WCRC

Recognition A–Z / Business and management

Business performance indicators

A performance indicator should help answer a defined operating question. A number can be accurate and still provide little guidance for the decision being discussed.

What to review

Check the definition, denominator and reporting interval. Identify who can act on the result and what other evidence they need.

A practical example

A total sales figure may not explain whether new customers return. A retention question needs a measure that follows the relevant customers over time.

Keep the claim in scope

Do not select a metric solely because it is easy to report or presents a favourable story.

Research and editorial context

A useful management framework makes a decision easier to examine. It should identify its assumptions and the evidence needed to challenge them. These notes are practical WCRC interpretation, not measured outcomes or recommendations for investing in a particular company.

Examples illustrate a decision and do not describe a named organisation's conduct. This is a reference note, not a new research finding or an award outcome.

Read the relevant WCRC material

These links provide WCRC context. Individual properties retain their own eligibility, evidence requirements and limitations.