{"id":11751,"date":"2024-03-11T07:53:50","date_gmt":"2024-03-11T11:53:50","guid":{"rendered":"https:\/\/craftbreweryfinance.com\/oldversion\/?p=11751"},"modified":"2024-02-23T17:11:07","modified_gmt":"2024-02-23T21:11:07","slug":"how-to-build-cascading-brewery-kpis","status":"publish","type":"post","link":"https:\/\/craftbreweryfinance.com\/oldversion\/how-to-build-cascading-brewery-kpis\/","title":{"rendered":"How to Build Cascading Brewery KPIs"},"content":{"rendered":"

How to Build Cascading Brewery KPIs<\/p>\n

Cascading KPIs are a way to connect the top goal of the organization to the specific department goals.\u00a0<\/strong><\/p>\n

For example, if the top goal for your brewery is to increase net income, all departmental KPIs should support and be in alignment with this top goal.<\/p>\n

This approach helps make sure everyone knows the most important goal, and are performing actions (and creating outcomes) that support the top goal.<\/p>\n

Follow these two steps to build your cascading brewery KPI’s:<\/strong><\/p>\n

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  1. Identify the most important number in your business (hint: it’s cash flow)<\/li>\n
  2. Create cascading KPIs for each brewery department that support your most important number (see the images below)<\/li>\n<\/ol>\n

    In the image below, Cash Flow is the top objective. The top KPI for the business.<\/p>\n

    Each KPI underneath Cash Flow is there to support the top objective (A\/R days outstanding, A\/P days to pay, etc).<\/p>\n

    \"\"<\/p>\n

    The example below shows department specific KPIs which support the top brewery objective of measuring and improving Cash Flow.<\/p>\n

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    Do this next:<\/p>\n