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Performance Measurement & KPIs Flashcards

7 cards from real CBC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Performance Measurement & KPIs flashcards as text

  1. A coach helps a client cascade company-level KPIs to individual team members. What is the key benefit of this alignment?

    Answer: Each person sees how their daily work contributes to strategic objectives

    Cascading KPIs links individual performance to organizational strategy, improving focus and accountability.

  2. A client wants to measure marketing ROI. Which calculation is correct?

    Answer: (Revenue attributable to marketing minus marketing cost) divided by marketing cost

    Marketing ROI compares the net return generated by marketing to the amount invested in it.

  3. During a coaching session, a client says their team resists new KPIs as "micromanagement." What approach best builds buy-in?

    Answer: Involve the team in selecting and defining the metrics they will be measured on

    Participation in metric design increases ownership and reduces resistance to performance measurement.

  4. Which situation indicates a KPI should be retired or replaced?

    Answer: The metric no longer relates to current strategic priorities

    KPIs must evolve with strategy, so measures disconnected from current priorities should be replaced.

  5. A client measures productivity as "units produced per labor hour." Output rises but defect rates double. What should the coach recommend?

    Answer: Pair the productivity KPI with a quality metric such as defect rate or first-pass yield

    Balancing efficiency metrics with quality metrics prevents optimizing speed at the expense of standards.

  6. What distinguishes a KPI from an ordinary business metric?

    Answer: A KPI is directly tied to a critical business objective, while ordinary metrics may simply describe activity

    KPIs are the vital few measures linked to strategic success, whereas general metrics may only describe operational activity.

  7. A coaching client in e-commerce wants to reduce cart abandonment. Which measurement approach gives the most actionable insight?

    Answer: Track abandonment rate at each checkout step to locate where customers drop off

    Funnel-stage measurement pinpoints exactly where customers abandon, enabling targeted fixes.