A KPI is a Key Performance Indicator, a metric that tells management how the business is performing. Taken separately, these are vital numbers to know, but they are not stand alone statistics. There is a flow to KPI, where one statistic – let’s call it the percentage of order fill from a vendor – has an impact on every other KPI from the second it lands on the receiving dock. Taking these numbers from pieces of paper into real-time data takes an inventory management system, and barcoding capability, with items scanned in, put away, ordered or requisitioned, picked, and then scanned out again. These numbers tell an organization where they stand, and help to set goals for all departments such as sales, marketing, and warehouse management. More importantly, they offer practical, practicable, and qualitative information about the company’s health.