What are key performance indicators (KPIs) used for in project management?

Key performance indicators (KPIs) are vital tools in project management specifically designed to measure project success or performance. They provide quantifiable metrics that help assess how well a project is progressing towards its objectives. By using KPIs, project managers can evaluate factors such as time adherence, budget compliance, quality of deliverables, and stakeholder satisfaction.

The importance of KPIs lies in their ability to give a clear and objective view of the project's health. For instance, if a KPI indicates that a project is falling behind schedule, the project manager can take corrective actions to realign the project with its timeline. This proactive approach is essential in ensuring that projects are completed successfully and meet the defined goals.

Using KPIs to measure project success aligns with the overall objectives of project management, which include ensuring that projects are delivered on time, within scope, and within budget while satisfying stakeholder requirements. Thus, KPIs serve as a foundational element for evaluating performance and guiding decision-making throughout the project lifecycle.