A financial KPI measures the success of business activity. This could be anything from the number of sales closed per day to the percentage of products returned by customers. Financial KPIs measure an organization’s overall performance and progress toward specific goals. Identifying and tracking these metrics is an essential part of effective financial planning. It can inform decisions about where to allocate resources to improve profitability and sustainability. These goals can be related to profitability, growth, and other key areas. KPIs can be tailored to individual organizations.
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