The acronym KPI stands for Key Performance Indicator, which is a measurable value that demonstrates how effectively an organization or department is achieving key business objectives. KPIs are used to evaluate success at reaching targets and are essential for decision-making processes. In tech industries, KPIs might measure aspects like system performance, user engagement, or customer satisfaction. Setting effective KPIs allows teams to track progress, identify areas for improvement, and make data-driven adjustments to strategies and operations, thereby driving overall performance and success.