What are the top KPIs for IT for the next 3 years?

22.4k views40 Upvotes47 Comments

CTO in Software, 11 - 50 employees
I think it should be a lot more elastic. Businesses are changing rapidly and what’s important to measure and improve today is likely not important or measurable next year. Long-term KPIs have the danger of being rear-facing rather than forward-facing or predicting. CIOs need to collaborate with their C-Suite peers to drive business KPIs and metrics that matter to them to move the business forward and increase revenue.
14 1 Reply
SVP CIO in Telecommunication, 5,001 - 10,000 employees

Operational KPIs are important and relatively consistent and will vary by industry and strategy company to company. Some companies care about ARPU (avg rev per user) others MAU (monthly active users) yet others have measures based on efficiency, yield, etc.

I agree with Mike on TECH KPIs. Well crafted KPIs are about driving focus on things that need change/transformation/improvement. These things will change over time (because hopefully the things you focus on fixing this year get fixed and become operational next year). Well constructed KPIs can create an atmosphere of learning, accountability and can ensure the organization has broad awareness of information important to your success.


Operational KPIs are for things that are mature and you want to track to ensure they stay that way and you should mostly be on trend and be looking for exceptions.

Transformational KPIs are for things that are immature and you want focus on to ensure they get fixed and they should be messy and not consistent and you'll need to be able to drill down regularly to understand and correct the things that are off.

CIO in Education, 1,001 - 5,000 employees
Mine are - 1. Customer Satisfaction, 2. Team Engagement, 3. Successful delivery of strategic initiatives
Advisor, IT Digital Tranformation in Services (non-Government), 10,001+ employees
In our company the TOP 3 KPIs will be: % of Cost Reduction in IT Function, SLA accomplishments and # of projects related to Innovation
4 1 Reply
Assistant Director IT Auditor in Education, 10,001+ employees

It is a very difficult task to reduce IT costs. You have to be disciplined and implement a structure and processes that are very efficient. One company I worked for, the CIO shut down DR for 18 months and reduced IT costs, but ended up paying for it in future years.

VP of Product Management, 10,001+ employees
The top KPIs for IT should be Operational Efficiency, Incremental Revenue Generation support for the organization, Customer Experience Transformation. The key initiatives being planned should aligned to these broad KPIs. There could be further metrics that could align to KPIs that could be tracked and measured to qualify against the goals.

In many cases, IT fails to comprehend the organization pulse and pursues an agenda that is aligned to its interest. However, there needs to be congruence of everyone interest to ensure organizational goals are met.
India Administrative Fellowship in Software, 5,001 - 10,000 employees
Interesting to see all the replies. Mine are 1.Capacity created by process automation, 2 number of incidents auto resolved with no human intervention and 3. License consumption and optimization
Director of Technology and Library Services in Education, 201 - 500 employees
For me, it's: 1) decreasing hardware issues, increasing, 2) decreasing time to resolve issues, 3) increasing the number of knowledgebase articles
CEO in Services (non-Government), 201 - 500 employees
Digital Transformation
Digital Optimization
Optimal Customer Experience
CDO in Services (non-Government), 51 - 200 employees
To misuse a different piece of advice: Begin with the end in mind.

Think about what you’re trying to achieve (“I want to reduce the time it takes for us to respond to cyber threats”, “we need to be able to better understand what our customers want from our products”, “we need to reduce the costs for our data storage”) and tell your story to the board using that frame.

These leaders are most interested in outcomes, rarely interested in the technical details of how you achieve them. But if you can’t explain why you want to go somewhere, it will be difficult for your fellow travelers on the board to sponsor the trip.
CEO in Services (non-Government), Self-employed
Digital Transformation Metrics
1.Time to Decision - faster time to decision= faster time to value;

2.Time to Value:  delivering more customer value, faster, at lower cost;

3.IRR - the value of digitalisation
Director of IT in Healthcare and Biotech, 10,001+ employees
KPIs can be broadly categorized into two groups.

First group, Activity Based KPIs, that measure the activities completed or as an extension, activities completed against some quality standards. For an IT Support organization, number of tickets closed and number of tickets closed within the SLA would be an example of this category of KPIs. Similarly, for an IT Delivery organization, number of project/changes delivered and projects delivered on-time, under budget would be a typical Activity Based KPI.

The other category of KPIs. Outcome Based KPIs, could be more focused on the outcomes of those activities from business perspective, rather than the activities themselves. These KPIs indicate the actual impact on the business to measure the performance of IT. Customer Satisfaction score, Customer Retention, Cost Reduction, Net New Revenue Generation, could be some examples of KPIs in this category.

First category of KPIs is relatively easy to measure as those measurements are directly tied to specific activities/tasks that can be directly reported on. In the second category, the problem of measurement is twofold. First, for some of these indicators, like cost reduction percentage, the data collection could be challenging or for some, like customer satisfaction rating, the data may not be very reliable. The second problem for this category is establishing some type of causal relationship between the indicator and IT action could be very challenging.

While there are limitations with Outcome Based KPIs, in my opinion, the future of IT performance will be measured using these KPIs. In today’s competitive world, business is expecting IT activities to be directly tied to business outcome to justify IT investment. In addition, as automation using RPA or self-service using chatbots become more robust and popular, traditional Activity Based KPIs may not be as significant as they used to be in past.

So the question to be answered here is not only what are the KPIs for future IT organizations, but also how those KPIs will be tied to specific IT activities and initiatives.

Content you might like

Talent Retention33%

Talent Attraction48%

Upskilling talent to do more with less12%

Efficient Operations / Better Customer Service Delivery6%

Other – please specify0%


671 views1 Upvote

Yes, business is a stakeholder in society and should take a public position62%

No, it is not the role of business to take a position on social challenges32%

Not sure6%



CTO in Software, 201 - 500 employees
Without a doubt - Technical Debt! It's a ball and chain that creates an ever increasing drag on any organization, stifles innovation, and prevents transformation.
Read More Comments
41k views131 Upvotes319 Comments

Founder, Self-employed
Work travel is a privilege. Embracing your experience to meet new people, and see the beauty of nature and culture wherever you go.
Read More Comments
67.2k views69 Upvotes39 Comments