Workplace glossary

What is Lagging Indicator?

Definition & practical guide1 min read

A lagging indicator measures an outcome after the fact. Monthly occupancy cost, completed maintenance tickets and quarterly satisfaction scores are all useful, but they mostly confirm what has already happened.

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Lagging indicators are strongest when paired with leading indicators that help teams act sooner.

Common questions

What does Lagging Indicator mean in simple terms?

A lagging indicator measures an outcome after the fact. Monthly occupancy cost, completed maintenance tickets and quarterly satisfaction scores are all useful, but they mostly confirm what has already happened.

How does Lagging Indicator work in practice?

Lagging indicators are strongest when paired with leading indicators that help teams act sooner.