Define a Business Metric: A Practical Workbook

Choose one measure and its purpose

A metric is a defined measure used to examine an aspect of performance or activity. Its name alone rarely tells another analyst how to reproduce it. This workbook helps you make the calculation and its intended use explicit.

Use a fictional metric such as completed learning enquiries per week. Decide why the team needs it and what completed means in this context. Do not assume that a larger total is always a better outcome.

Write the counting rule

Define the unit being counted, relevant status and period. If the measure is a rate, write the numerator and denominator separately. Explain whether repeated enquiries, reopened cases or missing records are included.

For the fictional exercise, the team must agree whether completion means a reply was sent, a discussion finished or an application was received. These events describe different things. Keep the rule connected to the actual decision rather than selecting whichever produces the largest total.

Record the source and transformation

Name the authorised source and the fields used. Document any filters, grouping or classification rules. Record who owns the definition and how an analyst can check a sample calculation.

Changes in the source system or collection process may affect comparability. Keep a version date and explain a changed definition instead of silently comparing unlike measures. Use a separate note for assumptions and unresolved questions.

Test the definition on examples

Create a few fictional records that include a normal case, an exception and missing information. Ask two readers to apply the rule independently. Differences reveal where the wording needs work.

Download the workbook in PDF or Word. Finish with the agreed definition, test observations, limitations and next review. The workbook supports a discussion; it does not establish that a measure is suitable for every organisation or decision.

Source and practice note

The Government Data Quality Framework provides the context for understanding data use and recording quality information. The examples and exercises are original RDE learning material using fictional situations.

Read the official guidance

Cover image: AI-generated illustrative scene created specifically for this resource.

Download and complete the exercise

Read or print the PDF

Download the editable Word document

Printable PDF and editable Word document. Version 2.0, 8 October 2026. Personal and internal organisational adaptation permitted with Jefferson Otonbara Imgbi author credit retained.