Performance Measurement Systems Overview

A process of measuring how efficient and effective past actions were, using data.

Obstacles that prevent a good performance measurement system from being established.

Senior management not prioritizing performance measurement.

Lack of defined roles for implementing or improving the performance measurement system.

Problems related to time, staff, technology, and integrated systems for performance measurement.

The first step in performance measurement, defining the clear objectives the system aims to achieve.

Gathering and analyzing data to track how well the defined goals are being met using a specific framework.

Analyzing the collected data to identify areas of strength and weakness, leading to the selection of appropriate solutions.

Implementing the chosen solutions to address the identified weaknesses and improve performance.

The four key stages are goal-setting, performance measurement, performance diagnosis, and corrective action.

The breakdown of how customers are referred to a website, e.g., through paid search, display ads, or social media.

The percentage of referrals or sales generated by each referral source, showing which sources are most effective.

The cost incurred to acquire a new customer through a specific referral source.

The cost incurred to generate a sale through a specific referral source.

Measuring the influence of a referral source on a conversion, considering both the final click that led to the sale and the earlier interactions that contributed to the customer's decision.

Examines the popularity of clicks that occur after a specific page, revealing what users do next.

Identifies the most common sequence of pages leading to a specific target page, like a checkout page.

Forward path analysis looks at subsequent clicks after a specific page, while reverse path analysis investigates the pages visited before a specific page.

A visual representation of the steps a customer takes to interact with a business, encompassing both forward and reverse paths.

Forward path analysis helps identify popular next steps, while reverse path analysis reveals pathways leading to specific actions, aiding in understanding user motivations and improving website navigation and conversion processes.