Clear KPIs as a transformation engine

Annabelle Kemke

August 29, 2025

While many organizations invest enormous resources in new technologies, processes and structures, change often fails because progress is not made clearly measurable and controllable. Business models are changing, technologies are evolving in ever shorter cycles and customer needs are changing dynamically. In this environment, the question is no longer whether A company should transform itself, but like It successfully shapes this change. One of the key answers is: with clear objectives and measurable KPIs.

Key Takeaways

Companies with clearly set KPIs triple their chances of success, make transformation controllable and provide orientation.
In addition to classic KPIs, behavior-based indicators (KBIs) are gaining in importance as indicators of behavior and engagement.
Missing KPIs increase the risk of scope creep (see info box) and jeopardize focus, time and budget.
Objectives and indicators must be SMART and communicated transparently in order to develop their full potential.

Today, KPIs play a much more important role than they did just a few years ago. In the past, they were often seen as pure measures that document the success of a project. Today, they are rather an integral part of Change management — they not only provide information about whether a company is on track, but also serve as an active management tool that guides decisions, sets priorities and accelerates change. In addition, KPIs also have an important communicative and cultural function. They make transformation tangible for all employees, create transparency and orientation, and convey why certain steps are being taken. When key figures not only circulate within management, but are regularly shared and explained within the company, employees feel more involved. They understand how their own work contributes to overarching goals and experience change not as an abstract process, but as a joint task. In this way, KPIs serve not only as a management tool, but also as a means to build trust, promote acceptance and strengthen motivation during change.

Our latest study on the status quo of transformation in the DACH region clearly shows this: Companies that manage their transformation with clear KPIs triple their chances of success. The average Net Promoter Score (NPS — see info box) of these companies is +22.2. On the other hand, projects that work without defined targets end up with an NPS of —25. This difference is not only statistically relevant but also dramatic in its effect. It shows that missing goal definitions significantly impair the perceived benefits of a transformation — and that precisely set KPIs can make the difference between a successful example and a failed project. Deloitte also showed in its “2025 Chief Transformation Officer Study” that companies that use KPIs strategically achieve or even exceed their transformation goals significantly more frequently. Those who regularly question their key figures, adapt them flexibly and embed them in a continuous dialogue between management, teams and stakeholders are particularly successful.

How can companies make transformation controllable?

The central challenge for companies is to make transformations controllable through suitable indicators. The most successful companies rely on a balanced set of financial, operational, customer and employee-oriented KPIs. In addition, there are increasing metrics that reflect agility, speed of innovation and willingness to change. A particularly future-oriented approach is the integration of Key Behavioural Indicators (kBIs), i.e. behavior-based measures. Studies show that companies that monitor such indicators — such as employee engagement, openness to new ways of working, or active participation in innovation projects — can identify at an early stage where change processes are stalling or need to be accelerated. These “human metrics” add a dimension to classic KPIs that can be decisive, especially in complex, culturally influenced transformation processes.

Scope creep: The silent threat in transformation projects

Our analysis shows that missing or unclearly defined indicators significantly increase the risk of “scope creep.” This means the gradual expansion of the project scope, which often begins unnoticed and in the end eats up time, budget and focus. In our study, scope creep almost occurs in projects without defined KPIs twice as often on. The effect is measurable: an average loss of 1.1 points in the success rating. Clear KPIs act like a shield here — they set limits, create commitment and prevent projects from getting off track due to uncontrolled additions.

Best practices for transformation success

In the study, we saw how effective clearly defined KPIs can be using an example from a company in the telecommunications sector: The company there achieves a NPS of +63, which significantly exceeds the average. The recipe for success is a combination of high agility and consistent KPI focus. They see key figures not as a rigid reporting tool, but as a dynamic management tool that allows them to identify developments at an early stage, to manage resources in a targeted manner and to take immediate action when necessary.

The path to effective indicators

The path to an effective key figure system starts with a clear definition of goals. The SMART method has proven effective: Goals must be formulated in a specific, measurable, achievable, relevant and time-bound manner. This is the only way they can provide orientation and remain verifiable at the same time. It is also important that KPIs and KBIs are not anchored in controlling in isolation, but are understood as a living part of organizational culture. They should be present at regular meetings, in decision-making processes and in strategic communication. It is just as important to see key figures not only as an evaluation tool, but as a starting point for reflection and adjustment. A KPI or KBI that does not show the desired progress is not a failure, but a valuable clue that course corrections are necessary.

Specific action measures for companies

Develop a common vision
- Transformation starts with a clear, shared vision (SMART).
- All relevant stakeholders should be involved at an early stage.
Define KPIs and KBIs across disciplines
- KPIs measure quantitative progress (e.g. sales, time-to-market, customer satisfaction).
- KBIs record qualitative, behavior-based factors such as willingness to change, employee commitment or innovative spirit.
- Both metrics should be strategically relevant and together provide a holistic picture of progress.
Establish centralized monitoring
- Provide a KPI and KBI dashboard for all relevant decision makers.
- Introduce fixed review cycles (monthly/quarterly) to identify trends and sentiments early on.
Using target deviations as a learning opportunity
- Analyze goals that have not been achieved in order to adapt measures at an early stage.
- With KBIs: Identify causes of declining commitment or resistance.
Connect KPIs and KBIs with incentive systems
- Link bonus models or recognition programs to the achievement of measurable KPIs.
- Encourage positive behaviours from KBI results, e.g. through visibility, praise or development opportunities.

Transformation requires courage, adaptability and the willingness to make decisions based on data. Clear objectives and strategically used KPIs are the key to managing this process instead of being controlled by it. They provide orientation in complex environments, help set priorities and make successes as visible as necessary adjustments. Companies that consistently pursue this approach not only create the basis for the success of their transformations, but also use KPIs as a common language that provides orientation, promotes transparent communication and supports change as a change management tool.

If you would like to learn more about how KPIs demonstrably make transformations successful and how your company compares, feel free to make an appointment with us — and we will present you with the full results of our study. Make an appointment now!

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