Making managerial decisions based on the KPI system

Introduction. The analysis of the principles of applying the KPI system in managing organizational processes aims to develop approaches that provide a multidimensional analysis of business process effectiveness. KPIs are analytical tools that serve as the basis for forming adaptive management strategies that consider complex multifactorial interactions. In economic uncertainty and the dynamics of the external environment, tools that ensure the ability to respond promptly to changes are particularly important. The article aims to create a tool to optimize decision making based on KPI system analysis, mathematical modeling, and statistical data processing methods. Materials and methods. As part of the work done, multicriteria analysis methods were used to consider the mutual influence of various factors on performance indicators. Data normalization algorithms, such as linear transformation and standardization, were used to build the integral KPI index. Correlation and regression modeling were used to identify relationships between key indicators such as productivity, cost, and quality and external factors, including market fluctuations and resource constraints. Statistical methods ensured the formation of models adapted to strategic risk management. The results confirmed the effectiveness of the KPI system in strategic management. Increased productivity, reduced costs, and improved quality proved to be key achievements of implementing the proposed methodology. Models that consider the influence of external factors, such as market dynamics, resource availability, and digitalization, demonstrated the ability to adapt and develop solutions. Regression models revealed significant correlations between key performance indicators and external conditions. Conclusion. The developed methodology, based on KPI system analysis, algorithmic data processing, and consideration of external factors, increases the effectiveness of management decisions. The presented approach serves as the basis for building adaptive management strategies focused on providingsustainability toorganizations in the context of digital transformation and increasing uncertainty. The prospects for further research are related to integrating machine learning and oversized data analysis methods to develop long-term strategies.