Performance measures should be closely linked to a firm's strategies.

Question

Quizplus · Accepted Answer

Performance measures quantify how well a firm's strategies are being executed. Therefore, it is important that there is a clear linkage between performance measures and the strategies they are designed to measure. This ensures that the firm is able to assess progress toward meeting strategic objectives, and can make necessary adjustments to improve performance.

Performance Measures Should Be Closely Linked to a Firm's Strategies