The financial measures used to evaluate a manager's performance should be consistent with the decision model.

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Financial measures used to evaluate a manager's performance should be consistent with the decision model in order to accurately reflect the success of their decision-making process. If the decision model focuses on long-term goals, then financial measures should reflect long-term profitability and growth, rather than short-term gains or cost-cutting measures that may sacrifice long-term success.

The Financial Measures Used to Evaluate a Manager's Performance Should