In order to be useful, a key performance indicator (KPI) MUST
A.
be approved by management.
B.
be measurable in percentages.
C.
be changed frequently to reflect organizational strategy.
D.
have a target value.
The Answer Is:
D
This question includes an explanation.
Explanation:
A key performance indicator (KPI) is a quantifiable measure of performance over time for a specific objective1. KPIs help organizations and teams track their progress and achievements towards their strategic goals. To be useful, a KPI must have a target value, which is the desired level of performance or outcome that the organization or team aims to achieve. A target value provides a clear direction and a benchmark for measuring success or failure. Without a target value, a KPI is meaningless, as it does not indicate whether the performance is good or bad, or how far or close the organization or team is from reaching their objective.
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