Posts Tagged ‘financial performance limitations’

postheadericon 5 Limitations of Just Measuring Financial Performance

  1. It is after the event and historical
  2. It is rarely real time
  3. It is subject to accounting rules which can lead you to believe that you are doing okay (because you are in profit) when you don’t have cash to meet obligations
  4. Money by itself creates nothing.  It is what you do with it that results in creativity
  5. No financial managers don’t make the connection between what they do operationally and money
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