Introduction:

Key Performance indicator app provides performance measurement capability to an organisation. A good KPI will help you and your team to understand whether you’re going in a right direction to achieve your predetermined. We have defined certain KPIs for Finance are:

Financial KPIs

1. Cost: Measure the cost effectiveness and find the best ways to reduce expenses, taxes to manage your operating costs.


2. Net Cash Flow: This metric helps in assessment of an organization’s financial strength. It refers to the difference between a company's cash inflows and outflows in a given period.


3. LOB Expenses vs. Budget: This is the comparison of your actual overhead expenses with your forecasted budget. The deviation will help you to create a more effective & optimized departmental budget in the future.


4. LOB Revenue vs. Target: This is the comparison between your actual revenue and your target revenue. Analysing the discrepancies by plotting the charts between above values will help in identifying departmental performance.


5. Profit: It’s a performance indicator is fairly straightforward and the most general KPI for all the sectors. But we need to dig deep and should analyse both gross and net profit margin to better understand how successful your organization is at generating a high return.