Metrics are the measures or factors of quantitative assessment used to record, compare and track the performance of a product, service, department or even a person. Metrics are predefined by the assessor or the auditor before they start recording the data for evaluation at the end of a particular assessment period. Every company or organisation has some metrics which are common to the industry (such as target achievement for the sales team) and some metrics which they need to reach to a particular conclusion or to solve a problem. Lets talk with examples.
For the sales team, some fundamental metrics can be total revenue, year-over-year growth, average revenue per sales agent, market penetration, revenue from old vs new accounts, lifetime value of a customer etc. For the customer service department, basic metrics can be net promoter score, customer service satisfaction, customer churn rate, customer effort score etc. If we are talking about call centers, important metrics will be first response time, first call resolution, peak hour traffic, cost per call, average call duration, average call abandonment rate etc. Metrics can vary from company to company, department to department but end of the day, everyone has some predefined metrics for performance assessment.