This research investigates the role of key performance indicators (KPIs) in measuring business performance. Objectives are: (1) to identify the most effective KPIs for different business functions, (2) to analyze the impact of KPIs on strategic decision-making, and (3) to assess how KPIs drive business performance improvements. A survey design is chosen for its ability to collect data from a large number of respondents. Using Taro Yamane's formula, the sample size is 330, ensuring comprehensive data collection. The study focuses on the financial services sector in Lagos, Nigeria, where precise performance measurement is crucial. The reliability coefficient score is 0.86, indicating high consistency. Findings show that well-defined KPIs are critical for monitoring and enhancing business performance, facilitating strategic decisions, and promoting continuous improvement. Recommendations include developing tailored KPIs for different departments and ensuring regular reviews to maintain their relevance and effectiveness.
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