smith, Metric Press, 2013. ISBN: 978-1-910047-00-2

Applicable when designing KPI or measurement systems; aligning measures to strategy; engaging stakeholders around measurement; building KPI Trees; shortlisting and prioritising measures; defining KPIs precisely; prototyping dashboards and reports; rolling out measurement systems; troubleshooting data quality, trust, or delivery issues; sustaining established KPI systems; or improving meeting effectiveness with data.

Core Concepts

What Is a KPI?

A KPI (Key Performance Indicator) shows how you are doing at a particular activity to achieve a particular outcome. KPI, metric, and measure are interchangeable — "key" simply implies importance.

• Leading indicators show what is coming (windscreen view)
• Lagging indicators show what happened (rear-view mirror)
• A good dashboard has a mixture of both, financial and non-financial

The ROKS Framework

The Results Orientated KPI System is a 7-step methodology for developing KPIs from strategy through to sustained production:

Step 1 — Clear Strategy

Without clear strategy, you only achieve objectives by accident. Strategic objectives must be specific, not woolly.

Strategy Fitness Checklist:

• Is the strategy written down and accessible?
• Does it make sense to a non-specialist reader?
• Is there broad management consensus?
• Are objectives linked, specific, and non-dated?
• Are there fewer than seven strategic objectives?
• Are key decision-makers working to the strategy?

Red flags: Words like "excellence", "synergy", "outstanding", "empowerment" — they sound great but are unmeasurable.

For the complete strategy and stakeholder checklists, see Strategy & Engagement Checklists.

Step 2 — Engage Stakeholders

Identify all who have involvement in production, review, or reward of measures. Use a RACI matrix:

Stakeholder types: Data originators, Data aggregators, Data packagers, Internal customers.

For communications plan checklists and stakeholder interview guides, see Strategy & Engagement Checklists.

Step 3 — KPI Trees (Longlist)

A KPI Tree is a graphical tool showing linkages between strategic objectives and everyday measures. It decomposes from Strategic → Theme → Tactical → Measure level.

Three link types:

• Cause-effect (grey line) — One activity directly influences another
• Conflict (red line) — Activities work against each other (e.g., minimise AHT vs maximise First Touch Resolution)
• Companion (double line) — Measures overlap or one is a subset

Key benefit: Prevents "going straight for the obvious measure" and exposes unintended consequences.

For detailed KPI Tree building instructions and shortlisting methodology, see KPI Trees & Shortlisting.

Step 4 — Shortlist

Rate each candidate measure on two criteria:

Plot on a 4-box matrix:

Always record the Discard list with reasons — it defends choices and prevents report bloat.

For the complete shortlisting process, see KPI Trees & Shortlisting.

Step 5 — Define KPIs

Every KPI needs a precise definition answering:

For the full KPI Definition Canvas and meeting Terms of Reference checklists, see KPI Definition.

Step 6 — Prototype Dashboards

Never go straight to production. Prototype collaboratively. Three approaches:

1. Offline options — Present pre-built mockups (lowest risk, slowest)
2. Live session — Build with decision-maker in real time
3. Hybrid — Present options, then tune together (recommended)

Dashboard design principles: Simplicity, restraint, visual clarity. Avoid 3D charts, double Y axes, RAG without criteria, mixed chart types, red-green colour only.

For the 53-point Brilliant Dashboards Checklist, see Dashboard Design.

Step 7 — Go Live

Buy-In Stages

1. Create engagement — Involve stakeholders in KPI Tree sessions
2. Build a case — Show real-world benefit (but rational argument alone won't build engagement)
3. Remove obstructions — User guides, clear processes, easy compliance
4. Public displays of importance — Senior sponsor endorsement
5. Develop good habits — Consistent heartbeat, quick problem fixes, positive reinforcement

Common Data Problems

Sustaining KPIs — What Kills Established Systems

• Rapid strategy change without KPI review
• Loss of senior sponsor
• "Flat earthers" who reject data-based management
• Loss of key specialists (single-person dependencies)
• Mistrust of output
• Entropy — gradual slide into disorder

For detailed go-live checklists, SMED methodology, FMEA risk management, and sustainability guidance, see Go-Live & Operations.

Risk Management — FMEA

Failure Mode and Effects Analysis scores risks as:

FMEA Score = Probability (1-10) × Severity (1-10)

Optionally add Detectability: Score = Probability × Severity × Detectability

Use calibrated scales with specific examples at 1, 5, and 10. Identify mitigations, then rescore.

Improvement Cycle — PDCA

KPIs sit in the Check step of Plan-Do-Check-Act:

The cycle's effectiveness is limited by its weakest element. Perfect KPIs are worthless if you don't act on them.

For PDCA checklists and meeting effectiveness guidance, see Meetings & Improvement Cycle.

Anti-Patterns to Avoid

Decision Framework

When building a KPI system:

1. Validate strategy → Use strategy fitness checklist
2. Identify stakeholders → Build RACI matrix, create communications plan
3. Generate candidates → Build KPI Trees in workshops
4. Prioritise → Importance/Availability matrix → Use, Aspire, Discard
5. Define precisely → KPI definition sheet for every measure
6. Prototype → Collaborative dashboard design with stakeholders
7. Launch → Pilot first, preflight checks, user guides
8. Sustain → Regular review, habit formation, feedback loops, PDCA

Mindset for KPI Success

• Persistent constructive scepticism
• A bias towards simplicity
• Desire for structure and order
• Constant mindfulness of organisational objectives
• Always remembering that your end customer is a human being

Reference Files

For detailed checklists and extended guidance, consult:

• references/strategy-engagement.md — Strategy fitness, strategic objectives, communications plans, RACI, stakeholder interviews and workshops
• references/kpi-trees-shortlisting.md — KPI Tree building workshops, link types, shortlisting matrix, Aspire list development
• references/kpi-definition.md — KPI Definition Canvas, measurement intent, formula precision, target setting, meeting Terms of Reference
• references/dashboard-design.md — 53-point Brilliant Dashboards Checklist, prototyping approaches, design principles, readability standards
• references/go-live-operations.md — Buy-in stages, data problems and solutions, SMED cycle-time reduction, FMEA risk management, data collection methods, sustainability
• references/meetings-improvement.md — PDCA improvement cycle, meeting behaviour, Terms of Reference, lightning rounds, relevancy matrix, meeting rules

Quick Reference: When to Use Each Reference