12 Most Important Consulting KPIs


The top KPIs are critical in the consulting industry as they provide measurable values to evaluate the success of client engagements and the overall health of the consultancy. They enable consulting firms to track progress against objectives, ensuring alignment with strategic goals and client expectations.

These performance indicators help consultancies to identify areas of improvement, optimize processes, and make data-driven decisions.

This article showcases the Most Critical 12 KPIs for Consulting and Associated Benchmarks.

1. Client Retention Rate

Client Retention Rate is a vital KPI that reflects customer loyalty and satisfaction, directly impacting revenue stability and growth.

High retention rates correlate with increased lifetime value and reduced acquisition costs, enhancing overall financial health. Companies that excel in this metric often enjoy improved operational efficiency and stronger market positioning.

Tracking this KPI enables businesses to make data-driven decisions that align with strategic goals. Learn more about the Client Retention Rate KPI.

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We have 12 benchmarks for this KPI available in our database.

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What is the standard formula?
(Number of Clients at End of Period - Number of New Clients during Period) / Number of Clients at Start of Period * 100


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2. Client Acquisition Cost

Client Acquisition Cost (CAC) is a critical metric that reflects the efficiency of marketing and sales efforts in acquiring new clients.

High CAC can indicate inefficiencies in the sales process, leading to increased pressure on profitability. Conversely, a low CAC suggests effective strategies that enhance financial health and operational efficiency.

Organizations that optimize CAC often see improved ROI metrics and better alignment with strategic goals. Learn more about the Client Acquisition Cost KPI.

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We have 3 benchmarks for this KPI available in our database.

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What is the standard formula?
Total Sales and Marketing Expenses / Number of New Clients Acquired


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3. Repeat Business Rate

Repeat Business Rate is a crucial KPI that reflects customer loyalty and satisfaction.

High rates indicate strong relationships, leading to increased revenue and reduced acquisition costs. This metric directly influences financial health and operational efficiency.

Businesses with elevated repeat rates often enjoy better cash flow, allowing for strategic investments. Learn more about the Repeat Business Rate KPI.

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We have 4 benchmarks for this KPI available in our database.

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What is the standard formula?
(Number of Repeat Clients / Total Number of Clients) * 100


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4. Employee Turnover Rate

Employee Turnover Rate serves as a crucial performance indicator for organizations, reflecting the stability and satisfaction of the workforce.

High turnover can lead to increased recruitment costs, disruption in team dynamics, and loss of institutional knowledge. Conversely, low turnover often correlates with enhanced operational efficiency and employee engagement, driving better business outcomes.

By monitoring this KPI, executives can make data-driven decisions to improve retention strategies, ultimately impacting financial health and productivity. Learn more about the Employee Turnover Rate KPI.

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We have 5 benchmarks for this KPI available in our database.

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5. Employee Satisfaction Index

Employee Satisfaction Index (ESI) serves as a critical gauge of workforce engagement and morale, influencing retention rates, productivity, and overall organizational performance.

High ESI correlates with improved operational efficiency and lower turnover costs, driving better financial health. Companies with robust employee satisfaction often see enhanced customer experiences, leading to increased revenue.

Tracking this KPI allows organizations to benchmark against industry standards and make data-driven decisions. Learn more about the Employee Satisfaction Index KPI.

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We have 7 benchmarks for this KPI available in our database.

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6. Resource Allocation Efficiency

Resource Allocation Efficiency is crucial for optimizing financial health and ensuring strategic alignment across departments.

It directly influences operational efficiency, enabling organizations to allocate resources effectively and maximize ROI metrics. High efficiency in resource allocation leads to improved business outcomes, such as enhanced forecasting accuracy and better cost control metrics.

Companies that excel in this KPI can measure and track results more effectively, leading to superior performance indicators. Learn more about the Resource Allocation Efficiency KPI.

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We have 1 benchmark for this KPI available in our database.

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7. Innovation Index

The Innovation Index serves as a vital leading indicator of a company's ability to adapt and thrive in a rapidly changing market.

It directly influences business outcomes such as revenue growth, market share expansion, and operational efficiency. By measuring the effectiveness of innovation initiatives, organizations can identify areas for improvement and align their strategies with market demands.

A high Innovation Index indicates a strong pipeline of new products and services, while a low score may signal stagnation or missed opportunities. Learn more about the Innovation Index KPI.

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8. Proposal Conversion Rate

Proposal Conversion Rate is a critical performance indicator that measures the effectiveness of converting proposals into signed contracts.

This KPI directly influences revenue growth, operational efficiency, and overall financial health. A high conversion rate indicates successful sales strategies and strong alignment with customer needs.

Conversely, low rates may signal issues in proposal quality or market fit. Learn more about the Proposal Conversion Rate KPI.

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We have 1 benchmark for this KPI available in our database.

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What is the standard formula?
(Number of Proposals that Lead to Projects / Total Number of Proposals Submitted) * 100


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9. Crisis Management Effectiveness

Crisis Management Effectiveness is a vital KPI that assesses how well an organization navigates unexpected challenges.

It directly impacts financial health, operational efficiency, and stakeholder trust. Effective crisis management can lead to improved ROI metrics and enhanced strategic alignment.

Organizations that excel in this area often demonstrate superior forecasting accuracy and data-driven decision-making. Learn more about the Crisis Management Effectiveness KPI.

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We have 3 benchmarks for this KPI available in our database.

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What is the standard formula?
(Total Successful Resolutions / Total Crises) * 100


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10. Brand Recognition Index

Brand Recognition Index serves as a critical performance indicator for assessing a company's market presence and consumer awareness.

High brand recognition can significantly influence customer loyalty, drive sales growth, and enhance overall financial health. Organizations with strong brand recognition often enjoy a competitive edge, leading to improved ROI metrics and strategic alignment.

By leveraging data-driven decision-making, companies can track results and refine their marketing strategies. Learn more about the Brand Recognition Index KPI.

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We have 2 benchmarks for this KPI available in our database.

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What is the standard formula?
Sum of weighted brand recognition metrics / Total number of metrics


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11. Market Share

Market Share serves as a critical indicator of a company's competitive positioning within its industry.

It reflects the proportion of total sales that a company captures, influencing revenue growth and brand visibility. A higher market share often correlates with enhanced operational efficiency and improved ROI metrics.

Companies with strong market presence can leverage their position to negotiate better terms with suppliers and attract top talent. Learn more about the Market Share KPI.

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We have 2 benchmarks for this KPI available in our database.

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What is the standard formula?
(Company's Sales Revenue / Total Market Sales Revenue) * 100


Related KPI Categories

Alcoholic Beverages Automotive OEM Automotive Supplier Aviation Biotechnology Brand Management View All

12. Risk Management Effectiveness

Risk Management Effectiveness is crucial for safeguarding financial health and operational efficiency.

It directly influences business outcomes like cost control and forecasting accuracy. Organizations that excel in this KPI can better track results and make data-driven decisions, minimizing potential losses.

A robust KPI framework allows for strategic alignment and improved analytical insight. Learn more about the Risk Management Effectiveness KPI.

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We have 8 benchmarks for this KPI available in our database.

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What is the standard formula?
(Total Anticipated Risk Costs - Actual Risk Costs Incurred) / Total Anticipated Risk Costs * 100


Related KPI Categories


These 12 KPIs were selected for the Consulting KPI database to provide a balanced view across client lifecycle, employee dynamics, operational efficiency, and risk management. They combine leading indicators like Innovation Index and Proposal Conversion Rate with lagging metrics such as Client Retention Rate and Employee Turnover Rate, ensuring comprehensive coverage of consulting firm performance drivers.

Track Client Acquisition Cost alongside Proposal Conversion Rate to evaluate sales efficiency; rising CAC with flat Proposal Conversion Rate signals diminishing marketing ROI. Monitor Client Retention Rate in relation to Repeat Business Rate—divergence suggests issues in client satisfaction or service delivery. Pair Employee Satisfaction Index with Employee Turnover Rate; declining satisfaction with rising turnover highlights internal culture risks that may impact client outcomes and innovation capacity.

Prioritize Client Retention Rate and Client Acquisition Cost first, as these are foundational to revenue stability and growth and rely on readily available sales and CRM data. Follow with Proposal Conversion Rate to refine pipeline effectiveness. The full Consulting KPI set, with formulas, benchmarks, and diagnostics, is accessible in the KPI Depot database for deeper performance management insights.

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Related Best Practices


These best practice documents below are available for individual purchase from Flevy , the largest knowledge base of business frameworks, templates, and financial models available online.


KPI Depot (formerly the Flevy KPI Library) is a comprehensive, fully searchable database of over 20,000+ KPIs and 30,000+ benchmarks. Each KPI is documented with 12 practical attributes that take you from definition to real-world application (definition, business insights, measurement approach, formula, trend analysis, diagnostics, tips, visualization ideas, risk warnings, tools & tech, integration points, and change impact).

KPI categories span every major corporate function and more than 150+ industries, giving executives, analysts, and consultants an instant, plug-and-play reference for building scorecards, dashboards, and data-driven strategies.

Our team is constantly expanding our KPI database and benchmarks database.

Got a question? Email us at support@kpidepot.com.



Each KPI in our knowledge base includes 12 attributes.

KPI Definition

A clear explanation of what the KPI measures

Potential Business Insights

The typical business insights we expect to gain through the tracking of this KPI

Measurement Approach

An outline of the approach or process followed to measure this KPI

Standard Formula

The standard formula organizations use to calculate this KPI

Trend Analysis

Insights into how the KPI tends to evolve over time and what trends could indicate positive or negative performance shifts

Diagnostic Questions

Questions to ask to better understand your current position is for the KPI and how it can improve

Actionable Tips

Practical, actionable tips for improving the KPI, which might involve operational changes, strategic shifts, or tactical actions

Visualization Suggestions

Recommended charts or graphs that best represent the trends and patterns around the KPI for more effective reporting and decision-making

Risk Warnings

Potential risks or warnings signs that could indicate underlying issues that require immediate attention

Tools & Technologies

Suggested tools, technologies, and software that can help in tracking and analyzing the KPI more effectively

Integration Points

How the KPI can be integrated with other business systems and processes for holistic strategic performance management

Change Impact

Explanation of how changes in the KPI can impact other KPIs and what kind of changes can be expected


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