What are the measures of how well a company is operating called?

The measures of how well a company is operating are referred to as Key Performance Indicators (KPIs). KPIs are specific and quantifiable metrics that an organization uses to evaluate its success in achieving key business objectives. They provide targeted insights that help companies understand their performance in crucial areas, enabling decision-makers to assess progress and make informed strategic adjustments.

KPIs are particularly effective because they can be aligned with a company's strategic goals, such as increasing revenue, improving customer satisfaction, or reducing costs. They offer a clear framework to monitor performance over time, which is essential for continuous improvement and resource optimization.

Other terms related to operational performance, like operational metrics or performance indicators, may also address how a business measures its effectiveness. However, KPIs are more structured and specific to the company's strategic objectives, making them the most appropriate term for the measures of operational performance in this context. Efficiency ratios, while relevant in some contexts, refer more specifically to financial measurements rather than the broader scope represented by KPIs.