All business owners have a goal they want to reach or a desire they want to fulfill. They may want to improve sales, stay ahead of the competition, or be recognized globally. But no matter what they want to accomplish, they need to track their progress with data and metrics.

Similarly, project managers can use key performance indicators (KPIs) to improve their skills and lead their teams towards success. However, not all KPIs are suitable for project managers.

8 Project KPIs and Metrics Project Managers Should Track

According to all Business, tracking metrics can lead to reduced stress, improved performance, and proactive problem-solving.

Here are the 8 KPIs project managers should monitor closely.

1. Cost Performance Index (CPI)

Project managers have to hand over client deliverables on time while maintaining a budget. The cost performance index (CPI) metric tracks how well you use project funds by dividing earned value (how much of the project has been completed at the specified cost) by actual costs.

2. Customer Satisfaction (CSAT)

The customer satisfaction (CSAT) metric assesses how happy a client or customer is with your product or service. You can track CSAT by choosing a product analytics tool that monitors user interactions and user experience, or you can use surveys to ask opinion-related questions.

3. Net Promoter Score (NPS)

Net promoter score (NPS) is another project-specific KPI that evaluates how long your client relationships may last. In other words, it examines brand loyalty. Anything lower than a 6 out of 10 score is negative, whereas a 7 or 8 shows your customers are passive. Aim for a 9 or 10.

4. Schedule Performance Index (SPI)

The schedule performance index (SPI) KPI is similar to CPI, except it tracks how well you’re sticking to your project’s schedule. You’ll divide earned value by planned value to determine if you need to speed up or maintain your pace. SPI will also help you shift your project priorities.

5. Return on Investment (ROI)

Return on investment (ROI) is one of the most important metrics because it calculates how much money you’ve earned minus the cost of investment. By monitoring ROI throughout the project, you can quantify its value and evaluate how much profit you’re going to secure.

6. Employee Churn Rate

Replacing an employee is more expensive than maintaining one, meaning your employee churn rate could add extra, often invisible costs to your project. If you have a high employee turnover rate, there’s likely a culprit. Anonymous surveys can give you an idea of why people are leaving.

7. Project Budget Variance

Time, scope, and cost are the big three project constraints that often disrupt your ability to finish projects. It’s vital to know how much you’ll have to spend before you begin a project, so you can prevent overspending. Budget variance can determine how far your budget is from the baseline.

8. Project Resource Capacity

Anything or anyone you use to complete a project is considered a resource. However, project resource capacity refers to the number of people working on a project via a percentage. This allows project managers to allocate resources and prevent overwork or missed deadlines.