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QAD Inc.

Key Performance Indicators


Key Performance Indicators


Companies typically have a well-defined set of strategic goals that they strive to achieve. The successful achievement of these goals relies on the effective performance of many processes within their business. Both the complexity and interdependence of these business processes makes it challenging to know precisely where opportunities for improvement may exist, unless you are measuring the process effectively. Hence, to improve business processes, it is critical that you define the correct metrics.

To assist customers in measuring the efficiency of their business processes, QAD has developed a suite of performance indicators, which we call: "QAD Effective Enterprise Key Performance Indicators (KPIs)". QAD Effective Enterprise KPIs focuses on the main areas of performance that manufacturers need to measure to ensure their businesses are working at peak efficiency. There are many different models used to define KPIs within a business (e.g. Dupont Model, Balanced Scorecard, etc.), all of which are valid ways of measuring different process elements. With QAD Effective Enterprise KPIs, QAD provides a single suite of indicators, which may leverage elements from many existing metrics you currently measure.

QAD Effective Enterprise KPIs consists of 10 high-level KPIs. Each high-level KPI is a summarized composite measure from comprehensive sets of underlying metrics, or secondary metrics. Lower-level business processes and practices affect each of these secondary metrics.

For each of the underlying business processes, QAD has defined best practices that support them. We have mapped these best practices to the QAD functionality that supports them within QAD Enterprise Applications.