Profit per project

Definition

A strategic KPI that focuses service-based companies on achieving the maximum profit per project they work on. This KPI is not improved by selling more projects, but instead it focuses the company to evaluate and carefully select each project it works to provide a direct profit. Thus, loss-leader projects should not be undertaken with the hope of later profit. Another way to improve this KPI is to undertake similar projects, to find leverage and re-use with other projects.

Formula

Tags

profit