--- title: What is KPI and how to be more successful using it? date: 2018-01-25T09:48:45Z modified: 2023-03-02T08:02:08Z permalink: "https://grow.ee/mis-on-kpi-ja-kuidas-seda-kasutades-edukam-olla/" type: post status: publish excerpt: Business analysis may seem overwhelming to many and they often do not want to deal with it. Although it must be noted that this is a really large subject, it is very logical when "taken in pieces". wpid: 4898 timestamp: 2023-03-02T08:02:08Z tags: - Accounting --- Business analysis may seem overwhelming to many and they often do not want to deal with it. Although it must be said that this is a very voluminous subject, **it is very logical when taken “in pieces”. Since many Estonian companies do not apply business analysis methods, this is also a very important area from the point of view of the entire economy, considering the future. ## How to start with business analysis in a company? As mentioned earlier, analysis is not so scary when taken apart. When you get to know it more closely, it is impossible to notice the advantages from the company's point of view. Since the entire topic of business analysis cannot be summarized in one post, we will focus on such a part of [effective financial analysis](/?p=4610) as **key performance indicators**. Surely you have happened to read the abbreviation KPI here and there and wondered what else it is? These are the same key performance indicators (_key performance indicator_), which are characterized by the following aspects, for example: - they are **aimed at improving the company's future indicators** – using them, it is possible to set certain goals for the company and then monitor their fulfillment; - just as important as setting goals is **tracking progress** – this way, it is possible to monitor how the company is doing in achieving its goals and adjust the goals; - **precisely set goals** work best – it is important to ensure that the key performance indicators being monitored are specific and meet the needs exactly. ## How to move forward from goal setting? Having set goals for the company and set metrics, after some time, what has been done must be analyzed with **key performance indicators**. In the classic scheme, goal setting and activities are followed by comparing the results with the set goals and adjusting the activities based on this. In other words, it is like a vicious circle of subsequent stages – goal setting, activities, analysis of results, new activities, new analysis, etc. After completing such simple tasks, you can be sure that your company's activities are also based on business analysis. However, this was only a brief introduction, and in the future it will be possible to provide an overview of **performance and activity metrics**. ## Business analysis is the basis of successful entrepreneurship It is impossible to underestimate the importance of analyzing your company's business activities and **hopefully all entrepreneurs here will be doing it in the near future**. However, if you would like someone to advise or assist you on this topic, [contact](https://grow.ee/wp-content/uploads/wp-mfa-exports/page/kontakt.md) the accounting office Grow. The **goal of all our activities is to increase the success of the company**. By ordering consulting or accounting services from us, you will also receive [monthly financial analysis](https://grow.ee/services/arianaluutika/), which provides a quick and thorough overview of what is happening in the company. Contact us and we will implement key performance indicators for the benefit of your company too!