Finding ways to measure the effectiveness of a business in terms of performance and niche will always fall back towards the figures and numbers as reported in the financial statements such as the income statement, balance sheet and the cash flow statement. The amounts contained on each will readily tell the overall performance of a business entity, something that assists in the assessment of operations and administrative proceedings.
Accounting for everything from resources, manpower, utilities and representation expenses and allowances would comprise the eventual report to be seen by the top honcho management executives. They would usually analyze and provide inputs towards the actual performance and identify certain areas that may need to be improved for the sake of the company as a whole.
Generated reports can tell a lot of things. These include efficiency of management and achievement rates of success for all planned goals and strategies of an organization. Without financial reports to aid the validity of the claims of internal management, there would be little room to determine the extent of how far a company has gone in achieving its primary goal and objectives for existence.
[tags]business, blogging, finance, operations, management[/tags]
Originally posted on February 18, 2007 @ 12:11 am