10 Key CEO KPIs That Drive Business Success π
Effective leadership is all about tracking the right metrics. For CEOs, it's crucial to understand and focus on key performance indicators (KPIs) to align strategy with long-term success.
Here are the 10 most important KPIs that every CEO should be monitoring:
1. Revenue Growth π – Measures the increase in revenue over time.
2. Gross Profit Margin π° – Indicates the percentage of revenue left after accounting for the cost of goods sold.
3. Net Profit Margin π – Measures how much of your revenue turns into actual profit after all expenses.
4. Return on Investment (ROI) πΌ – Shows the profitability of investments and projects.
5. Earnings per Share (EPS) π – Assesses the profitability of the company per outstanding share.
6. Customer Acquisition Cost (CAC) π΅ – Reveals how much it costs to acquire a new customer.
7. Customer Lifetime Value (CLV) π – Measures the total value a customer brings to the company over their lifetime.
8. Employee Engagement π₯ – Tracks employee satisfaction and commitment to the company.
9. Employee Turnover πͺ – Shows the rate at which employees are leaving the company.
10. Cash Flow πΈ – Monitors cash inflows and outflows during a given period.
π Focusing on these KPIs helps CEOs make data-driven decisions that steer their companies towards sustained success.
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