{"id":4977,"date":"2025-11-28T01:54:53","date_gmt":"2025-11-28T01:54:53","guid":{"rendered":"https:\/\/sandmerit.com\/?p=4977"},"modified":"2025-11-28T01:55:29","modified_gmt":"2025-11-28T01:55:29","slug":"why-ceos-must-be-careful-many-vendors-are-misleading-the-market-with-new-terms-but-kpi-is-not-outdated","status":"publish","type":"post","link":"https:\/\/sandmerit.com\/cn\/why-ceos-must-be-careful-many-vendors-are-misleading-the-market-with-new-terms-but-kpi-is-not-outdated\/","title":{"rendered":"Why CEOs Must Be Careful: Many Vendors Are Misleading the Market With \u201cNew Terms\u201d \u2014 But KPI Is Not Outdated"},"content":{"rendered":"

In recent years, the business world has become noisy.<\/p>\n\n\n\n

Everyone wants attention.
Everyone wants to sound different.
Everyone wants to sell a new framework, a new model, or a new system.<\/p>\n\n\n\n

As a result, many vendors have started spreading misleading statements such as:<\/p>\n\n\n\n

\u274c \u201cKPI is outdated.\u201d
\u274c \u201cWe have a new method that replaces KPI.\u201d
\u274c \u201cOKR has already replaced KPI.\u201d
\u274c \u201cNow the trend is KFI, Super Indicator, XYZ Metrics\u2026\u201d
\u274c \u201cOur new concept is better because it\u2019s new.\u201d<\/p>\n\n\n\n

These claims sound innovative, but they are often created for marketing purposes<\/strong>, not based on management science.<\/p>\n\n\n\n

The real danger?<\/p>\n\n\n\n

\ud83d\udc49 When CEOs adopt unproven methods, their business performance suffers.<\/strong><\/p>\n\n\n\n

This article clarifies the truth \u2014 with global facts \u2014 and explains why KPI and Balanced Scorecard remain the world\u2019s most trusted performance management tools<\/strong>, and why sandmerit continues to lead the industry.<\/p>\n\n\n\n

\n\n\n\n

1. KPI Is Not a Trend \u2014 It Is a Fundamental of Management<\/strong><\/h1>\n\n\n\n

A KPI (Key Performance Indicator) is NOT a software product or a consultant\u2019s invention.
It is a basic management principle:<\/p>\n\n\n\n

\n

\u201cWhat gets measured, gets managed.\u201d<\/p>\n<\/blockquote>\n\n\n\n

Peter Drucker said it decades ago, and the statement remains true today.<\/p>\n\n\n\n

Businesses need KPIs because:<\/p>\n\n\n\n

    \n
  • They provide clarity<\/li>\n\n\n\n
  • They measure progress<\/li>\n\n\n\n
  • They link goals to actual work<\/li>\n\n\n\n
  • They align departments<\/li>\n\n\n\n
  • They ensure accountability<\/li>\n\n\n\n
  • They support fair rewards<\/li>\n\n\n\n
  • They drive continuous improvement<\/li>\n<\/ul>\n\n\n\n

    As long as companies want results, KPI will never become outdated<\/strong>.<\/p>\n\n\n\n

    KPI doesn\u2019t expire \u2014
    only poor KPI design expires<\/strong>.<\/p>\n\n\n\n

    \n\n\n\n

    2. Balanced Scorecard: Proven for 30+ Years, Still Top-Ranked Worldwide<\/strong><\/h1>\n\n\n\n

    Many people do not know this:<\/p>\n\n\n\n

    \u2714 Balanced Scorecard (BSC), developed by Harvard professors Robert Kaplan & David Norton, is STILL one of the most widely used management frameworks in the world<\/strong>.
    \u2714 Bain & Company\u2019s global management survey consistently ranks BSC among the top management tools globally<\/strong>, used across industries for more than 30 years.
    \u2714 Fortune 500 companies continue to rely on BSC to link strategy \u2192 department \u2192 KPI \u2192 execution.
    \u2714 Universities, MBA programs, and international consulting firms still teach BSC today.
    \u2714 Governments, hospitals, banks, manufacturers, and MNCs implement KPI using BSC frameworks.<\/p>\n\n\n\n

    Why?<\/p>\n\n\n\n

    Because BSC solves the biggest issue in business:<\/p>\n\n\n\n

    \n

    How do we translate strategy into measurable actions?<\/strong><\/p>\n<\/blockquote>\n\n\n\n

    Nothing else in the world does this better.<\/p>\n\n\n\n

    So when someone says \u201cKPI is outdated,\u201d ask them:<\/p>\n\n\n\n

    Why are the world\u2019s largest, smartest companies still using it?<\/strong><\/p>\n\n\n\n

    \n\n\n\n

    3. OKR Did NOT Replace KPI \u2014 This Is the Biggest Misunderstanding<\/strong><\/h1>\n\n\n\n

    Many vendors use OKR as a marketing weapon.<\/p>\n\n\n\n

    They say:<\/p>\n\n\n\n

    \u274c \u201cOKR is the new KPI.\u201d
    \u274c \u201cGoogle uses OKR, so OKR is better.\u201d
    \u274c \u201cUse OKR only \u2014 no need KPI.\u201d<\/p>\n\n\n\n

    This is completely false<\/strong>.<\/p>\n\n\n\n

    Here are the real facts:<\/p>\n\n\n\n

    OKR = Goal-setting tool<\/strong><\/h3>\n\n\n\n
      \n
    • Encourages ambition<\/li>\n\n\n\n
    • Creates alignment<\/li>\n\n\n\n
    • Drives innovation<\/li>\n\n\n\n
    • Increases engagement<\/li>\n\n\n\n
    • Not designed for rewards and evaluation<\/li>\n<\/ul>\n\n\n\n

      KPI = Performance measurement tool<\/strong><\/h3>\n\n\n\n
        \n
      • Tracks actual results<\/li>\n\n\n\n
      • Ensures accountability<\/li>\n\n\n\n
      • Connects efforts to outcomes<\/li>\n\n\n\n
      • Enables fair rewards<\/li>\n\n\n\n
      • Essential for performance management<\/li>\n<\/ul>\n\n\n\n

        What does Google actually do?<\/h3>\n\n\n\n

        Google uses OKR for inspiration + direction<\/strong>,
        but Google still uses a separate performance management system<\/strong> including:<\/p>\n\n\n\n

          \n
        • Performance ratings<\/li>\n\n\n\n
        • 360 feedback<\/li>\n\n\n\n
        • Calibration<\/li>\n\n\n\n
        • Bonus and reward structure<\/li>\n\n\n\n
        • Promotion evaluation<\/li>\n<\/ul>\n\n\n\n

          Google never uses OKR as KPI.
          Google never uses OKR for salary or bonuses.
          Google never replaced KPI with OKR.<\/p>\n\n\n\n

          When vendors tell CEOs
          \u201cOKR replaces KPI,\u201d
          they are misleading them.<\/p>\n\n\n\n

          The correct truth is:<\/p>\n\n\n\n

          \n

          OKR and KPI are complementary, not competing.<\/strong><\/p>\n<\/blockquote>\n\n\n\n

          \n\n\n\n

          4. The Real Problem: Vendors Creating New Buzzwords to Appear \u201cAdvanced\u201d<\/strong><\/h1>\n\n\n\n

          Because of competition, some vendors have started:<\/p>\n\n\n\n

            \n
          • Inventing new acronyms<\/li>\n\n\n\n
          • Rebranding KPI with fancy wording<\/li>\n\n\n\n
          • Attacking KPI to make their own method look better<\/li>\n\n\n\n
          • Using terms like KFI, Super Indicator, Growth North Star, Performance Quantum, etc.<\/li>\n\n\n\n
          • Selling concepts that are not proven or tested<\/li>\n<\/ul>\n\n\n\n

            But this is dangerous.<\/p>\n\n\n\n

            These \u201cnew terms\u201d create confusion.
            Confusion leads to wrong decisions.
            Wrong decisions damage business performance.<\/p>\n\n\n\n

            A company\u2019s performance should never<\/strong> depend on marketing gimmicks.<\/p>\n\n\n\n

            It must depend on global standards, proven frameworks, and real-world experience<\/strong>.<\/p>\n\n\n\n

            \n\n\n\n

            5. Why KPI Fails in Some Companies \u2014 And It Has Nothing to Do With KPI Being \u201cOld\u201d<\/strong><\/h1>\n\n\n\n

            When KPI fails, the cause is rarely KPI itself.<\/p>\n\n\n\n

            The real causes usually are:<\/p>\n\n\n\n

              \n
            • KPI not linked to strategy<\/li>\n\n\n\n
            • Wrong KPI design<\/li>\n\n\n\n
            • Overcomplicated templates<\/li>\n\n\n\n
            • No buy-in from employees<\/li>\n\n\n\n
            • No proper workshops<\/li>\n\n\n\n
            • No alignment between departments<\/li>\n\n\n\n
            • No reward system<\/li>\n\n\n\n
            • Wrong systems<\/li>\n\n\n\n
            • Wrong consultant<\/li>\n\n\n\n
            • Wrong methodology<\/li>\n\n\n\n
            • No accountability<\/li>\n\n\n\n
            • No review rhythm<\/li>\n\n\n\n
            • Wrong tools<\/li>\n<\/ul>\n\n\n\n

              The solution is NOT to abandon KPI.<\/p>\n\n\n\n

              The solution is to implement KPI correctly<\/strong> using the Balanced Scorecard + proven coaching + proper system alignment<\/strong>.<\/p>\n\n\n\n

              This is why sandmerit is successful \u2014
              not because of software alone, but because of the methodology behind it.<\/p>\n\n\n\n

              \n\n\n\n

              6. Why sandmerit Leads the Market \u2014 Powered by KPI Expert Wilson Ten (KPI \u8fbe\u4eba)<\/strong><\/h1>\n\n\n\n

              sandmerit is not just another KPI software company.
              It is powered by KPI \u8fbe\u4eba Wilson Ten<\/strong>, who has:<\/p>\n\n\n\n

                \n
              • 23 years of pure KPI experience<\/li>\n\n\n\n
              • Coached public-listed company CEOs and MNC leaders<\/li>\n\n\n\n
              • Helped companies move from loss to profitability<\/li>\n\n\n\n
              • Fixed many failed KPI implementations<\/li>\n\n\n\n
              • Trained thousands of leaders on KPI<\/li>\n\n\n\n
              • Over 600 real video testimonials<\/li>\n\n\n\n
              • Chairman of the Professional Committee of International KPI Standards<\/li>\n\n\n\n
              • International recognition (Australia\u2013ASEAN Business Summit speaker)<\/li>\n\n\n\n
              • Trusted by consulting firms like Baker Tilly Thailand<\/li>\n<\/ul>\n\n\n\n

                When sandmerit teaches KPI, it is not theory.
                It is proven<\/strong>, practical<\/strong>, globally aligned<\/strong>, and built on real business experience<\/strong>.<\/p>\n\n\n\n

                This is the opposite of vendors using new buzzwords just to sell.<\/p>\n\n\n\n

                \n\n\n\n

                **7. KPI Is Not Old \u2014 It Is Essential.<\/h1>\n\n\n\n

                What\u2019s dangerous is misinformation.**<\/p>\n\n\n\n

                Businesses do not fail because KPI is outdated.
                They fail because:<\/p>\n\n\n\n

                  \n
                • they follow the wrong teacher,<\/li>\n\n\n\n
                • adopt the wrong methodology,<\/li>\n\n\n\n
                • abandon the fundamentals,<\/li>\n\n\n\n
                • or chase unproven trends.<\/li>\n<\/ul>\n\n\n\n

                  The world\u2019s top companies are not stupid.
                  They continue using:<\/p>\n\n\n\n

                  \u2714 KPI
                  \u2714 Balanced Scorecard
                  \u2714 Data-driven performance systems
                  \u2714 Evidence-based management<\/p>\n\n\n\n

                  Because these tools work.
                  They are the backbone of real business performance.<\/p>\n\n\n\n

                  \n\n\n\n

                  **8. Final Message to CEOs:<\/h1>\n\n\n\n

                  Don\u2019t let noise mislead you.**<\/p>\n\n\n\n

                  Your company\u2019s performance is serious.
                  Your employees\u2019 future is serious.
                  Your growth is serious.<\/p>\n\n\n\n

                  Do not let someone\u2019s new buzzword, new acronym, or new \u201crevolutionary idea\u201d confuse your direction.<\/p>\n\n\n\n

                  Stick to what has been proven for decades:<\/p>\n\n\n\n

                  Balanced Scorecard + KPI + data + real methodology = long-term success<\/strong><\/h3>\n\n\n\n

                  And most importantly:<\/p>\n\n\n\n

                  Get guidance from someone who truly understands KPI, not someone who creates new terms to sell an idea.<\/strong><\/h3>","protected":false},"excerpt":{"rendered":"

                  In recent years, the business world has become noisy. Everyone wants attention.Everyone wants to sound different.Everyone wants to sell a new framework, a new model, or a new system. As a result, many vendors have started spreading misleading statements such as: \u274c \u201cKPI is outdated.\u201d\u274c \u201cWe have a new method that replaces KPI.\u201d\u274c \u201cOKR has […]<\/p>\n","protected":false},"author":2,"featured_media":4978,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[1],"tags":[509,510,302,508,511,507,286],"class_list":["post-4977","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-english","tag-kpi-software-company","tag-kpi-software-for-small-business","tag-kpi-software-malaysia","tag-kpi-system-for-employees","tag-kpi-system-malaysia","tag-kpi-system-software","tag-performance-management-system"],"_links":{"self":[{"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/posts\/4977","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/comments?post=4977"}],"version-history":[{"count":1,"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/posts\/4977\/revisions"}],"predecessor-version":[{"id":4979,"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/posts\/4977\/revisions\/4979"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/media\/4978"}],"wp:attachment":[{"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/media?parent=4977"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/categories?post=4977"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sandmerit.com\/cn\/wp-json\/wp\/v2\/tags?post=4977"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}