ABSTRACT
A company’s performance has a direct impact on profitability, compliance and sustainability. As a part of achieving success, a company must also ensure that they comply with all of the regulatory requirements that are applicable to their business. To do so, leaders must have a working knowledge of the status of the company through predetermined mechanisms such as performance measurement. Measuring performance involves measuring the actual performance output against its intended goals and the important attributes that are necessary to achieve those goals. Performance measurement requires collecting, analyzing and reporting of data that represent the performance of organizations, systems, processes, practices, or individuals. This requires a top-down approach by management for setting performance criteria, measuring outcomes and instituting changes as needed. To ensure that performance measurement is a core business activity, the measurement process and protocol should be included in the company’s overall strategic plan. The strategic plan should provide performance targets for the organization which sets the direction for operation and performance for each group and member. Performance measurement is a vital part of the process of monitoring that should demonstrate how an organization is progressing in various aspects of the business.
