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Performance indicators trap

1) Individual performance indicators are not aligned with organizational goals.

2)Excessive emphasis on individual competition.

3)Performance indicators are implemented within a weak internal control system.

4)Performance indicator targets are set too broadly.

"Should we then abandon key performance indicators?

Key performance indicators (KPIs) are one of the most important management tools for improving productivity and raising efficiency, and should not be categorically abandoned. However, they should not be treated as a to-do list to meet organizational requirements or consultancy recommendations if the organization does not understand the indicators' impact on its results. If the above points are not taken into account, this could lead the organization into a trap that results in catastrophic adverse outcomes.In summary: without careful selection and continuous management of KPIs, and in the presence of a weak internal control system, the organization has most likely already fallen into the trap."