⚙️ Ops Playbook #68

Measuring what matters, not what's easy

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Speaking of measuring what matters... let's talk about leadership metrics.

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  • Unveiling the metrics that separate effective leaders from the rest. (NinthEdge)

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Finding KPIs for Leadership Roles

Insight from Milewalk

Walk into any COO's office and you'll see the same leadership KPIs plastered across their dashboards: employee satisfaction scores, retention rates, and that dreaded "engagement index."

These metrics are as useful for measuring leadership as judging someone's personality by their Spotify playlist.

Let's be real: Most leadership KPIs measure activity, not impact. We default to measuring what's convenient rather than what's meaningful.

Want proof? Look at the standard metrics below, then ask yourself: How many of these actually capture the difference between a good leader and a great one?

1. Team Performance

KPI

Description

Reality Check

Goal Achievement Rate

Percentage of team goals met on time

It is a solid leading indicator, but only if goals are calibrated.

Project Completion Rate

Ratio of projects completed on time and budget

Skip this. It measures project management, not leadership

Productivity Score

Deliverables per employee vs baseline

Careful - it is easy to manipulate and often drives wrong behaviors

Track: Goal Achievement + qualitative assessment of goal difficulty

2. Retention & Recruitment

KPI

Description

Reality Check

Employee Retention Rate

Employee retention percentage over time

Critical, but context matters. Sometimes turnover is healthy

Internal Promotions Rate

Number of internally promoted team members

Strong signal of leadership development capability

Time-to-Hire

Average time to fill open roles

This is a recruiting metric, not a leadership one

Track: Retention of top performers + internal promotion rate

3. Team Development

KPI

Description

Reality Check

Training Hours

Learning and development hours per employee

Classic vanity metric - measures time, not growth

Skill Development Rate

New certifications and skills acquired

Better, but it still focuses on inputs over outcomes

1-on-1 Meeting Effectiveness

Time spent on coaching and feedback

Stop counting meetings. Start measuring outcomes

Track: Skill deployment rate (how often are new skills actually used?)

4. Engagement

KPI

Description

Reality Check

Employee NPS

Likelihood to recommend as a workplace

Useful but lagging indicator

Pulse Survey Results

Regular feedback on engagement and morale

Good, if you ask the right questions

Recognition Frequency

Frequency of public recognition

Another checkbox metric: quality matters more than quantity

Track: Engagement trends, not absolute numbers

I've learned that effective measurement comes down to three principles:

  1. Track outcomes over activities

  2. Choose metrics that resist gaming

  3. Select KPIs that encourage genuine leadership

Here's my advice: Start with 3-4 outcome-focused metrics. Watch how they change over time rather than fixating on absolute numbers. And please, retire those vanity metrics like "number of 1:1s completed."

The most effective operations leaders I work with have embraced this minimalist approach.

They've stopped trying to measure everything and instead focus on what truly matters. The rest is just corporate wallpaper.

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