Can KPI targets be unrealistic?

To know the achievability of a target, we need to move towards it.

In the beginning we expect larger target to be achievable, such as a 20% increase in sales.

These are usually due to bad conversion optimization from the start.

Over time, we expect the percentage increase to be smaller.

However the volume is larger so the increases all net a good profit.

If you have an experienced team, you can ask them what target to set.

Then set it in the upper high end of what they expect.

Setting a target too low or unrealistically high causes loss of motivation from the team.

We want the target to feel achievable if you work hard.

To ensure that creativity is encouraged to reach the target.

Remember, setting KPI targets is best suited when the team owns their part of the product.

– Samy