CAPM Project Management Exam Prep

Category - PM Framework

What are Key Performance Indicators used for at the strategic-plan level?
  1. KPIs assess the current state of the organization and recommend appropriate actions.
  2. KPIs monitor business activity in real time
  3. KPIs measure otherwise-difficult activities, such as customer satisfaction and employee skill development.
  4. All of the above
Explanation
Answer - D - Key Performance Indicators (KPIs) measure all of the above.

Key Takeaway: KPIs assess the current state of the organization, monitor business activity, and quantify hard-to-measure activities. These Indicators are typically closely tied to the company’s strategic plan and differ from organization to organization, depending upon any given company’s nature and strategy. KPIs are usually defined within framework established by the company’s business plan.
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