You can’t manage what you don’t measure, so the saying goes, but what you measure is just as important.
If you aren’t familiar with KPIs — key performance indicators — this episode of Mind Your Farm Business is for you.
Measuring the right things is just as important as the initial step to begin measuring business performance, explains Andrew Rush, vice president of Carpedia. KPIs are also less likely to be financial: instead, think of things like labour hours per bushel, or days equipment stays idle, things like that.
Choosing KPIs is a fluid process, Rush says, and each business will have a different number of them. You also don’t need to start with eight to 10 indicators. Start with two or three, and get familiar with the process first, and take the time to bring staff and the leadership team on-side before going all in.
In this podcast, Rush explains that process, plus discusses why it’s important to be realistic in choosing and setting KPIs, and how powerful they can be as leading indicators of business performance.
Disclaimer: Royal Bank of Canada and its subsidiaries are not responsible for the information provided in this podcast, and this information does not necessarily reflect the views of Royal Bank of Canada or any of its subsidiaries. No endorsement of any third parties or their advice, opinions, information, products or services is expressly given or implied by Royal Bank of Canada or any of its subsidiaries.