{"id":999969108,"date":"2024-06-18T16:54:02","date_gmt":"2024-06-18T09:54:02","guid":{"rendered":"https:\/\/bizzi.vn\/?p=999969108"},"modified":"2026-06-09T13:39:51","modified_gmt":"2026-06-09T06:39:51","slug":"key-kpis-for-finance-department","status":"publish","type":"post","link":"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/","title":{"rendered":"Key KPIs and metrics for finance departments in 2024"},"content":{"rendered":"<div data-elementor-type=\"wp-post\" data-elementor-id=\"999969108\" class=\"elementor elementor-999969108\" data-elementor-post-type=\"post\">\n\t\t\t\t<div class=\"elementor-element elementor-element-562c55a0 e-flex e-con-boxed e-con e-parent\" data-id=\"562c55a0\" data-element_type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-6198edd3 elementor-widget elementor-widget-text-editor\" data-id=\"6198edd3\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<p style=\"text-align: justify;\">The Chief Financial Officer (CFO) is assigned the difficult responsibility of managing the company&#039;s finances. But their job goes beyond ensuring happy employees and accurate month-end reports; it&#039;s also about understanding how to use the data collected to make decisions that help the business grow.<\/p><p style=\"text-align: justify;\">KPIs are a crucial part of this process. They can tell you how each department is performing and whether they need more resources or training. KPIs can also help you identify areas where your company is performing well, so you can make the most of those strengths while improving where needed.<\/p><p style=\"text-align: justify;\">So what exactly are KPIs, how do they work and how do they benefit your business financially? To help you, we&#039;ve developed an easy-to-follow guide to KPIs for Finance in 2024.<\/p><div id=\"ez-toc-container\" class=\"ez-toc-v2_0_80 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Index<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewbox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewbox=\"0 0 24 24\" version=\"1.2\" baseprofile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Chi_so_KPI_trong_tai_chinh_la_gi\" >What are KPIs in finance?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Mot_chi_so_KPI_tot_trong_tai_chinh_co_dac_diem_gi\" >What are the characteristics of a good KPI in finance?\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#1_Cu_the_Specific\" >1. Specific:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#2_Do_luong_duoc_Measurable\" >2. Measurable:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#3_Co_tinh_kha_thi_Achievable\" >3. Achievable:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#4_Thuc_te_Relevant\" >4. Reality (Relevant):<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#5_Co_thoi_han_Time-Bound\" >5. Time-Bound:<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Tai_sao_lua_chon_dung_cac_chi_so_KPI_trong_tai_chinh_lai_quan_trong\" >Why is choosing the right KPI indicators in finance important?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Cac_chi_so_KPI_cho_phong_tai_chinh_ban_nen_do_luong_nhung_gi\" >KPIs for the finance department: what should you measure?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Vi_du_ve_chi_so_KPI_cho_Giam_doc_Tai_chinh_CFO_va_Truong_phong_Tai_chinh\" >Examples of KPIs for the Chief Financial Officer (CFO) and Head of Finance<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Loi_nhuan_Rong_Net_Income\" >Net Income<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Ty_suat_Loi_nhuan_Gop_Gross_Profit_Margin\" >Gross Profit Margin<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Vong_quay_Hang_ton_kho_Inventory_Turnover_Ratio\" >Inventory Turnover Ratio<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Doanh_thu_tren_mot_Nhan_vien_Revenue_Per_Employee\" >Revenue Per Employee (Revenue Per Employee)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Ty_suat_Loi_nhuan_Profit_Margin\" >Profit Margin<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#So_Don_hang_Ban_Le_tren_mot_Nhan_vien_Sales_Orders_per_Employee\" >Sales Orders per Employee<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Ty_le_Hoan_thanh_Don_hang_Ban_theo_Dung_Han_On-time_Completion_Rate_of_Sales_Orders\" >On-time Completion Rate of Sales Orders<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Khieu_nai_cua_Khach_hang_va_Yeu_cau_Bao_hanh_Customer_Complaints_and_Warranty_Claims\" >Customer Complaints and Warranty Claims<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Tang_truong_Thi_phan_Market_Share_Growth\" >Market Share Growth<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Doanh_thu_Dinh_ky_Hang_nam_ARR_Doanh_thu_Dinh_ky_Hang_thang_MRR\" >Annual Recurring Revenue (ARR) &amp; Monthly Recurring Revenue (MRR)\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Chi_phi_Thu_hut_Khach_hang_Customer_Acquisition_Costs_Thoi_gian_Hoan_von_CAC_CAC_Payback_Period\" >Customer Acquisition Costs &amp; CAC Payback Period<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Gia_tri_Tron_doi_cua_Khach_hang_Customer_Lifetime_Value\" >Customer Lifetime Value<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Ty_le_Churn_Churn_Rate\" >Churn Rate<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-24\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Cac_vi_du_ve_chi_so_KPI_cho_phong_tai_chinh_va_nhan_vien\" >Examples of KPIs for finance and staff<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-25\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#So_ngay_trung_binh_de_thu_khoan_phai_thu_Average_Days_to_Collect_Accounts_Receivable\" >Average Days to Collect Accounts Receivable<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-26\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Vong_quay_Khoan_phai_thu_Accounts_Receivable_Turnover_Ratio\" >Accounts Receivable Turnover Ratio<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-27\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Ty_le_No_kho_doi_Bad_Debt_Percentage\" >Bad Debt Percentage<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-28\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Tai_sao_cac_chi_so_KPI_nay_quan_trong_doi_voi_Phong_Tai_Chinh\" >Why are these KPIs important to the Finance Department?<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-29\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Loi_ich_den_toan_cong_ty_cua_viec_do_luong_cac_chi_so_KPI\" >Company-wide benefits of measuring KPI indicators<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-30\" href=\"https:\/\/bizzi.vn\/en\/key-kpis-for-finance-department\/#Do_luong_cac_chi_so_KPI_cho_phong_tai_chinh_Phan_mem_quan_ly_chi_phi_co_the_giup_gi\" >Measuring KPIs for Finance: How Can Expense Management Software Help?<\/a><\/li><\/ul><\/nav><\/div>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Chi_so_KPI_trong_tai_chinh_la_gi\"><\/span>What are KPIs in finance?<span class=\"ez-toc-section-end\"><\/span><\/h2><p style=\"text-align: justify;\">KPI - Key Performance Indicator are indicators to evaluate job performance. Tracking the right financial KPIs allows you to assess the health of your business, identify areas for improvement, and make informed financial decisions.<\/p><h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Mot_chi_so_KPI_tot_trong_tai_chinh_co_dac_diem_gi\"><\/span>What are the characteristics of a good KPI in finance?\u00a0<span class=\"ez-toc-section-end\"><\/span><\/h2><p style=\"text-align: justify;\">KPIs in finance need to follow the SMART principle: Specific, Measurable, Achievable, Realistic, and Time-Bound. .<\/p><p><img fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter wp-image-999969315 size-full\" src=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-Tai-chinh-nen-dat-tieu-chi-SMART.jpg\" alt=\"Financial KPIs should meet SMART criteria\" width=\"1024\" height=\"768\" title=\"\" srcset=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-Tai-chinh-nen-dat-tieu-chi-SMART.jpg 1024w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-Tai-chinh-nen-dat-tieu-chi-SMART-300x225.jpg 300w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-Tai-chinh-nen-dat-tieu-chi-SMART-768x576.jpg 768w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-Tai-chinh-nen-dat-tieu-chi-SMART-16x12.jpg 16w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"1_Cu_the_Specific\"><\/span>1. Specific:<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">Each KPI should target a specific area of financial performance to accurately drive and measure success.<\/p><p style=\"text-align: justify;\">For example, if you want to test how effectively debt is managed, you can use the \u201cdebt-to-equity ratio\u201d. This measure helps you look at the balance between the amount borrowed and the amount invested in the company.<\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"2_Do_luong_duoc_Measurable\"><\/span>2. Measurable:<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">KPIs in finance require quantitative evidence of what is being achieved.<\/p><p style=\"text-align: justify;\">For example, \u201coperating cash flow\u201d measures the cash your company earns from normal business activities. It&#039;s like checking your wallet to see how much you&#039;ve earned after a day&#039;s work. By setting a goal, such as using this cash flow to reduce corporate debt 15%, you turn this metric into a specific and measurable tool.<\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"3_Co_tinh_kha_thi_Achievable\"><\/span>3. Achievable:<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">Your KPI goals need to be realistic and feasible within the time and resources available.<\/p><p style=\"text-align: justify;\">For example: Reducing the company&#039;s operating costs (such as electricity or supplies) by 10% over the next three months is a realistic goal. This goal is challenging but completely doable with a good plan.<\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"4_Thuc_te_Relevant\"><\/span>4. Reality (Relevant):<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">Your financial KPIs should be directly tied to strategic business goals.<\/p><p style=\"text-align: justify;\">For example: If the goal is to make more profit, then it makes sense to focus on \u201cgross margin.\u201d This measure involves earning more than it costs to produce your product or service.<\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"5_Co_thoi_han_Time-Bound\"><\/span>5. Time-Bound:<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">Financial KPIs should include a specific timeline to achieve the goal.<\/p><p style=\"text-align: justify;\">For example, setting a goal of reducing overdue invoices by 10% within 12 months provides a clear, time-bound goal. It&#039;s like setting a finish line for a race.<\/p><h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Tai_sao_lua_chon_dung_cac_chi_so_KPI_trong_tai_chinh_lai_quan_trong\"><\/span>Why is choosing the right KPI indicators in finance important?<span class=\"ez-toc-section-end\"><\/span><\/h2><p style=\"text-align: justify;\">For finance teams, choosing the right KPIs will help everyone clearly understand their goals and performance. It&#039;s like setting clear, realistic and relevant goals with specific deadlines, helping the entire team focus and work toward a common goal.<\/p><p style=\"text-align: justify;\">Each business will have its own appropriate KPIs. This depends on your goals, industry, and what your company wants to achieve.<\/p><p style=\"text-align: justify;\">For example, if you are running a SaaS (Software-as-a-Service) software business, focusing on ARR (Annual Recurring Revenue), MRR (Annual Recurring Revenue) months) and the service cancellation rate will be more reasonable. On the other hand, if you are operating in the retail sector, inventory turnover and gross profit margin may be more relevant. We will dive into the details of these KPIs later in the article.<\/p><p style=\"text-align: justify;\"><img decoding=\"async\" src=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/05\/Mot-chi-so-KPI-tot-trong-tai-chinh-co-dac-diem.jpeg\" alt=\"What are the characteristics of a good KPI in finance?\" width=\"2560\" height=\"1707\" title=\"\"><\/p><h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Cac_chi_so_KPI_cho_phong_tai_chinh_ban_nen_do_luong_nhung_gi\"><\/span>KPIs for the finance department: what should you measure?<span class=\"ez-toc-section-end\"><\/span><\/h2><p style=\"text-align: justify;\">The answer to this question depends on your industry and company goals.<\/p><p style=\"text-align: justify;\">For example, if you work in the Finance department of an e-commerce company that sells products online, you might want to measure revenue per customer or customer lifetime value.<\/p><p style=\"text-align: justify;\">If you work for a manufacturing company, you may want to track inventory levels and order fulfillment times.<\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Vi_du_ve_chi_so_KPI_cho_Giam_doc_Tai_chinh_CFO_va_Truong_phong_Tai_chinh\"><\/span>Examples of KPIs for the Chief Financial Officer (CFO) and Head of Finance<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">As a Head of Finance, determining which KPIs to track can feel overwhelming. This is especially true because each business is unique. Whether you&#039;re at a SaaS startup or a traditional manufacturing company, the KPIs you need can look quite different.<\/p><p style=\"text-align: justify;\">The goal is to focus on KPIs that give you the clearest picture of how your business is doing and where you can improve. Whether you&#039;re aiming for growth, efficiency, customer satisfaction, or all of the above, the right KPIs can light your way.<\/p><p style=\"text-align: justify;\">As mentioned, below are some important KPIs for Chief Financial Officers (CFOs) and Heads of Finance, pay attention to choosing KPIs that truly match the goals and operating style of the business. Friend.<\/p><figure id=\"attachment_999969317\" aria-describedby=\"caption-attachment-999969317\" style=\"width: 1024px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" class=\"wp-image-999969317 size-full\" src=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-Giam-doc-Tai-chinh-CFO-va-Truong-phong-Tai-chinh.jpg\" alt=\"Examples of KPIs for the Chief Financial Officer (CFO) and Head of Finance\" width=\"1024\" height=\"768\" title=\"\" srcset=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-Giam-doc-Tai-chinh-CFO-va-Truong-phong-Tai-chinh.jpg 1024w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-Giam-doc-Tai-chinh-CFO-va-Truong-phong-Tai-chinh-300x225.jpg 300w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-Giam-doc-Tai-chinh-CFO-va-Truong-phong-Tai-chinh-768x576.jpg 768w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-Giam-doc-Tai-chinh-CFO-va-Truong-phong-Tai-chinh-16x12.jpg 16w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><figcaption id=\"caption-attachment-999969317\" class=\"wp-caption-text\">Examples of KPIs for the Chief Financial Officer (CFO) and Head of Finance<\/figcaption><\/figure><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Loi_nhuan_Rong_Net_Income\"><\/span>Net Income<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">Your company&#039;s total income, after all expenses have been subtracted from revenue, provides a clear picture of profits. If you&#039;re interested in tracking your core finances, track this KPI.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Ty_suat_Loi_nhuan_Gop_Gross_Profit_Margin\"><\/span>Gross Profit Margin<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">Shows how much money you have left over from sales after covering the costs of making the product or providing the service. This is a good measure of how effectively you are using your resources to generate profits.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Vong_quay_Hang_ton_kho_Inventory_Turnover_Ratio\"><\/span>Inventory Turnover Ratio<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">For businesses that sell physical products, this is a measure of how quickly your inventory is sold. It is essential to manage inventory levels and understand product circulation levels.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Doanh_thu_tren_mot_Nhan_vien_Revenue_Per_Employee\"><\/span>Revenue Per Employee (Revenue Per Employee)<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">This measure shows how much revenue each employee brings in. It helps you understand whether the team is operating efficiently or if there is room to increase productivity.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Ty_suat_Loi_nhuan_Profit_Margin\"><\/span>Profit Margin<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">The profit margin KPI shows how much money a company retains as profit after covering all costs. This is a clear indication of the company&#039;s financial health and its earnings performance.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"So_Don_hang_Ban_Le_tren_mot_Nhan_vien_Sales_Orders_per_Employee\"><\/span>Sales Orders per Employee<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">Show how much revenue each member of your sales team generates. This is a useful way to evaluate the productivity and efficiency of your sales force.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Ty_le_Hoan_thanh_Don_hang_Ban_theo_Dung_Han_On-time_Completion_Rate_of_Sales_Orders\"><\/span>On-time Completion Rate of Sales Orders<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">This KPI measures how reliable you are in delivering on time. It is important for customer satisfaction and can help you detect problems in the supply chain or manufacturing process.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Khieu_nai_cua_Khach_hang_va_Yeu_cau_Bao_hanh_Customer_Complaints_and_Warranty_Claims\"><\/span>Customer Complaints and Warranty Claims<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">\u00a0Tracking complaints and warranty claims gives you insight into product or service quality and customer satisfaction. This is a direct path to understanding what might be going wrong and where you can improve.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Tang_truong_Thi_phan_Market_Share_Growth\"><\/span>Market Share Growth<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">Measure your company&#039;s sales performance compared to competitors. Market share growth shows that your strategies are working well in capturing more of the market.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Doanh_thu_Dinh_ky_Hang_nam_ARR_Doanh_thu_Dinh_ky_Hang_thang_MRR\"><\/span>Annual Recurring Revenue (ARR) &amp; Monthly Recurring Revenue (MRR)\u00a0<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">For subscription-based businesses like SaaS, these KPIs indicate how much recurring revenue you can expect each month or year. They are important for understanding revenue stability and growth prospects.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Chi_phi_Thu_hut_Khach_hang_Customer_Acquisition_Costs_Thoi_gian_Hoan_von_CAC_CAC_Payback_Period\"><\/span>Customer Acquisition Costs &amp; CAC Payback Period<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">CAC measures the average cost of acquiring a new customer. The payback period indicates how long it will take you to recoup this cost. Both are key factors in measuring the effectiveness of your marketing and sales activities.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Gia_tri_Tron_doi_cua_Khach_hang_Customer_Lifetime_Value\"><\/span>Customer Lifetime Value<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">This is the total amount a customer is expected to spend on your products or services over the course of their time as a customer. It helps you understand the value of investing in customer relationships.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Ty_le_Churn_Churn_Rate\"><\/span>Churn Rate<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">Especially important for businesses with subscription models, churn rate indicates how many customers you are losing over a given period of time. Lower churn rates mean better customer retention.<\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Cac_vi_du_ve_chi_so_KPI_cho_phong_tai_chinh_va_nhan_vien\"><\/span>Examples of KPIs for finance and staff<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">Even if you&#039;re not the Head of Finance but still work in the Finance department, you may still need to track useful company-wide KPIs.<\/p><p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-999969318 size-full aligncenter\" src=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-phong-Tai-chinh-va-nhan-vien.jpg\" alt=\"KPI for Finance and HR Department\" width=\"1024\" height=\"768\" title=\"\" srcset=\"https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-phong-Tai-chinh-va-nhan-vien.jpg 1024w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-phong-Tai-chinh-va-nhan-vien-300x225.jpg 300w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-phong-Tai-chinh-va-nhan-vien-768x576.jpg 768w, https:\/\/bizzi.vn\/wp-content\/uploads\/2024\/06\/Chi-so-KPI-cho-phong-Tai-chinh-va-nhan-vien-16x12.jpg 16w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/p><p style=\"text-align: justify;\">For example, if you work as an assistant in charge of debt management, you might track the following KPIs:<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"So_ngay_trung_binh_de_thu_khoan_phai_thu_Average_Days_to_Collect_Accounts_Receivable\"><\/span>Average Days to Collect Accounts Receivable<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">This KPI measures the average time required to collect payment from customers. It&#039;s important to ensure the business has enough cash for daily operations.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Vong_quay_Khoan_phai_thu_Accounts_Receivable_Turnover_Ratio\"><\/span>Accounts Receivable Turnover Ratio<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">This ratio indicates how often a business collects outstanding payments within a year. It helps evaluate whether the company is good at collecting debts, which is important for maintaining healthy cash flow.<\/p><h4 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Ty_le_No_kho_doi_Bad_Debt_Percentage\"><\/span>Bad Debt Percentage<span class=\"ez-toc-section-end\"><\/span><\/h4><p style=\"text-align: justify;\">The bad debt ratio KPI indicates the percentage of money owed to a company that is likely to be uncollected. This is key to understanding the risks a company faces with its current credit and collection policies.<\/p><h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Tai_sao_cac_chi_so_KPI_nay_quan_trong_doi_voi_Phong_Tai_Chinh\"><\/span>Why are these KPIs important to the Finance Department?<span class=\"ez-toc-section-end\"><\/span><\/h3><p style=\"text-align: justify;\">For anyone in the finance department, these KPIs are a toolkit to evaluate business performance.<\/p><p style=\"text-align: justify;\">They help paint a clear picture of a company&#039;s financial health, guiding decisions that can improve operations, increase profits, and ensure the company has enough cash to grow.<\/p><p style=\"text-align: justify;\">By tracking these metrics, you&#039;re playing an important role in moving your company toward success. They enable you and your team to detect problems before they become problems and seize opportunities to accelerate growth.<\/p><p style=\"text-align: justify;\">So, take a deep dive into these KPIs, understand what they are telling you, and use them to make a positive impact on your company&#039;s finances!<\/p><h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Loi_ich_den_toan_cong_ty_cua_viec_do_luong_cac_chi_so_KPI\"><\/span>Company-wide benefits of measuring KPI indicators<span class=\"ez-toc-section-end\"><\/span><\/h2><p style=\"text-align: justify;\">KPIs are a great way to measure the success of any organization, regardless of industry.<\/p><p style=\"text-align: justify;\">Companies can use KPIs to:<\/p><ul style=\"text-align: justify;\"><li aria-level=\"1\"><strong>Detect weaknesses:<\/strong> Identify areas where the business is struggling or underperforming.<\/li><li aria-level=\"1\"><strong>Empower employees:<\/strong> Help employees know whether they are doing their job well or need to adjust their performance.<\/li><li aria-level=\"1\"><strong>Trend analysis:<\/strong> Detect sales and revenue trends, helping executives plan for future growth or decline.<\/li><li aria-level=\"1\"><strong>Understanding Marketing insights:<\/strong> Measure the effectiveness of new marketing initiatives so that successful initiatives can be repeated.<\/li><li aria-level=\"1\"><strong>Set clear expectations:<\/strong> Help create a culture of accountability within the company by clearly defining expectations for all participants.<\/li><li aria-level=\"1\"><strong>Smooth transition:<\/strong> Give the company an idea of what is working well so that when there is a change in leadership or management style, there is a system in place for success.<\/li><li aria-level=\"1\"><strong>Implement Data-Driven Strategies:<\/strong> Provides current analytics, equipping executives and team members with the data needed to make more informed decisions.<\/li><\/ul><p style=\"text-align: justify;\">Bottom line: KPIs are the key to understanding your business&#039;s performance, orienting your employees, planning for the future, and making informed decisions. They help you get a clear view of where you are and where you need to go, ensuring everyone is working towards common goals.<\/p><h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Do_luong_cac_chi_so_KPI_cho_phong_tai_chinh_Phan_mem_quan_ly_chi_phi_co_the_giup_gi\"><\/span>Measuring KPI indicators for the finance department: <a href=\"https:\/\/bizzi.vn\/he-thong-quan-ly-chi-phi-doanh-nghiep\/\">Cost management software<\/a> What can help?<span class=\"ez-toc-section-end\"><\/span><\/h2><p style=\"text-align: justify;\">Although automation solutions that can manage repetitive daily activities and measure KPIs have emerged, many businesses still use manual procedures and spreadsheets to track these tasks. its performance index.<\/p><p style=\"text-align: justify;\">Yes, spreadsheets have certain advantages, but it&#039;s like using a classic manual typewriter in this day and age: familiar, but not as fast and flexible as modern technology.<\/p><p style=\"text-align: justify;\">Using cloud-based financial management software, such as Bizzi Expense, offers many benefits for tracking your KPIs and performance metrics:<\/p><ul style=\"text-align: justify;\"><li aria-level=\"1\"><strong>Save time:<\/strong> By automating data entry and calculations, this solution saves hours that can be redirected to more strategic tasks.<\/li><li aria-level=\"1\"><strong>Increase accuracy:<\/strong> Automation minimizes the possibility of human error, ensuring your data is reliable.<\/li><li aria-level=\"1\"><strong>Provides real-time insights:<\/strong> Access to current financial data enables faster, more informed decision making.<\/li><\/ul><p style=\"text-align: justify;\"><a href=\"https:\/\/bizzi.vn\/quan-ly-chi-phi\/\">Bizzi Expense<\/a> is an expense management solution that allows you to track, analyze and report on your company&#039;s expenses.<\/p><p style=\"text-align: justify;\">Bizzi Expense allows you to automatically track cost-related KPIs, meaning Finance can reduce time spent entering and analyzing costs, spending more time on other important tasks.<\/p><p style=\"text-align: justify;\">Are you ready to convert? <a href=\"https:\/\/bizzi.vn\/dang-ky-dung-thu\/\">Schedule a demo<\/a> today and discover how Bizzi Expense can revolutionize your finance team&#039;s KPI tracking.<\/p><p style=\"text-align: justify;\">Monitor\u00a0<a href=\"https:\/\/bizzi.vn\/?swcfpc=1\">Bizzi<\/a>\u00a0To quickly receive the latest information:<\/p><ul><li style=\"text-align: justify;\" aria-level=\"1\">Facebook:\u00a0<a href=\"https:\/\/www.facebook.com\/bizzivietnam\" target=\"_blank\" rel=\"noopener nofollow\">https:\/\/www.facebook.com\/bizzivietnam<\/a><\/li><li style=\"text-align: justify;\" aria-level=\"1\">Linkedin:\u00a0<a href=\"https:\/\/www.linkedin.com\/company\/bizzi-vietnam\/\" target=\"_blank\" rel=\"noopener nofollow\">https:\/\/www.linkedin.com\/company\/bizzi-vietnam\/<\/a><\/li><li style=\"text-align: justify;\" aria-level=\"1\">Youtube:\u00a0<a href=\"https:\/\/www.youtube.com\/@bizzivietnam\" target=\"_blank\" rel=\"noopener nofollow\">https:\/\/www.youtube.com\/@bizzivietnam<\/a><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>","protected":false},"excerpt":{"rendered":"<p>The Chief Financial Officer (CFO) is tasked with the difficult task of managing the company&#039;s finances. But their job isn&#039;t\u2026<\/p>","protected":false},"author":37,"featured_media":999969267,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","inline_featured_image":false,"footnotes":""},"categories":[76],"tags":[],"class_list":["post-999969108","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-goc-nhin-cfo"],"acf":[],"_links":{"self":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts\/999969108","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/users\/37"}],"replies":[{"embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/comments?post=999969108"}],"version-history":[{"count":2,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts\/999969108\/revisions"}],"predecessor-version":[{"id":999981003,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/posts\/999969108\/revisions\/999981003"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/media\/999969267"}],"wp:attachment":[{"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/media?parent=999969108"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/categories?post=999969108"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bizzi.vn\/en\/wp-json\/wp\/v2\/tags?post=999969108"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}