KPI Framework
A tiered set of measures that connects daily activity to business outcomes: one north-star metric, a few outcome KPIs, leading indicators and guardrails.
Sub-techniques
| ID | Name |
|---|---|
| MK-T0601.001 | North-Star Metric |
| MK-T0601.002 | Outcome KPIs |
| MK-T0601.003 | Leading Indicators |
| MK-T0601.004 | Guardrail Metrics |
| MK-T0601.005 | Target Setting |
Procedure
- Choose one north-star metric tied to revenue.
- Select three to five outcome KPIs and two to four leading indicators that move first.
- Add one or two guardrails to prevent gaming.
- Record the baseline, target, owner and data source for each measure.
- Review leading indicators weekly and outcomes monthly.
Common mistakes
| Mistake | Mitigation |
|---|---|
| Too many KPIs | Cap the scorecard at about ten measures |
| Vanity metrics such as followers | Every KPI must link to revenue or a leading indicator of it |
Sub-technique details
North-Star Metric
The single number that best reflects value delivered, such as qualified pipeline created per month.
Outcome KPIs
Three to five business results, such as revenue, new customers and customer acquisition cost.
Leading Indicators
Early signals that predict outcomes, such as qualified meetings booked.
Guardrail Metrics
Measures that must not degrade while optimizing, such as lead quality or margin.
Target Setting
Baselines, targets and review dates for each KPI.
Other techniques in Measurement & KPIs
- MK-T0602 Funnel Metrics
- MK-T0603 Unit Economics
- MK-T0604 Channel Metrics
- MK-T0605 Key Event Tracking (GA4)
- MK-T0606 UTM Taxonomy
- MK-T0607 Attribution Fundamentals
- MK-T0608 One-Page Reporting
- MK-T0609 Lead Quality Scoring
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