Performance measurement is a critical element in determining the success and effectiveness of an organization. One widely used method for assessing performance is through Key Performance Indicators (KPIs). KPIs help companies monitor and evaluate how well strategic goals are achieved and provide the necessary information for better decision-making. With the rapid advancement of digital technology, its impact on business strategy has become increasingly significant. Digitalization enables companies to improve operational efficiency, expand market reach, and adapt to changing consumer needs. This article aims to explore the relationship between performance measurement using KPIs and the influence of digital technology in formulating and adjusting business strategies. The study discusses how the application of KPIs can help organizations measure the impact of digital transformation on various aspects, including productivity, innovation, and customer satisfaction. Additionally, the article identifies the challenges and opportunities arising from the integration of digital technology in the strategic planning process. Using a literature review approach, this paper provides deeper insights into how KPIs and digital technology interact to create value for businesses. The findings are expected to offer guidance to business practitioners in designing and implementing more effective data-driven strategies in the digital era.
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