Final answer:
Lagging indicators are metrics that describe an activity or change in performance that has already occurred in the business context.
Step-by-step explanation:
Lagging indicators are types of metrics that describe an activity or change in performance that has already occurred. They provide information about past events and are used to assess the consequences or outcomes of actions taken. Lagging indicators are often used to evaluate the success of a business strategy or measure the effectiveness of certain processes or systems.
For example, one common lagging indicator in business is customer satisfaction. By analyzing customer feedback and survey results, a company can determine how well it has met customer needs in the past. Another example is financial performance indicators such as revenue and profit, which reflect the outcomes of previous business activities.