You will complete Section VII: “Evaluation and Control” of your strategic audit report.
Measuring performance is a vital element of evaluation and control which includes many elements, data, and parts. Performance can be simply defined as the end result of activity and includes measures such as Return on Investment (ROI), Earning per Share (EPS), and many others.
Measuring performance correctly will enable you to gain a comprehensive understanding of how profitable a business is.
Provided are the guidelines to complete each part:
- Write an overview of how your strategic audit company measures performance, what specific measurement tools or programs they use, and if it is effective or not. Additionally, recommend one change or new measurement tool they should make or use, and why.
- Controls are established to focus on actual performance results (output controls), activities that generate the performance (behavior controls), and resources used in performance (input controls). Output controls stipulate what is to be accomplished by looking at the results of behaviors using objectives, performance indicators, and markers. Behavior controls state how something is to be accomplished using policies, rules, and procedures as directed by management. Input controls focus on resources such as skill sets, abilities, values, and intelligence (Wheelen, Hoffman, Hunger, Bamford, & Deresky, 2016).
o Write a description of the types of Output, Behavior, and Input controls your strategic audit company is using. Then explain if they are effective or not.