KPI for Measuring of Operating Efficiency posted in category Accounting
WinningKPI - Accounting - KPI for Measuring of Operating Efficiency posted in category Accounting This indicator is for measuring of Time to file reports.process; More details: Filing of monthly financial reports and Tax returns.
One of the most effective ways to measure Operating Efficiency is to set ideal targets and use KPIs to measure against progress.
For instance, you may want to have 5000 reports filled in monthly, so measure actual progress against targeted progress.
You KPI could be:
Total Monthly Financial Reports
Sum of all reports
Or
Monthly Financial Reports as a % of Planned Monthly Financial Reports
Total financial reports / Total planned financial reports x 100
For instance, if you only achieved 3000 out of the 5000 planned work load, your KPI will be:
3000/5000 x 100 = 60%
In order to benefit from Operating Efficiency KPIs, you may take into consideration external factors in order to measure, understand and improve performance. For example, a system failure could have been the cause why you are 40% behind planned schedule.
You could also use the Man-Hour Equivalent KPI. Here you may want to measure how many reports employees deliver per hour.
Total number of workforce hours (FTE) spent on financial reports and tax returns/ Total number of reports and tax returns delivered
I hope this helps. Please post again with more details for further support.
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This indicator is for measuring of Time to file reports.process; More details: Filing of monthly financial reports and Tax returns.
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