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What is KPI (Key Performance Indicator)?

KPI (Key Performance Indicator) is a term used to describe the metrics that businesses use to track their performance and evaluate progress toward their goals. These indicators are important for measuring success and identifying areas where improvements can be made.

Businesses use KPIs to measure and analyze different aspects of their operations, such as sales figures, website traffic, customer satisfaction rates, employee productivity levels, and more. By tracking these metrics over time, companies can make informed decisions about how to allocate resources and improve performance.

The key advantage of using KPIs is that they provide a clear framework for measuring progress towards specific goals. This helps businesses stay focused on what matters most for their success and provides a basis for evaluating the effectiveness of different strategies and initiatives.