Among the managers, the easiest performance measurement is that of the CEO.
The CEO's KPI is the return on equity i.e how much profit could be generated with every dollar invested in equity.
What are the generic key result areas of the CEO? The KRAs are actually the sub-components of the ROE.
Net Profit Margin + Asset turnover + Equity Multiplier OR as ratios
NP/Sales x Sales/Asset x Asset/Equity
The above KRAs could be broken down further to discover the root cause of any change.
Arriffin Mansor 012-2786282
The CEO's KPI is the return on equity i.e how much profit could be generated with every dollar invested in equity.
What are the generic key result areas of the CEO? The KRAs are actually the sub-components of the ROE.
Net Profit Margin + Asset turnover + Equity Multiplier OR as ratios
NP/Sales x Sales/Asset x Asset/Equity
The above KRAs could be broken down further to discover the root cause of any change.
Arriffin Mansor 012-2786282
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