1 Process metrics

Process metrics are quantitative indicators that reflect how well a process is performing. They can be divided into four categories: output, throughput, quality, and cost. Output metrics measure the quantity and value of the products or services produced by the process. Throughput metrics measure the speed and capacity of the process. Quality metrics measure the accuracy, reliability, and customer satisfaction of the process. Cost metrics measure the resources and expenses involved in the process.

2 Process goals

Process metrics are not meaningful unless they are aligned with the goals of the process. The goals define what the process is intended to achieve and how it contributes to the overall strategy and vision of the organization. The goals should be specific, measurable, achievable, relevant, and time-bound (SMART). For example, a goal for a customer service process could be: "Increase the customer satisfaction rate by 10% in the next six months by reducing the average response time and resolving issues on the first contact."

3 Process baselines

Process baselines are the current or historical values of the process metrics. They serve as a reference point for comparing and evaluating the process performance over time or against a target. Process baselines help to identify gaps, opportunities, and trends in the process. They also help to set realistic and attainable goals and expectations for the process. For example, a baseline for a customer service process could be: "The current customer satisfaction rate is 80%, the average response time is 15 minutes, and the first contact resolution rate is 70%."

4 Process benchmarks

Process benchmarks are the best practices or standards of excellence for the process metrics. They represent the desired or optimal level of performance that the process should aspire to achieve. Process benchmarks can be derived from internal or external sources, such as industry leaders, competitors, or peers. Process benchmarks help to inspire and motivate the process improvement efforts and to evaluate the process performance against the best in class. For example, a benchmark for a customer service process could be: "The industry average customer satisfaction rate is 90%, the average response time is 10 minutes, and the first contact resolution rate is 80%."

5 Process dashboards

Process dashboards are visual tools that display the key process metrics in a clear and concise way. They help to monitor and communicate the process performance to the relevant stakeholders and to identify any issues or deviations that need attention or action. Process dashboards should be updated regularly and aligned with the process goals and benchmarks. They should also be easy to understand and use, and highlight the most important and relevant information. For example, a dashboard for a customer service process could show: "The current customer satisfaction rate is 85%, which is 5% below the goal and 5% below the benchmark. The average response time is 12 minutes, which is 2 minutes below the goal and 2 minutes above the benchmark. The first contact resolution rate is 75%, which is 5% above the goal and 5% below the benchmark."

6 Process improvement

Process improvement is the continuous or periodic effort to enhance the process performance by using the process metrics as feedback and guidance. Process improvement involves analyzing the process data, identifying the root causes of problems or inefficiencies, implementing changes or solutions, and evaluating the results. Process improvement should be driven by the process goals and benchmarks, and should involve the participation and collaboration of the process owners, operators, and customers. For example, an improvement for a customer service process could be: "To increase the customer satisfaction rate by 10%, we will implement a new software system that will automate the ticketing and routing process, reduce the response time by 5 minutes, and increase the first contact resolution rate by 10%."

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?