When identifying KPIs for a particular operation, the acronym SMART is often used. That is, in order to be suitable for setting benchmarks for performance, a KPI must be:
KPIs generally reflect long-term goals. The way they are defined and the methods used to measure them should not change once they have been set, unless the objectives of the business change. This is because the on-going performance of the business needs to be measured against a fixed set of benchmarks in order to gauge its progress towards those goals.