Key Performance Indicators 
Definition
The Key Performance Indicators substructure allows you to measure, analyze and improve the value added process and business performance in your enterprise. Together with the Performance Management Group (PMG), SAP has defined approximately 500 KPIs in the SAP Reference Structure. These represent all the business processes relevant for your enterprise. KPIs allow you to compare data from your enterprise with industry benchmarks and then define new goals for the value added. This substructure helps you to optimize your processes by combining key data from your KPIs with information on how particular business processes affect these KPIs. After your system has gone live, you can use measure whether you have achieved the goals you set in your KPIs.
Use
In the KPI substructure, you can:
- Set structure items in scope
- Set the order of structure items
Assign owners to structure items
Add your own KPI substructures,
add new nodes and
copy KPIs to the new nodes.
You can assign other items to structure items at structure level three and above. You can access these items on the Business Analysis and Information tabs.
- On the Business Analysis tab, you can:
Word template at the lowest structure level. Some sections of this template have already been filled out by SAP. These sections provide you with information, tips and guidelines on KPIs. The empty sections in the template allow you to gather information specific to your enterprise and set enterprise goals. Templates for the most significant KPIs include the Measure Driver Tree, which clearly sets out the factors that have a decisive influence on each KPI. The MDT must be adapted to meet the project requirements of the specific enterprise.
Access the Value Driver Tree at the third structure level to view the interaction of all KPIs in the corresponding group
- The Information tab displays all the processes at the lowest structure level that influence the KPI and that are assigned to the KPI (see
Displaying and Changing the Assignment of KPIs to Processes).
Structure
The KPI substructure is made up of the following areas:
- Enterprise
Here you can find KPIs for structure items in Profitability, Liquidity, Costs, Capital Turnover and Capital Structure. KPIs can be found at level four in the reference structure.
- Operations
Here you can find KPIs at structure level four for Customer Market Focus, R&D Engineering, Plan, Source, Make and Deliver. KPIs can be found at level four in the reference structure.
- Human Resources
, Social Environment and Health & Safety