KPI Definitions
A shared set of definitions for metrics like “lead” so different teams (e.g. marketing and sales) mean the same thing when they talk about numbers.
Definition
A shared set of definitions for metrics like “lead” so different teams (e.g. marketing and sales) mean the same thing when they talk about numbers.
More context
KPI Definitions is a lightweight contract that prevents cross-functional confusion. It defines what each metric means, where it is sourced from, and who owns it—so reporting and prioritization stay aligned.
Why it matters
If teams use different definitions, you can hit targets without moving the business. Definitions make performance discussable and actionable.
How to use it
Write definitions for key metrics (lead, qualified lead, demo, closed-won, etc.), align across functions, and revisit when processes change.
Common pitfalls
Definitions living in people’s heads, or changing definitions silently to “improve” numbers.
Related terms
- Conversion — A defined action that indicates progress (e.g. lead, signup, purchase). Conversions must have consistent definitions across teams to avoid confusion.
- Owner — The accountable person for a metric, area, task, or experiment. Clear ownership prevents work from stalling.
- Pipeline Tracking — A shared view of the sales pipeline used to analyze pipeline efficiency and connect marketing and sales performance.
- CRM — Customer relationship management system. Often the source of truth for leads and conversions (and useful for “combined conversions”).