To lead well and to accelerate the growth of your business, you need to have firm grasp on the productivity of your business and the engagement of your employees. The speed of growth for you and your start up depends on how well you analyze and respond to critical metrics. Indicators such as profit and revenue, website conversion rate, and overhead costs are must-haves. Here are three other key performance indicators that can help you run a tight shop:
After you have built and released your product, you need to take your business to the next level in order to see growth. Measuring employee productivity on your executive dashboard will give you insight on the performance and morale of your team. Productivity is one of the “most important determinants of the standard of living” for a group of people according to Forbes writer Bill Conerly. You can track employee productivity by measuring the number of deliverables your employees complete per week or per day.
Measuring productivity can also help you determine bonuses and employee promotions. Some employees may not be as productive per hour as others at a certain task – that could be a good indicator that their strength may be in another area. Analyzing productivity gives you insight to the morale of your team. Employees that are more positive and engaged are more successful.
Make sure certain team productivity metrics are available to see on the general company dashboard. Employees can see how much they accomplished in a day and how far they need to go to reach their goals. We do this at Grow and it encourages a competitive, yet collaborative atmosphere. Employees receive positive recognition and work harder to reach their goals. We’ve seen the dashboard boost our company culture and improve teamwork.
Business mentor and Forbes contributor Simon Reynolds encourages entrepreneurs to raise their personal performance standards in order to prevent stagnation. Even when business is going well, it is important to maintain high expectations for yourself. Reynolds comments that solid business results start “inside the head of the business owner.” If the leader is not performing to a high standard of excellence and executing their vision of success, employees will notice and their motivation will decrease. Measuring your productivity as a leader will improve your awareness and help you be a strong example to your team. You can customize your Grow BI dashboard to include your goals and personal productivity metrics that only you can see.
Although you want your employees to be high-performers, you don’t want them to experience burnout. Employees that work excessive hours are more likely to become disengaged and look for other opportunities. Measure your employee hours and keep a close eye if a particular employee is consistently overworking. Stagnant productivity and turnover can be expensive, especially after you have invested in training and developing your employees. This is also a metric you may want to keep on your personal dashboard as you manage your business.
Productivity and employee-specific metrics are essential to your success as a leader. Use the dashboard to track these metrics to help you make better decisions and lead with confidence.