Measuring Overall Performance of a Business

The video discusses two models for measuring business performance: Kaplan and Norton's balanced scorecard and Elkington's triple bottom line. It emphasizes the need for businesses to balance short-term and long-term metrics to avoid poor decision-making. The balanced scorecard focuses on four perspectives: business, financial, customer, and growth, while the triple bottom line considers financial, social, and environmental impacts. Both models have pros and cons, with the balanced scorecard offering a comprehensive view but potentially encouraging target hitting, and the triple bottom line promoting social responsibility but being limited in scope.

What are the two main approaches to measuring business performance mentioned in the text?

Evaluate responses using AI:

OFF

Why is it important for businesses to use both short-term and long-term performance metrics?

Evaluate responses using AI:

OFF

What is the key focus of the Kaplan and Norton's balanced scorecard model?

Evaluate responses using AI:

OFF

How does Elkington's triple bottom line model differ from traditional financial metrics?

Evaluate responses using AI:

OFF

What are the four main perspectives considered in the balanced scorecard model?

Evaluate responses using AI:

OFF

What are some potential downsides of focusing solely on short-term financial metrics?

Evaluate responses using AI:

OFF

In what ways can a business measure customer satisfaction according to the text?

Evaluate responses using AI:

OFF

What challenges might arise from using the triple bottom line model?

Evaluate responses using AI:

OFF

How can the balanced scorecard model help a business improve its performance?

Evaluate responses using AI:

OFF

What is the significance of having a broader perspective on business performance?

Evaluate responses using AI:

OFF