A Key Performance Indicator (KPI) is a type of performance measurement that is a measurable value. A KPI evaluates how effectively a company or organisation executes its strategic vision and achieves key business objectives. A KPI shows the progress toward realising the organisation’s objectives or strategic plans by monitoring activities.

Reference Definition by Wikipedia: A performance indicator or key performance indicator (KPI) is a type of performance measurement. KPIs evaluate the success of an organization or of a particular activity in which it engages. Often success is simply the repeated, periodic achievement of some levels of operational goal. (e.g., zero defects, 10/10 customer satisfaction, etc.)

Related Definitions in the Project: The Project Management