Creating KPIs that drive behavior

The KPIs you choose don't just measure performance. They actively shape what your team prioritizes. Selecting the right metrics is one of the most powerful ways to influence behavior across your organization without constant management oversight.

Effective KPIs create a clear link between daily work and business success. For example, a customer support team tracking first-contact resolution rate understands that solving problems in one interaction is valued over quick but incomplete responses. This clarity helps team members make better decisions independently because they know what success looks like.

Be careful about unintended consequences when designing KPIs. If you measure only speed, quality might suffer. If you track only quantity, value may decline. For each KPI you create, ask yourself "How could someone game this metric?" Then add complementary metrics, also called as check, cheat, or health metrics, to prevent optimization of one measure at the expense of the others.