When we work with our clients to improve their business performance, the foremost thing we do is ask them to set their KPIs. KPI stands for Key Performance Indicators, which is nothing but a key health parameter to measure if the company is healthy or average or is already sick. It is similar to how blood pressure, heart rate, BMI, glucose levels are an important health indicator of a person’s physical health.


Listing the KPIs and measuring them regularly helps a company achieve its overall vision and also stay ahead of competition. While there are many KPIs the organisation can set depending on its business segment, here are the top KPIs we recommend for the business management of any manufacturing company. Management should set a target for each of these KPIs and measure the actuals frequently to ensure the KPIs are achieved.

For ease of context, we have grouped these by the individual functions


Sales Related KPIs

  1. Actual Sales vs Target
  2. On-time delivery %
  3. Customer rejection %
  4. Cycle time from order to delivery
  5. Average collection time (in days)
  6. New customers acquired
  7. Win-loss ratio



  1. Cycle time (in days) from indent to receipt of goods
  2. RM QC rejection %
  3. Average payment time (in days)


Production related KPIs

  1. Machine/Labour utilization %
  2. Machine/Labour efficiency %
  3. On-time production %
  4. QC rejection %
  5. Wastage %



  1. Average inventory in days


After Sales Service KPIs

  1. Average resolution time
  2. Number of complaints


Finance Related KPIs

  1. Gross Margin %
  2. Net operating margin %
  3. Return on Equity
  4. Debt-equity ratio
  5. Working capital to turnover ratio
  6. Current and quick ratio
  7. Interest coverage

We strongly believe that KPI’s and data visualization share a crucial bond which may affect insights of your business. To get the actual power of your data, there’s a need to understand this bond at core. As an entrepreneur you need a system where all the KPI’s are present on a unified screen and a dashboard which provides access to information providing you right visualization of your data.

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