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Key Performance Indicators

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How to measure Continuous Process Improvement using a set of balanced KPI's

Many organisations have developed Key Performance Indicators to identify service delivery targets that they would like to achieve, but few have aligned them with a set of payroll metrics or measures tackling process issues so they can identify Process Improvement in qualitative terms year on year.

THE THEORY

'If people did not change their minds, make mistakes, and sent all documentation in according to published timetables, all payments would be accurate and paid on time, query volumes would be low, there would no payroll corrections or overpayments and the number of staff required to provide the service would be less'. 

The CIP Triangle web  

IN PRACTICE

If the process improvement methodology is having an impact all the metrics that have been originally baselined will gradually reduce. As a direct consequence of the falling HR metric scores, the KPI scores will increase resulting in two numerical measures to monitor and benchmark both Service Delivery Performance and Continuous Process Improvement. 

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