A company's IT department is often at the heart of its operations. It's the engine that keeps everything running smoothly, from customer interactions to internal processes. IT empowers businesses to adapt, innovate, and thrive in an ever-evolving world. Like the central nervous system of an organism, it orchestrates the flow of information, connects people, and safeguards critical assets.
But how can you ensure your IT investments are paying off? The answer lies in Key Performance Indicators (KPIs), and we've narrowed down the top five that every company should be tracking while also measuring Lazorpoint's performance against them.
1. IT Cost as a Percentage of Revenue
Imagine running a marathon with a backpack full of bricks. It's an exhausting thought, right? That's what inefficient IT spending feels like. Enter KPI number one: IT Cost as a Percentage of Revenue. This metric is your compass for navigating the treacherous waters of IT expenses. It measures the total cost of your IT department as a percentage of your company's revenue.
Why is this important? Because it tells you if your IT operations are cost-effective. A lower percentage means you're getting more bang for your buck. It's the financial equivalent of shedding unnecessary weight and running that marathon like a pro.
There is no magic number for IT Cost as a Percentage of Revenue as there are some key factors that can change the benchmark for each business. There is no factor more important in the formula for IT spending as a percentage of revenue than industry sector, but other factors may include company size and geographic location. If you are looking to benchmark your business Avasant publishes an annual report which can find here.
At Lazorpoint, our mission is to ensure you get the most value for your investment, with services that empower your business to operate faster, smarter, and with enhanced security.
2. System Uptime and Availability
Imagine a grocery store that's always closed when you need it. Frustrating, right? Your IT systems should never leave your employees and customers feeling like that. System Uptime and Availability is your second essential KPI.
This metric measures the percentage of time your IT systems are operational and available to users. High uptime levels are your goal here. The more available your systems are, the smoother your business operations will be. It's like having a 24/7 grocery store at your service, ensuring your business never runs out of essential supplies.
3. Incident Response Time
Picture this: You're stuck in traffic, and you need assistance ASAP. You call for help, and it feels like an eternity before someone responds. Frustration levels skyrocket, right? The same principle applies to your IT systems.
Incident Response Time measures how quickly your IT team responds to and resolves incidents, whether it's a system outage, a security breach, or any other hiccup in your IT infrastructure. A shorter response time minimizes disruptions and keeps your business running smoothly. It's like having a pit crew ready to get you back on the road in record time.
At Lazorpoint, we prioritize responding swiftly to incidents, with our average response time consistently clocking in at just 11 minutes. Your business deserves nothing less than a rapid, precision-driven response, and we're here to deliver it.
4. User Satisfaction
Happy customers mean repeat business. Happy employees mean higher productivity. And guess what? Your IT department plays a significant role in both. That's why User Satisfaction is the fourth KPI you should be tracking.
This KPI involves collecting feedback from end-users to gauge their satisfaction with IT services and support. High user satisfaction is like a magic elixir for your business. It boosts productivity, improves morale, and keeps customers coming back for more. It's the secret sauce that makes your company stand out from the competition.
At Lazorpoint, our NPS score sits at 68, firmly placing us in the upper echelon among companies in our league. When it comes to delivering exceptional service and satisfaction, we don't just meet the benchmark; we set it. Explore NPS benchmarks right here and witness how we stand head and shoulders above the rest.
5. Security Incident Rate
A security breach is the haunting nightmare no business wants to face. Imagine a fortress with impenetrable walls suddenly breached, exposing sensitive data and customer trust to the merciless hands of cybercriminals. The fallout is swift and brutal—financial losses, damaged reputation, legal battles, and shattered customer confidence. It's a downward spiral that threatens the very existence of a business. In an age where data is currency and trust is gold, a security breach is the darkest storm cloud on a company's horizon. That's where our fifth KPI, the Security Incident Rate, comes into play.
This metric tracks the number of security incidents, such as breaches and malware infections, within your IT environment. The goal? To assess the effectiveness of your cybersecurity measures. A decreasing incident rate indicates that your defenses are working, your data is secure, and your business reputation remains intact.
These five KPIs form the backbone of a healthy and thriving IT department. They help you measure efficiency, ensure reliability, respond swiftly to issues, keep your users happy, and protect your digital fortress. Tracking these KPIs is important for the long-term success of your company. So, equip your IT department with the right tools, monitor these KPIs religiously, and watch your business reach new heights.
Ready to leave the KPI tracking to the experts? We've got you covered! Schedule a call with an IT expert today and let us take care of the details. Your peace of mind is just a click away.