Business Metrics

Business metrics can be defined as any numerical values companies collect to assess their performances. Traditional measurements like revenue, profits, and client satisfaction are common measurements that document overall success. By comparing results from one year to the next, companies assess whether they are improving or declining as a group.

Each worker and leader in an organization has a direct influence over an organization's financial success. As a result, many companies use business metrics to measure individual employees and managers from year to year. For example, Unanet's client base of over 500 customers customers includes American Express, Motorola, and the Yankee Group. These successful corporations realize that if everyone in the organization improves his or her performance, it logically follows that the business as a whole will also improve.

A thorough analysis of business metrics may reveal that a particular business failed to meet its financial goals because the bottom 10 percent of all managers frequently exceeded their budgets and failed to meet deadlines. Executives can use these measurements to correct existing problems and learn from past mistakes. An organization needs to collect the right data to pinpoint what needs to be fixed.

Business Metrics Captured by Unanet's Software

Unanet's integrated software captures performance-related information on individuals, departments, and companies. For example, it's crucial to ensure that a contractor or employee log his or her hours and work progress into the Unanet database on a regular basis, as failure to do so can create stopgaps and delay projects significantly. The software also documents how often certain departments exceed project budgets. This information can be used to measure managers, recognize star employees, and identify people who need improvement.