Discover the various key performance indicators used for measuring employee performance in the company.

Top employee kpi examples and explanations

Employee performance is crucial for the success of any business. However, a measure should be put in place to indicate whether the employees are performing as required in the achievement of company goals. This is in the form of employee key performance indicators.


Employees should have set goals depending on their roles and the goals of the company. To measure the achievement of these goals, key performance indicators should be put in place. These are the same indicators that can be used when rewarding employees. They include:

Customer satisfaction

The indicator checks how an employee provides customer service. The indicator can be measured using customer satisfaction scores, resolved customer issues or percentage of repeat purchase by customers.

Production rates or output levels

The indicator measures the units produced by an employee. In most cases, a particular target is set. Good performance is when an employee meets or exceeds the set target. A poor performer does not meet the target.

Technology use

The indicator measures the employees’ ability to use technology. With the growing use of technology in the organizations, employees are required to be on the know-how so that they can effectively perform their duties.

Sales volumes

The volume of an employee can be used as an indicator of performance. High sales levels can mean high performance while low sales can mean underperformance.

Product defects percentage

The product defect percentage measures the ratio of defective products in comparison to the total products produced. The lower the number, the better the employee’s performance.

Lead conversion rate

The indicator measures the rate at which leads are converted to sales. A high rate means high performance while a low rate is an indication of low performance. The indicator is related to closing ratio, which measures the ratio of leads that have been closed.

Product quality

Product quality is an essential kpi for employees involved in the production. It measures the quality of a product based on a set quality standard. The better the quality, the higher the employee performance.

Time to complete tasks

The indicator measures the time it takes an employee to perform a particular task. An employee who takes a short time to complete a task can be considered to have high performance than the one who takes longer assuming the quality of output being the same.

Customer referralss

A high number of customer referralss can be an indicator of good customer service. If there are few referralss, it could mean that customers are dissatisfied with the service, which also means that employees are not performing as required.