A business analyst is asked to distinguish between KPIs and metrics for a new dashboard. According to CompTIA Data+, which TWO statements correctly differentiate KPIs from metrics? (Choose two.)
Trap 1: KPIs and metrics are interchangeable terms
They are distinct; KPIs are a subset of metrics tied to strategy.
Trap 2: Metrics are always more important than KPIs
KPIs are typically more important at a strategic level.
Trap 3: KPIs are always lagging indicators
KPIs can be leading or lagging.
- A
KPIs and metrics are interchangeable terms
Why wrong: They are distinct; KPIs are a subset of metrics tied to strategy.
- B
Metrics are always more important than KPIs
Why wrong: KPIs are typically more important at a strategic level.
- C
KPIs are directly tied to strategic business objectives
Correct. KPIs measure progress toward strategic goals.
- D
Metrics are operational measurements that may not be strategic
Correct. Metrics are detailed operational data.
- E
KPIs are always lagging indicators
Why wrong: KPIs can be leading or lagging.