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Key performance indicator

As explained in Think Like a Software Engineering Manager

A key performance indicator is a measurable value used to evaluate progress toward a role’s or organization’s important objectives.

When planning a project or managing a role, a key performance indicator (KPI) turns an important objective into an observable measure of success. KPIs keep project success criteria objective and help managers align performance discussions with role goals. section 10.1.2 section 4.5.4

KPIs and objectives and key results (OKRs) work together but are not identical. OKRs organize objectives and measurable results; KPIs measure whether important project or role outcomes are being achieved. section 10.1.2

Use KPIs to make performance expectations practical:

  • Set clear KPIs for the role before evaluating performance. section 4.5.4
  • Tie project measures to defined success criteria during preplanning. section 10.1.2
  • Use KPI evidence with timely coaching, constructive feedback, and recognition of small wins. section 4.5.4

E-commerce project

An e-commerce objective to enhance user experience can use KPIs such as raising customer satisfaction from 80% to 90%, reducing page-load time from five seconds to three, and increasing daily mobile-app users by 20%. section 10.1.2

How Think Like a Software Engineering Manager covers it

How deep it goes
Explains KPI purpose and use in planning and feedback, without detailing KPI design methods or statistical analysis.
Examples
Uses satisfaction scores, page-load time, mobile-app users, and role-performance goals as KPI examples.
What you can do after
Apply KPIs to define project success criteria and guide timely coaching and feedback.
How it connects
Connects KPIs to OKRs, project management, performance feedback, coaching, and SMART reviews.

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This explainer was generated by Manning's knowledge graph from the text of Think Like a Software Engineering Manager. The section links point to the parts of the book it draws on.