Summary of Key Performance Indicators

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Key Performance Indicators book summary


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Many managers don’t know how to measure performance. Leaders often choose “key performance indicators” (KPIs) that reveal little and don’t really help. David Parmenter, a KPI expert, offers a definitive manual, now in its third edition. He explains different performance measurements and how to use them to manage your workforce and your organization. This is the essential read for anyone seeking to measure an organization’s progress, but if you mostly need basic data, focus on the opening chapters. getAbstract recommends Parmenter’s meaty, detailed primer to executives who must measure the right performance factors, and to project managers who organize and administer KPI projects.

In this summary, you will learn

  • What primary measurements organizations should make;
  • How to measure and apply “key performance indicators (“KPIs”) and “critical success factors” (“CSFs);
  • How to develop KPIs in six stages; and
  • How to recognize and thwart common myths about performance.

About the Author

David Parmenter is expert in the development of KPIs and in replacing the annual planning process with quarterly rolling planning and lean finance-team practices.



Measuring Performance
Most organizational leaders don’t know how to measure performance. Mistakes include relying on measurements that don’t correlate to the factors that make them successful, and measuring performance quarterly instead of weekly, daily or even constantly.


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