This study aims to propose key performance indicators (KPIs) for Treasury Department of two local authorities in Malaysia based on a model adapted from the Circular on Public Service Progress No. 2 Year 2005. Based on unstructured interviews with the officers and staff of the Treasury Departments of LA1 and LA2, observation of processes, documents and records and a review of relevant literatures, this study managed to propose eight KPIs focusing on efficiency. It was found that both departments have similar core business; providing support financial services to the organization and public, and similar core processes; revenue collection process and management of expenditure process. Since the departments have similar functions, core businesses, core processes and core services, it has been proposed that, they have same set of KPIs.
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