Audience: Customer
Module: Analytics
Time to read: 5 minutes
Applies to: All plans
Quick answer
KPIs only matter if they influence decisions. Interpreting them correctly prevents overreaction and confusion.
How to read KPIs
When reviewing a KPI, ask:
• Is it trending up, down, or stable?
• Is it on target or off target?
• What action does this suggest?
Leading vs lagging indicators
• Leading indicators predict future performance
• Lagging indicators confirm past results
Both are important, but they serve different purposes.
Common mistakes
• Reacting to short-term fluctuations
• Focusing on too many metrics
• Tracking vanity metrics
Best practice
If a metric doesn’t drive action, it doesn’t belong on a dashboard.
Related articles
• How often should I review analytics and reports?
• How does Analytics connect to Strategy?