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How to Focus Your Team on the KPIs You Measure to Drive Better Performance · Enhance.training

• 0:00
  SPEAKER_00: Focus your team on the KPIs you measure to drive better team and business performance.
• 0:05
  SPEAKER_00: It sounds simple, yet most companies and teams have more KPIs or key performance indicators than they need, yet don't use KPIs effectively to change behaviour and drive better performance.
• 0:17
  SPEAKER_00: Per Harford's Business School, the majority of companies fail to implement the strategy they set successfully.
• 0:24
  SPEAKER_00: That is a huge number of companies, most important goals not being achieved.
• 0:29
  SPEAKER_00: Most employees, 80% plus, don't really know about or understand the direction or strategy of their company.
• 0:37
  SPEAKER_00: From my experience of working in many different companies, from world-class market leaders to entrepreneurial startups, I would agree that not really understanding their company's direction and strategy is probably the normal for most employees.
• 0:51
  SPEAKER_00: If most employees don't know or understand the goals their team is trying to achieve, how can they work harder on the areas that help achieve those goals?
• 1:00
  SPEAKER_00: For how to focus your team on the KPIs you measure to drive better performance in your team and business, we are covering.
• 1:08
  SPEAKER_00: Firstly, choosing the right KPIs to achieve goals.
• 1:11
  SPEAKER_00: Secondly, explain why these KPIs and link the KPIs to team benefits.
• 1:16
  SPEAKER_00: Third, explain how these KPIs will be achieved.
• 1:19
  SPEAKER_00: Fourth, constantly talk about KPI progress.
• 1:22
  SPEAKER_00: And fifth, link recognition rewards, bonuses and promotions into achieving KPIs.
• 1:28
  SPEAKER_00: Too many leaders and managers communicate team goals a few times at team meetings or in presentations and expect employees to know and understand exactly what to do.
• 1:39
  SPEAKER_00: In reality, for most employees, a lot more is needed to really focus your team on the KPIs you measure and use to increase team performance.
• 1:48
  SPEAKER_00: My name is Jess Coles, and if you're new here, Enhance.training shares people management expertise, resources and courses teaching you how to build higher performing teams.
• 1:58
  SPEAKER_00: We have lots of free resources and webinars available to add more depth to your knowledge or save you a ton of time.
• 2:04
  SPEAKER_00: So do visit us at Enhance.training to make use of these.
• 2:08
  SPEAKER_00: A super important first step is choosing the right KPIs to achieve goals that you've been set.
• 2:14
  SPEAKER_00: Most companies have an excess of data from which they can choose KPIs.
• 2:19
  SPEAKER_00: Choosing the right KPIs is not an easy task, you know, that focus effort and resources on the most valuable tasks and activities and projects to reach the goals set.
• 2:30
  SPEAKER_00: Too many companies only use financial KPIs which are much easier to set, yet very few employees relate to these KPIs to what they do on a day-to-day basis.
• 2:41
  SPEAKER_00: This lack of connection means less focus and effort is put into the best activities to reach those goals.
• 2:47
  SPEAKER_00: Start with the goals your team or business needs or wants to reach.
• 2:52
  SPEAKER_00: Understand how progress towards these goals is being measured so you understand what the finish line looks like.
• 2:57
  SPEAKER_00: Next, go through all of the tasks, activities and projects that your team is responsible for or is involved in delivering.
• 3:04
  SPEAKER_00: Ask yourself if we deliver more, better or faster on this task, activity or project, how would it impact achieving the team goals?
• 3:13
  SPEAKER_00: Or another type of question to ask, what are the sales, marketing or operational activities that create the most progress towards goals?
• 3:21
  SPEAKER_00: Or you could ask, you know what tasks, activities and projects create the biggest increases in revenue, profit and cash.
• 3:29
  SPEAKER_00: Prioritize your options from the most important to the least important.
• 3:34
  SPEAKER_00: Another factor to consider is how broad a range of activities does the KPI I'm considering capture.
• 3:40
  SPEAKER_00: For example, the number of sales meetings per week is a much narrower measure than the gross profit generated from new sales per week.
• 3:49
  SPEAKER_00: Work out the most suitable and relevant KPI measures to use from the range available.
• 3:54
  SPEAKER_00: Think operating, sales, marketing and financial KPIs as well as broad KPI measures that capture a lot of different activities and narrow KPI measures that focus on critical points in the process.
• 4:06
  SPEAKER_00: Try to limit the KPIs you really focus the team on to five or less, otherwise they don't really have the focus they need.
• 4:13
  SPEAKER_00: Choose KPIs that best capture the most valuable and profit-generating tasks, activities and projects that your team can work on.
• 4:23
  SPEAKER_00: Second, explain why these KPIs and link the KPIs to the team benefits.
• 4:29
  SPEAKER_00: Once you've chosen your KPIs, explain to your team, those that will be doing the work that drive these KPIs, why you have chosen these specific KPIs.
• 4:38
  SPEAKER_00: Explain the thinking process you went through to choose the eight KPIs you have.
• 4:43
  SPEAKER_00: Explain how these KPIs align with reaching the team goals.
• 4:47
  SPEAKER_00: Doing more of the activities captured by the KPIs should be the best way available to move the team towards reaching the goals set.
• 4:55
  SPEAKER_00: Explain exactly why this is the case.
• 5:04
  SPEAKER_00: You choose a KPI tracking the number of sales calls made to potential clients who have attended one of the company's webinars.
• 5:11
  SPEAKER_00: You have chosen this KPI because the data proves the number of sales calls to warm leads is the biggest driver of sales growth for the team.
• 5:21
  SPEAKER_00: Link the KPI into daily tasks, activities and projects that your team does.
• 5:26
  SPEAKER_00: Explain why increasing the output, the key performance indicator measures will help achieve the goal.
• 5:32
  SPEAKER_00: Once you've created a clear link between the KPI and the team activity, I suggest you spell out exactly why this will help the team.
• 5:40
  SPEAKER_00: Don't just focus on the financial benefits.
• 5:43
  SPEAKER_00: For example, from the previous example you might say growing revenues means higher profits in the company, higher job security for us all, being part of a success story, more career development opportunities, more cash to reinvest in the business, and a lot of appreciation from the other teams.
• 6:01
  SPEAKER_00: Make clear why achieving these goals will make the individual team member better off.
• 6:06
  SPEAKER_00: Don't assume that it is obvious or they understand why.
• 6:09
  SPEAKER_00: Tell them.
• 6:11
  SPEAKER_00: Explain it to them until they understand.
• 6:14
  SPEAKER_00: Answer the what is in it for me question.
• 6:17
  SPEAKER_00: Third, to focus your team on the KPIs you measure, explain how these KPIs will be achieved.
• 6:24
  SPEAKER_00: Explain exactly what tasks, activities and projects each person on the team needs to do and how they will directly or indirectly improve the KPIs that you have chosen.
• 6:34
  SPEAKER_00: Set personalized targets in terms of the activities and responsibilities that each person on the team has.
• 6:40
  SPEAKER_00: Also, talk through what resources will be made available to support achieving the goals set.
• 6:45
  SPEAKER_00: What other departments, projects, etc.
• 6:48
  SPEAKER_00: will help in driving the KPI measures.
• 6:50
  SPEAKER_00: What activities should the team focus on?
• 6:53
  SPEAKER_00: What should they avoid and how should they prioritize?
• 6:56
  SPEAKER_00: These are all really useful questions to discuss and answer as a team.
• 7:01
  SPEAKER_00: Also, think about the training and support to increase skills and capabilities in the team.
• 7:05
  SPEAKER_00: What can be done to increase the ability of the team to deliver in the most important areas?
• 7:10
  SPEAKER_00: What are you able to commit to now and what do you need to try to get in place for later on?
• 7:16
  SPEAKER_00: Having a realistic plan and carefully thinking through all the steps adds a huge amount of confidence to the team that they can achieve the goals set.
• 7:25
  SPEAKER_00: Use the team to help create the plan of action and you increase their buy-in and commitment to the plan.
• 7:31
  SPEAKER_00: Explain how each individual can and will increase the results the KPIs measure.
• 7:36
  SPEAKER_00: Fourth, to focus your team on the KPIs you measure, constantly talk about KPI progress.
• 7:42
  SPEAKER_00: Once you have your KPIs you want to measure, the team understand why you've chosen these KPIs, and the team understand how they can improve the results the KPIs measure, keeping the KPIs top priority for each team member is the next big challenge.
• 7:57
  SPEAKER_00: Way too many managers talk through the KPIs a couple of times with the team and expect that that is enough.
• 8:04
  SPEAKER_00: We all work in an increasingly fast-paced and distracting workplace.
• 8:09
  SPEAKER_00: There is a constant flood of new ideas, initiatives and things the team needs to do, almost on a weekly basis.
• 8:16
  SPEAKER_00: KPIs are soon forgotten about unless you keep reminding the team about their importance.
• 8:22
  SPEAKER_00: Here are seven great ways for you to keep the KPIs you want your team to focus on front of mind.
• 8:28
  SPEAKER_00: Firstly, send round a weekly KPI email to team members and stakeholders.
• 8:32
  SPEAKER_00: Secondly, talk about the KPIs in team meetings and one-on-one meetings.
• 8:36
  SPEAKER_00: Third, regularly meet to go through KPI progress with stakeholders and your manager.
• 8:41
  SPEAKER_00: Fourth, put the KPIs on a whiteboard in full view of the team or use a TV screen for live progress updates.
• 8:48
  SPEAKER_00: Fifth, hold HUDDL meetings each day or week and get team members to update the KPI they own onto a scoreboard.
• 8:56
  SPEAKER_00: Sixth, hold planning meetings to work on how to improve the results the KPIs are tracking.
• 9:02
  SPEAKER_00: And then seventh, create games between team members or subteams for biggest increase in KPI performance in that month.
• 9:09
  SPEAKER_00: There are so many options.
• 9:11
  SPEAKER_00: The key is to do all of these things and keep repeating them.
• 9:15
  SPEAKER_00: The more time and effort you put into communicating the progress of the KPIs, the more you ask questions about the activities that drive the KPIs, the more your team will get the message that they are really important to you.
• 9:27
  SPEAKER_00: If they are important to the manager, they become important to the team members.
• 9:31
  SPEAKER_00: Actions convey the KPIs' importance a lot more than words ever will.
• 9:36
  SPEAKER_00: Keep reminding the team about the KPIs and keep visibility and regularly communicating progress against the KPIs.
• 9:44
  SPEAKER_00: Fifth, to focus your team on the KPIs you measure, link recognition, rewards, bonuses, and promotions into achieving KPIs.
• 9:52
  SPEAKER_00: There is a lot a manager can do to incentivize team members to focus on achieving goals and improving KPIs that do not cost money.
• 10:01
  SPEAKER_00: For example, recognition is a very powerful reward and something everyone wants in some form.
• 10:07
  SPEAKER_00: Recognition and praise take a bit of time and effort to do well.
• 10:11
  SPEAKER_00: Your ideas include public recognition in team meetings, winning the best team member prize for the month, having their picture on the wall, and getting emails celebrating their achievements.
• 10:22
  SPEAKER_00: Think about who gets what development opportunities and how you use your time to mentor and coach team members.
• 10:28
  SPEAKER_00: These are both very valuable to team members.
• 10:31
  SPEAKER_00: Use your imagination, ask team members what they would like and how they want to be rewarded.
• 10:37
  SPEAKER_00: Work out what you can do without any or little budget and permission.
• 10:41
  SPEAKER_00: You should put these ideas into practice if you haven't already.
• 10:46
  SPEAKER_00: Next, think about all the incentives that require budget, permission, and sign off.
• 10:51
  SPEAKER_00: Link as many of them into improving the KPIs and reaching team goals as sensible.
• 10:56
  SPEAKER_00: For example, some obvious ones, giving bigger bonuses to those that deliver and little or nothing to those that don't.
• 11:02
  SPEAKER_00: Give bigger pay rises to those that increase value the most.
• 11:06
  SPEAKER_00: Think carefully about who you put forward for promotion and why.
• 11:11
  SPEAKER_00: The more incentives you link directly into improving the KPIs you have chosen to focus your team on, the more the team will focus on the tasks, activities and projects that deliver them.
• 11:22
  SPEAKER_00: So in summary, having great and relevant KPIs allows you to understand the performance of teams and businesses easily and quickly.
• 11:32
  SPEAKER_00: Learning how to focus your team on the KPIs you measure is a step more managers struggle with.
• 11:37
  SPEAKER_00: More focus, more effort, and more time spent on the best tasks, activities and projects to beat goals will drive better performance in the team and the business.
• 11:47
  SPEAKER_00: I've used the steps that we've gone through again and again with different teams in different companies, and they work very, very effectively.
• 11:54
  SPEAKER_00: I hope you have just as much success with these approaches.
• 11:58
  SPEAKER_00: To recap, the five tactics I suggest you use to focus your team on the KPIs that you measure are.
• 12:04
  SPEAKER_00: Firstly, choosing the right KPIs to achieve goals.
• 12:07
  SPEAKER_00: Secondly, explain why these KPIs and link the KPIs to team benefits.
• 12:12
  SPEAKER_00: Third, explain how these KPIs will be achieved.
• 12:15
  SPEAKER_00: Fourth, constantly talk about the KPI progress.
• 12:18
  SPEAKER_00: And fifth, link recognition rewards, and bonuses and promotions into achieving KPIs and goals.
• 12:25
  SPEAKER_00: If you have any questions, please email me at support at enhanced.training and I'll get back to you.
• 12:32
  SPEAKER_00: Thanks very much for listening, and I look forward to speaking to you again soon.