When strategic management principles are applied in non-profit and governmental organizations there is a need for ________ measures of performance.
A) Human resource-based
B) Non-financial
C) Public accounting
D) Few, if any

Question

Quizplus · Accepted Answer

Non-profit and governmental organizations typically have goals and objectives that are not solely related to financial performance. Therefore, non-financial measures of performance, such as customer satisfaction or social impact, are necessary to evaluate and improve organizational effectiveness. Human resource-based measures may also be important, but they fall under the category of non-financial measures. Public accounting measures, which are focused on financial reporting and compliance, may not provide an accurate picture of the organization's performance in achieving its mission. Hence, option B is the best choice.

When Strategic Management Principles Are Applied in Non-Profit and Governmental