IT DEPARTMENT KPI EXAMPLES
IT KPIs And Scorecards
Knowing if your IT department or IT business is working at peak performance is essential as it may help increase your productivity. Implementing metrics is usually one of the best ways to handle this important task and our IT KPI examples can help you do just that. Employees can use an IT scorecard to evaluate activity-based events related to operations, marketing, sales, and finance in real-time.
KPIS STREAMLINE WORKFLOW
The processes used by IT departments can be streamlined with the use of KPIs. Attaching goals and streamlining your processes should be an ongoing activity of everyone involved. Having KPIs gives everyone on a team a clear idea of what they should achieve and how.
Tracking progress allows everyone to share what they are doing. Innovations and updates are frequently emerging in the software space and there’s a lot to keep track of and share in a team.
Introducing KPI technology into your IT department should help make it more straightforward for your support team to work more effectively.
IT KPI Examples
Understanding and utilizing the IT KPI examples below may be the starting point for building internal processes that work for everyone. The lists can also be used to spark ideas of new IT KPIs you’re currently not using.
1. OPERATIONS
Measuring the solutions provided by an IT department should help show their effectiveness and help you discover metrics that can be improved.
- Quality Assurance: Having little to no issues with a project is ideal and keeping track of quality assurance is the best of making sure every quality check is executed every time. Measuring the problems that arise can help provide transparency for areas where there may be challenges. Prioritizing and addressing those areas should help improve the process.
- Project Delivery Time: One IT department metric that may be highly essential in assisting with productivity is project delivery time. Making sure delivery is completed on time can be analyzed by using a clear target and timeline. Analyzing delays in the process may help you avoid them in the future, which may cut down on expenses.
- Agility: Changes in your business may require your IT department to react quicker. Measuring their readiness can show how well they handle having to pivot on projects or scale processes. Transforming and adapting may help you get positioned more securely and help streamline your process.
- Service Level Agreements: Establishing goals for quality and time can be achieved with a service level agreement ta. The targeted results are agreed upon and measured periodically to determine if the agreement is being met. The IT scorecard for this KPI can help present transparency and assist in setting realistic expectations.
- IT Devices Not Up to Date: Setting up KPIs for IT department security is usually vital if you want to do everything you can to ensure that hackers don’t access your system. Staying one step ahead of them by measuring your security procedures should help provide the updates you need to remain safe, especially if you’re involved in the healthcare or financial space.
- Unsolved Tickets Per Employee: Measuring individual employee performance by examining unsolved tickets indicates issues that need further communication and can help show if an employee needs more training. Using this metric to spark competition and reveal where everyone stands may be a positive way to help solve tickets and increase efficiency. It can also help show the needs of your customers or expose a lack of training.
2. SALES AND MARKETING
Introducing KPI technology into your sales and marketing department can be highly essential in improving your productivity.
- Server Downtime: Measuring server downtime is one of the top IT KPI examples if your company is offering a service where staying online is essential. Using this metric can help you understand when it may be the best time to reboot, update, or maintain your hardware’s infrastructure. An overabundance of downtime could affect your reputation and the reviews of your services.
- The number of Critical Bugs: Keeping this metric low has many advantages as it’s another one of the IT KPI examples that can negatively affect your brand. Over time, you can determine if your company is having an increase in critical bugs, requiring you to dig deeper into any underlying causes.
- Developing New Features: If your business is offering a product that periodically comes out with new features, you want to measure each feature’s success. Having a more critical business goal for this metric may also be beneficial. You may want to tie it in with a goal such as retention, conversion, or acquisition.
- Average Time to Repair: Having an unexpected event can turn off customers if it lasts for an extended period. Getting repairs done quickly to help ensure your system is up and running as fast as possible will alleviate having too many disgruntled customers. Evaluating this area may make you realize you need to assign more of your IT technicians to handle repairs.
3. FINANCE
The financial planning of your IT department may benefit from these KPI examples. They can help your company understand where it’s best to increase or decrease your technology investments and expenditures. Tackling this area should encourage the right type of resource allocation, accountability, and cost reductions required to get on the right path.
- Measuring Your IT Budget: While this KPI metric may be obvious, it’s highly essential to help safeguard against high IT expenditures. Ongoing measurements also ensure that everything is progressing efficiently. This metric should help keep your IT team on target.
- Compare IT Expenses to Revenue: This IT KPI is one of your most essential metrics to analyze, especially if you strive to maintain healthy and steady growth. Comparing the two will help put your team in a position to address any anomalies and stay on target. Evaluating the IT scorecard for this KPI can be essential if you are quickly increasing expenses in short periods.
- ROI Percentages of IT Investments: Measuring your IT investments’ ROI percentage will help you understand how profitable you’ve been. Calculating the ROI by taking the returns and dividing them by the cost may be a basic form of measurement, but it can provide you with valuable data on each IT investment’s success.
- IT Cost Breakdown: Understanding where you are allocating your money in your IT department can help you know if you need to spend more or less on maintenance, development, infrastructure, or operations. Gaining insight from this metric should help you spend your dollars more efficiently and allow you to identify your most significant opportunities for making improvements.
Implementing KPIs
Implementing KPIs into your IT department should help make it more efficient to measure this area’s performance and implement strategies that can help create the best results. Using several different KPI’s should provide your business with a way to make prudent decisions for each department.
Here at Fusion CPA, we are highly familiar with the implementation and utilization of these types of KPIs and would be happy to help you explore how they can be used in your operations, finance, sales, and marketing departments. We can also suggest the best software integrations to track KPIs. Contact us today if you have any questions. We’d be happy to assist you.