Performance Measures

2510 Words11 Pages
Performance Measures Introduction Performance measurement is a system and vital process to evaluate and record results and the success of goals. Historically, performance measures have been indicator that is used in measuring an organizations performance. Identifying the research of performance evaluations, employee turnover, profit/loss, return on investment, market share, size of company in comparison to competitors, product rate of failure and customer satisfaction survey in the critique of a company or organizations. The organizations innovation, total quality management, and controlling operation within a company. This section covers why measuring performance for the selected measures are useful and important to improve the…show more content…
Offering benefits such as reasonable schedule flexibility for work/life balance, performance based incentives, observing traditional benefits such as paid holidays, sick and vacation time help reduce turnover. Many factors play a role in employee turnover-wages; benefits, attendance and job performance all play a significant role in employee satisfaction and productivity. Some organizations may attempt to save costs by decreasing these benefits as a cost savings measure, but if employee retention is affected a cost savings is not realized. Profit and Loss A profit and loss measurement give’s a company an understanding of how they are doing. A profit and loss statement is also called an income statement. Most companies will generate a profit and loss statement monthly, quarterly or yearly. All companies do not need to generate a profit and loss statement. Although most companies should so they can see how well their company is doing. They can see if their company is making money or losing money. Large companies are required by law to provide a profit and loss statement to prepare their taxes. These large companies must also make their profit and loss statements open to the public. Anyone should be able to look at a large company’s income statement. Companies like Target and Wal-Mart must supply a profit and loss
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