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DA0-002 Visualization and Reporting Practice Question

Which of the following is a key difference between a Key Performance Indicator (KPI) and a metric?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

✓

KPIs are tied to strategic objectives, while metrics are broader operational measurements

KPIs are tied to strategic objectives and measure progress toward goals, while metrics can be any operational measurement that may not be directly linked to strategy.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • ✗

    Metrics are always quantitative, while KPIs can be qualitative

    Why it's wrong here

    Both are typically quantitative.

  • ✗

    There is no difference; the terms are interchangeable

    Why it's wrong here

    They are not interchangeable; KPIs are specifically linked to strategic goals.

  • ✓

    KPIs are tied to strategic objectives, while metrics are broader operational measurements

    Why this is correct

    Correct. KPIs are a subset of metrics that are critical to strategic success.

  • ✗

    KPIs are always lagging indicators, while metrics are leading indicators

    Why it's wrong here

    Both can be leading or lagging; the distinction is not about leading vs lagging.

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