It’s no secret that KPI tracking and analysis is essential for performance measurement. Whether it’s performance on a personal level, or for your business, KPI tracking and analysis is a must.
However, which KPIs should you focus on? Is Wait-time measurement more essential than Staff-to-Patient ratio tracking? And what’s the difference between the different types of KPIs you keep on hearing about?
Frankly speaking, just a simple Google search about KPIs will turn up more options than you can care to keep track of. The problem is decidedly exacerbated when it comes to KPI management for medical businesses. Here, you have so many variables to analyse, the results can be mind-boggling.
So, how do you categorise these KPIs, let alone analyse?
Qualitative vs Quantitative
All About Quantitative
Primarily, all KPIs, whether for a medical business or in another industry, can be divided into qualitative and quantitative KPIs. Now, what’s that you may ask? Well, put simply, a quantitative KPI is one that can be measured in terms of a fixed unit. For example, the number of new patients that come to your practice in a day is an example of a quantitative KPI.
From the above definition, it can be clearly understood that quantitative KPIs consist of metrics that can be objectively measured. Such KPIs reveal clear, concise, and data-based insights about a business’s performance. In fact, quantitative KPIs are the best for gleaning factual, measurable data about a business.
For most business performance analysts, quantitative KPIs are the most cogent form of data. Since such metrics can be measured in terms of numbers, most analysts prefer this form of KPI.
However, the other side of the coin cannot be ignored.
Qualitative KPIs: The Truth Revealed
Just as quantitative KPIs are measurable in terms of numbers, there’s another level of KPI analysis, namely qualitative KPIs. As the name suggests, qualitative KPIs focus on the descriptive qualities of a business. These metrics tend to be subjective in nature, and though they are based on quantitative measures, the conclusions drawn are descriptive.
As a prime example of a qualitative KPI, we can consider patient satisfaction. Satisfaction is a highly subjective factor, and cannot be numerically gauged. However, it can be inferred from other metrics such as patient return-rate, reviews, and online ratings.
But the real question is: which ones should you go with?
Choosing The Right Kind
KPIs are not really a secret sauce, considering every business today is focusing on these metrics. But the reality is, there’s a big debate going on in the world of KPI management. While some practitioners prefer to focus on quantitative KPIs, others lean more towards qualitative ones.
The arguments for both are persuasive, to say the least. Proponents of quantitative KPIs prefer the former simply because these are concrete, measurable metrics. These numbers usually don’t lie and can’t be fudged easily. Along with that, quantitative metrics rely on objective analysis of business performance.
However, quantitative metrics can’t usually gauge the human response to a business. While numbers are great for measuring the bottom line, they are not ideal for measuring human interaction. And human interaction is what a business, in particular a medical business, is all about.
Therefore, in order to get a comprehensive view of a medical business’s performance, it’s ideal to use a judicious mix of both quantitative and qualitative KPIs. Otherwise, you risk neglecting one side of your business, or the other. So, both have to be considered with equal importance.
From the above discussion, it’s clear that quantitative as well as qualitative metrics are essential when it comes to the overall performance evaluation of a medical business. That’s why we at KPeyes recommend focusing on a judicious combination of both.
And in case you feel the need for professional assistance, don’t hesitate to reach out to us. With the help of our experts, your Australian medical business can reach the heights it deserves.
Our team of digital experts, together with help from state-of-the-art software solutions, allow you to glean effective insights. Used together, both qualitative and quantitative metrics can go a long way towards allowing your business to succeed.