IT KPIs for SMEs
Several are shared KPIs that the IT Head shares with the Ops Head, HR Head, Sales Head, and Finance Head.
IT Costs as Percentage of Revenue
IT cost as a percentage of revenue is one of the most common measures of the efficiency of IT operations.
Total spend on IT (comprising hardware, software, hardware and networking costs, including outsourcing costs) as a percentage of annual revenues (sales).
IT Project Cost Variance
IT project cost variance is an indicator of the extent to which projects are delivered within budget.
Project Cost Variance (PCV) = SPC - APC
SPC is the Scheduled Project Costs, &
APC is the Actual Project Costs
IT Project Schedule Variance
IT project schedule variance is a measure of the extent to which projects are delivered on schedule.
Project Schedule Variance = SCT - ACT
ACT is the Actual Completion Time, &
SCT is the Scheduled Completion Time
IT Project Earned Value
IT project earned value (IT EV) measures the extent to which projects are making the desired progress.
It allows companies to understand how much work has been completed as well as the costs of the work, both in relation to the project expectations.
EV = % complete x BCWP
BCWP is the Budgeted Cost of Work Performed = the total budgeted costs for labour and resources for the project.
Performance Level = (ACWS / EV) x 100
ACWS is the Actual Cost of Work Scheduled or the total amount in labour and resources that has been spent on the project to date.
Number of IT Security Breaches
Number of IT security breaches is an indicator that will give companies a feel of how vulnerable they are to cyber-attacks and how secure their information infrastructure is. The formula for number of security attacks is a straight forward adding up of all incidences in a given time period.
Help Desk First Call Resolution
Help Desk First Call Resolution (HD FCR) is a measure of the effectiveness of the IT help desk
FCR Call Statistics = (Total number of queries) / (Total number of calls) x 100
Agent Logs FCR Call Statistics = (Number of resolved incidents closed on the first contact) / (total number of incidents) x 100
Internal IT Service Satisfaction Score
Internal Service Satisfaction Score measures the level of satisfaction with the IT services provided. Satisfactions should be measured against the range of solutions and services delivered by the IT function such as:
1) Satisfaction with the IT functions business partnering capabilities,
2) Satisfaction with support processes and other support initiatives such as awareness and training,
3) Satisfaction with IT infrastructure services, &
4) Satisfaction with IT applications solutions.
System Downtime measures the extent to which IT systems are available when they are needed.
System Downtime = Planned Operating Time in time period t - Actual Operating Time in time period
Website Non-Availability measures the time that a website is not available. Downtime is calculated for individual URLs but multi-step processes such as shopping with card payment or user registrations can be identified as 'non-available' if one of the steps is not functioning.
Software can automatically verify the server status, download the full HTML content and measure the response time of the specified website.
IT Maintenance Ratio
IT maintenance ratio provides an insight into how much money as a percentage of the IT budget is devoted to maintenance (as opposed to e.g. development).
IT Maintenance Ratio = IT budget / costs devoted to 'maintenance'
Incident Resolution Index
Incident Resolution Index measures the incidents that are resolved within the Service Level Agreement. Incidents can refer to infrastructure incidents or incidents with applications. Both can be measured and reported separately.
Incident Resolution Index = Incidents resolved within SLA / Total Incidents
Average age of IT Infrastructure
Average age of IT infrastructure measures the average age of the IT infrastructure in place. Old or aging IT infrastructure can indicate upcoming upgrade costs or potential issues with IT performance.
Average age of Software
Average age of software measures the average age of the software in use. Old or aging software applications can indicate upcoming upgrade bills or potential issues with software performance and compatibility.